> Most companies are morally agnostic
What do you think makes companies do what they do? Companies consist of people. There are still people making these decisions. Many companies have taken ethical stances wrt China. Many more have not. Companies don't just get let of the hook because they're companies.
Of course, there's a question of causality. Are businesses "morally agnostic" because they choose to be, or because the ones that aren't don't survive? Companies that say "we don't do business with places that harvest organs from prisoners" will struggle against ones that say "we were able to cut the price of our phone 50% by doing business with (said regime)"
This would actually be a good reason to impose import duties on those places - to make goods from ethical regimes more competitive.