Chinese smartphone maker Xiaomi has been accused by prominent environmentalists of failing to disclose environmental transgressions by a supplier, which could impact the company’s upcoming $10bn public offering, said investors.
Two Chinese environmental organisations — the Institute of Public and Environmental Affairs (IPE) and Luse Jiangnan — said they found that copper-laced acidic wastewater had been discharged from a circuit board factory in the city of Suzhou. The factory indirectly supplies Xiaomi, said IPE.
Tests of the Suzhou water conducted by an independent lab found acidity to be more than 1,000 times the limit permitted by Chinese law and copper levels at more than 195 times the legal limit.
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