• Hyundai's battery plant faces a delay of 2-3 months after an immigration raid.
• The raid was the largest single-site enforcement action in U.S. history.
• More than 300 of the detained workers were South Koreans.
• Hyundai is working to source batteries from other plants during the delay.
• Efforts are underway to establish a specialized visa program for needed workers.

Hyundai announced on Thursday that the start-up of its battery plant in Georgia will be delayed by at least two to three months due to an immigration raid that resulted in the detention of hundreds of workers. CEO José Muñoz stated, "This is going to give us minimum two to three months delay, because now all these people want to get back," emphasizing the impact on their operations, which are conducted in partnership with LG Energy Solutions. U.S. Immigration and Customs Enforcement (ICE) agents detained approximately 475 workers, with over 300 being South Korean nationals, marking a significant enforcement action in U.S. history, according to CBS News and Reuters.

The raid has caused concerns regarding the availability of specialized labor needed for the plant's construction, with Muñoz highlighting that many skilled workers required for such projects are not readily available in the U.S. He noted, "For the construction phase of the plants, you need to get specialized people," reinforcing the serious implications of the workforce disruptions. Following the raid, efforts were made by the U.S. and South Korean governments to facilitate the release of the detained workers, who were set to return home via charter flights, according to The Jakarta Post and Reuters.

The repercussions of the raid extend beyond the Georgia plant, with reports indicating that workers at other LG facilities, including those in joint operations with General Motors, have also faced calls to return home, reflecting a wider fallout across the industry. Hyundai's Executive Chair, Euisun Chung, expressed his concerns about the incident and stated, “Maybe our government and the U.S. government, they are working closely... and I hope we can make it together a better system,” as the need for a specialized visa program became apparent during discussions on improving labor sourcing for such facilities, as pointed out by The Jakarta Post and Reuters.

As Hyundai navigates this labor shortage and the associated delays, the company has indicated plans to source batteries from other production facilities, including a plant co-owned with Korean battery-maker SK On, until their Georgian operations can resume effectively. Such strategic adjustments are seen as critical for maintaining production timelines in the face of these unexpected challenges, according to CBS News and The Jakarta Post.