In a significant operation conducted by U.S. authorities, numerous employees at a Hyundai Motor construction project in Georgia have been taken into custody, leading to a halt in the development of a car battery plant linked to a substantial investment by the Korean automaker in the state.
The recent raid has delayed the launch of the project, underscoring the Trump administration’s escalating enforcement actions on immigrants and the resulting disruptions to businesses, despite efforts to attract more foreign investors to the country. This incident also has the potential to strain the relationship between Washington and Seoul, crucial allies engaged in a trade deal involving substantial investments.
Following the operation by U.S. immigration authorities, South Korea’s Foreign Ministry expressed concerns about the impact on its nationals and businesses investing in the United States. The ministry spokesperson emphasized the importance of safeguarding the economic interests of South Korean companies and citizens during U.S. law enforcement activities.
According to a Homeland Security Investigations official, multiple U.S. agencies carried out a lawful enforcement operation to probe illicit employment practices, resulting in arrests. The Justice Department’s ATF office in Atlanta disclosed the detainment of around 450 individuals, while reports indicated that approximately 560 workers, including South Korean nationals, at the Hyundai Motor and LG Energy Solution facilities were held in ICE custody.
The joint venture between LG Energy Solution and Hyundai Motor, set to commence operations later this year, was impacted by the arrests. Both companies affirmed their cooperation with authorities and stressed the temporary suspension of construction activities. Despite the disruption, Hyundai Motor assured that its electric vehicle production at the site remained unaffected.
The $4.3 billion EV battery venture announced by Hyundai Motor Group and LG Energy Solution in 2023 marks a significant investment in Georgia, with the plant slated to supply batteries for various EV models. This initiative is part of Hyundai’s substantial financial commitment to the state, encompassing the establishment of a new car factory, which is deemed the state’s most extensive economic development project.
The recent enforcement actions underscore the heightened immigration policies under the Trump administration, with ICE intensifying its efforts to apprehend individuals, including non-criminals. While the administration aims to target criminal offenders, these operations have faced criticism from human rights advocates for their broader impact on migrant communities.