BYD Electric Vehicle Factory Construction Halted in Brazil After Discovery of "Slavery-Like" Conditions

 

Brazilian authorities have halted the construction of a new electric vehicle factory for Chinese company BYD after over 160 Chinese workers were found living in “slavery-like” conditions. The workers, employed by contractor Jinjiang Construction Brazil, were laboring under extreme conditions at the construction site in Bahia, a state in northeastern Brazil. Investigations revealed the workers endured excessively long hours, sometimes working seven days straight, while living in squalid and degrading conditions.

The workers, who had been hired in China and brought to Brazil, were reportedly unable to leave the site without permission, with over 100 of them having their passports confiscated. The factory they were working to build was slated to be BYD's first electric vehicle plant outside Asia, with operations expected to begin by March 2025.

The investigation, which had been ongoing since November, was led by Brazil's public labour prosecutor's office. Prosecutors described the situation as an example of forced labor, highlighting the lack of basic safety measures, inadequate accommodations, and substandard working conditions. The workers were found sleeping on beds without mattresses, with over 600 workers sharing just eight portable toilets in unsanitary conditions. Meals were stored near bathrooms, unprotected from contamination, and workers were often forced to eat in their beds.

Brazilian authorities classified these conditions as slavery-like, encompassing forced labor, poor living conditions, long hours that endangered health, and debt bondage.

In response to the findings, BYD issued a statement condemning the treatment of workers, emphasizing that the company “does not tolerate disrespect for Brazilian law and human dignity.” BYD immediately terminated the contract with Jinjiang Construction for part of the factory’s work and vowed to take further actions. The company also stated that all affected workers would be relocated to hotels, and a comprehensive review of all contractor conditions would be conducted.

BYD, a major global player in the electric vehicle market, has been operating in Brazil for over a decade and claims to have always adhered to local laws and ethical standards. The company has promised to uphold its commitment to respect and human dignity moving forward.

The investigation into this case continues as authorities work to ensure that the workers’ rights are protected and that such conditions are not repeated.