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Couldn't China do something about it? They do have a powerful enforcement agency, and it seems odd to be that the CCP is all for the child labor.
Or are these children some lower caste in China? Or do the Chinese really just care so little about eachother?
Of course they could. But, the CCP is not communist. They’re authoritarians who used the idea of communism to gain support from the people, and then never gave the power back to the people once they had it because power corrupts.
Most of the workers are "migrants" from other parts of China and aren't registered at Guangzhou so the authorities don't know about them. It's a lot like the "illegal" immigrants we have here in the u.s. , everything is done off the books and if the worker reports mistreatment there liable to be sent back. Even if some authorities come in for inspection then the workers are incentivized to hide from them or lie to keep there jobs.
Both the u.s. and China could be doing better to stop the exploitation but it's fundamentally a cat and mouse game that becomes even harder if your dealing with scales of millions, or in the case China 10s or 100s of millions of people.
The only way to actually stop it would be to give the workers legal resident status so they can report to the authorities without fear of having to leave but neither seems willing to do it for political and economic reasons.