Hyundai’s $4.3 billion Georgia battery plant hit by immigration raid

Construction at Hyundai’s electric vehicle battery plant in Georgia has been halted after a massive raid by U.S. immigration authorities, according to Reuters.

Hundreds of workers detained

Homeland Security Investigations confirmed that multiple agencies carried out a «judicially authorized enforcement operation» targeting unlawful employment practices. Officials stated that up to 560 workers were detained, including approximately 300 South Korean nationals.

South Korea’s Foreign Ministry expressed concern. «The economic activities of our companies and the interests of our citizens must not be unduly violated during U.S. law enforcement,» spokesman Lee Jae-woong said.

Project faces setback

The facility is a joint venture between Hyundai Motor and LG Energy Solution, worth $4.3 billion. Operations were expected to begin later this year to supply batteries for Hyundai, Kia and Genesis EVs.

Hyundai said construction is paused, but EV production at its nearby car plant remains unaffected. LG Energy Solution stated that it is working with Seoul and U.S. authorities to secure the release of its employees. Shares of LGES fell 2.3% following the news.

Political context

The raid reflects the Trump administration’s broader crackdown on immigration, which has drawn criticism for sweeping up non-criminals. At the same time, it complicates U.S. relations with South Korea, a key investor and trade partner.

The Georgia site is part of Hyundai’s $12.6 billion investment in the state, described as the most significant economic development project in its history.