Germany refuses to provide Volkswagen investment guarantees

BERLIN Reuters -- Germany's Economy Ministry is refusing to provide Volkswagen with guarantees to cover new investments in China because of concerns over human rights, Der Spiegel reported on Friday.

A ministry spokeswoman said the ministry had rejected four applications from a company because of human rights reasons.

The magazine stated, without giving any sources, that Volkswagen was the company in question.

A Volkswagen spokesman confirmed that the company had submitted applications for investment guarantees, but it hasn't yet received an official decision from the ministry.

Germany's Economy Ministry was not immediately available for comment.

Volkswagen has a plant in China's Xinjiang region, where western countries and rights organisations say ethnic Uyghurs face systematic repression. China denies the allegation.