Hyundai’s ambitious plan to open its new battery plant in Georgia has been pushed back after a sweeping U.S. immigration raid disrupted operations. The plant, a joint project between Hyundai Motor and LG Energy Solution, was originally scheduled to begin production this year but will now face a delay of at least two to three months.
The raid, which officials described as the largest single site enforcement action in U.S. history, led to the arrest of nearly 475 foreign workers, many of them skilled South Korean specialists employed by Hyundai’s contractors. Their expertise was considered essential for the construction and technical startup of the facility, making it difficult to quickly replace their roles.
Hyundai CEO José Muñoz expressed disappointment over the disruption, clarifying that the company itself had only directly employed a handful of the detained workers. Still, he admitted the arrests will have a significant impact on the timeline for opening the $7.6 billion plant, a cornerstone of Hyundai’s electric vehicle strategy in the U.S. market.
To minimize disruptions, Hyundai will rely on other battery sources, including its joint venture with SK On, to keep vehicle production on track while the Georgia facility adjusts. The company continues to stress its commitment to U.S. manufacturing and its role in expanding the domestic electric vehicle supply chain, even as challenges mount.
The delay underscores how global labor issues, immigration enforcement, and supply chain dependencies are increasingly intertwined in the race to dominate the electric vehicle market. For Hyundai, the setback is a reminder of both the promise and the vulnerability of large scale investments in a rapidly changing industry.