Brazilian Authorities Halt BYD Factory Construction Over “Slavery-Like” Conditions

More than 160 workers have been rescued from the car factory, according to local prosecutors. Read More

Construction of a new factory for Chinese electric vehicle giant BYD in Brazil has been halted by authorities due to concerns about “slavery-like” working and living conditions for hundreds of workers.

Over 160 workers employed by a subcontractor, Jinjiang Construction Brazil, were rescued from the construction site. Prosecutors found that these workers faced appalling conditions, including:

  • Degrading Living Conditions: Workers were crammed into overcrowded housing with inadequate sanitation, sleeping on bare beds without mattresses.
  • Wage Theft: Many workers had their wages withheld and faced exorbitant costs for terminating their contracts.
  • Restricted Freedom: Workers felt trapped and unable to leave due to these restrictions and the remote location of their accommodations.
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These conditions, according to Brazilian law, constitute “slavery-like” conditions, characterized by exploitation and a lack of basic human dignity.

BYD, one of the world’s leading EV manufacturers, has condemned these actions, stating that they have severed ties with the subcontractor and are committed to ensuring compliance with all Brazilian laws. The company has also reportedly relocated the affected workers to hotels.

This incident casts a shadow over BYD’s ambitious expansion plans in Brazil, where they are investing heavily in electric vehicle production. While BYD has achieved significant success globally, facing accusations of labor exploitation could damage their reputation and hinder their future growth in the Brazilian market.

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