Hyundai-LG's massive Electric Vehicle battery project is at risk due to ongoing immigration arrests
In a surprising turn of events, more than 300 employees, including skilled technicians from various countries, were detained in a U.S. immigration raid at the joint battery plant of Hyundai Motor and LG Energy Solution. The facility, which is 98 percent complete and preparing to begin cell production, is part of a multi-billion dollar EV battery project.
The detentions have left partner firms concerned about potential labor shortages, with some warning that these could delay the launch of one of the most strategically important EV battery projects in the American South. Production timetables for the Hyundai-LG project are now in jeopardy due to the labor shortages caused by the immigration arrests.
Seven employees of an LG subcontractor were among those detained, most traveling under the U.S. visa waiver program or short-term business visas. U.S. immigration authorities argue that visa holders may not work on production floors, effectively barring them from the plant's core operations.
The search results do not provide specific information about the subcontractors involved in the project. However, the incident has sparked debate, with some local residents sympathetic to former President Donald Trump's hard-line immigration stance defending the raids, while others express unease.
Meanwhile, Latino advocacy groups and nonprofits like Migrant Equity Southeast have criticized the operation, describing it as a "militarized attack" on migrant workers, including pregnant women. They have accused Hyundai and its contractors of exploiting layered subcontracting systems to maximize profits while leaving workers vulnerable.
The groups have also stated that corporations must be held accountable for every worker in their supply chains, regardless of immigration status. They argue that the lack of consular or legal support for the affected employees could prolong their detention.
Korean officials are negotiating to secure the workers' voluntary departure without long-term reentry bans. Replacing these skilled technicians in the United States on short notice is nearly impossible, further exacerbating the production delays.
The incident underscores the collision between Washington's stricter immigration enforcement and Korea's industrial ambitions in the United States. It is the latest news shaping the battery market, as reported in the latest Batteries News. The Hyundai-LG EV battery project, a significant player in the industry, now faces an uncertain future due to these developments.
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