The automaker has long been criticized by human rights activists for doing business in the territory, where China has repressed Muslim ethnic groups.

Earlier this year, the U.S. blocked imports of several Porsche, Bentley, and Audi vehicles amid concerns that they contained a Chinese-made part that violated U.S. forced labor laws.

German car giant Volkswagen said Wednesday it would sell its operations in China's Xinjiang region, where Beijing has been accused of widespread human rights abuses including forced labour.