Major Immigration Raid Disrupts Hyundai’s $4.3B EV Project in Georgia

A significant immigration enforcement operation at Hyundai and LG’s battery facility under construction in Ellabell, Georgia, has resulted in the detention of more than 475 individuals, including over 300 South Korean nationals. U.S. authorities have described this raid as the largest single-site immigration enforcement action in two decades, leading to substantial economic and diplomatic ramifications.

Details of the Operation

The operation, known as “Operation Low Voltage,” was the culmination of a months-long investigation involving multiple federal and state agencies, including U.S. Immigration and Customs Enforcement (ICE), Homeland Security Investigations, the FBI, and the Department of Labor. Over 400 officers were deployed to the site of the $4.3 billion electric vehicle (EV) battery project, which has been heralded as Georgia’s most significant economic development initiative.

Officials clarified that the raid was not a routine enforcement action. It was executed under a search warrant focused on alleged unlawful hiring practices and other serious federal offenses. Footage from the scene showed federal agents halting construction and escorting detained workers, some in handcuffs, onto buses. In dramatic moments, several workers attempted to escape, with some needing to be rescued from a sewage pond by agents.

Visa Regulations Under Fire

The incident has sparked intense scrutiny regarding U.S. visa regulations. Reports indicate that many of the detained South Koreans had entered the country on Electronic System for Travel Authorization (ESTA) permits or B-1 business visas, neither of which authorize participation in construction or manual labor. While Korean firms have relied on these permits due to the challenges in obtaining H-1B work visas, U.S. authorities argue that such practices violate immigration law.

Immigration officials stated that those arrested were “working unlawfully” in the United States. In contrast, Korean executives contend that existing visa quotas are insufficient for companies facing urgent labor shortages. Requests from Korean businesses for a dedicated visa category to address these challenges have not yet been answered.

The repercussions of this enforcement action have halted all activities at the HL-GA facility, a joint venture between Hyundai Motor and LG Energy Solution valued at $7.59 billion. Originally scheduled to open in 2026, the project’s timeline is now uncertain. Financial markets reacted negatively, with Hyundai’s stock declining by 0.7%, while LG Energy Solution’s shares fell by 2.3% following the news.

Economic and Diplomatic Repercussions

This situation arises as South Korean firms have committed over $350 billion in investments in the United States to establish supply chains for electric vehicles and clean energy. Analysts caution that ongoing crackdowns could undermine confidence in these critical projects, potentially stalling advancements in the green energy sector.

The South Korean government has expressed concern about the raid, prompting senior executives from LG to travel to Georgia to advocate for the release of detained employees. LG confirmed that 47 of its own staff members were among those detained, while most others were linked to subcontractors. Hyundai stated that none of its direct employees were arrested and emphasized its “zero tolerance” policy regarding legal violations.

In a statement defending the enforcement action, President Donald Trump noted that ICE had fulfilled its responsibility in carrying out the operation. As construction remains halted and diplomatic tensions rise, this incident casts a shadow over one of the United States’ most prominent EV ventures, raising significant questions about how foreign investors can navigate the country’s restrictive visa system while addressing the increasing demand for green jobs.