US Raid on Hyundai Plant Branded Economic ‘Back-Stabbing’

Over 300 South Koreans detained in a massive US immigration raid at a Hyundai battery plant in Georgia prior have returned home, raising concerns about the impact on foreign investment and local economic growth, according to BBC reports.

The raid, the largest in US history, involved 475 people, including roughly 300 South Korean nationals. US authorities said the workers were not authorized to work in the country, while South Korean officials noted that temporarily sending staff to overseas factories is standard practice for Korean firms.

A chartered Korean Air flight carried the workers and 14 non-Koreans back to Seoul on Thursday. Their departure had been delayed following a White House instruction exploring whether some could remain in the US to train local staff; only one worker chose to stay.

Hyundai’s chief executive José Muñoz confirmed the raid will delay the plant’s opening by at least two months as the company seeks to replace returning staff. None of those detained were directly employed by Hyundai, with many on various visas or visa-waiver programs through LG Energy Solution, which operates the battery plant jointly with Hyundai.

At a press conference marking his first 100 days in office, South Korean President Lee Jae Myung said Korean companies are “bound to hesitate” to invest in the US if similar incidents recur.

Other Korean conglomerates, including semiconductor giants Samsung Electronics Co. and SK Hynix Inc., are heavily investing in US chip facilities, while Samsung SDI Co. and SK On are building battery plants with partners GM and Ford.

Many of these sites rely on rotating teams of Korean engineers, and sources say at least 22 other factory sites in autos, shipbuilding, steel, and electrical equipment have been nearly halted.

The Georgia facility is part of a larger complex expected to create 8,500 jobs and has been hailed as the largest economic development project in the state’s history. 

The delay could hamper Georgia state’s recent economic growth, which has benefited from billions of dollars in foreign investment, including Hyundai’s $26 billion (RM121.6 billion) pledge covering multiple US projects.

BBC reports that the incident underscores the challenge of balancing immigration enforcement with fostering the investment environment that states like Georgia rely on for sustained economic development.