US chain Wal-Mart sets new rules for Chinese suppliers

By JERUSALEM POST STAFF
Wal-Mart Stores Inc., the world's largest retailer, said Wednesday that it will set new quality standards for its suppliers amid a scare over toxic milk products that have sickened tens of thousands of babies across China. Mike Duke, vice chairman of the company's international division, said Wal-Mart was expecting "greater transparency ... from our supplier partners" beginning next month. They will be required to "tell us the name and location of every factory they use to make the products we sell," according to Duke's prepared remarks delivered at a company conference in Beijing. "Essentially, we expect you to ask the tough questions, to give us the answers and, if there's a problem, to own the solution." Wal-Mart will apply the new standards to apparel first and eventually use them on all its products, Duke said. No other details were given. The measures by Wal-Mart, also China's largest foreign retailer, come as confidence in Chinese exports has been shaken after a series of product safety scandals.