The construction site of the Hyundai Motor–LG Energy Solution battery plant in Ellabell, Bryan County, Georgia, on September 11 (local time). The site has remained deserted since construction was halted following a Department of Homeland Security crackdown on undocumented workers on September 4. (Yonhap)
SEOUL, Sept. 14 (Korea Bizwire) — More than 300 South Korean workers detained at a U.S. battery plant construction site have safely returned home, but the shockwaves are likely to reverberate across corporate boardrooms.
South Korea’s largest conglomerates — including LG Energy Solution, Hyundai Motor, Samsung Electronics, Samsung SDI, SK hynix, SK On, CJ CheilJedang, and LS Cable — are now reexamining their multibillion-dollar expansion strategies in the United States, amid mounting concerns over immigration enforcement and workforce stability.
The flashpoint was the HL-GA plant in Georgia, a $6.3 billion joint venture between LG Energy Solution and Hyundai. With core engineers forced to leave, construction is expected to be delayed by at least two to three months.
LG Energy Solution alone is building four other facilities across Arizona, Michigan, and Ohio. Samsung SDI, meanwhile, is investing $10.3 billion with Stellantis and General Motors in Indiana, while SK On is adding plants in Georgia, Kentucky, and Tennessee.
Semiconductors and shipbuilding are also at stake. Samsung Electronics is pouring more than $37 billion into a foundry in Texas, SK hynix is preparing a $3.9 billion high-bandwidth memory plant in Indiana, and Hanwha has pledged an additional $5 billion to a Philadelphia shipyard under the “MASGA” initiative to revive U.S. shipbuilding. In total, South Korean companies have committed well over 200 trillion won ($145 billion) in U.S. investments.
Industry officials say visa complications exposed by the detentions could reshape business strategies. Some companies are weighing alternative production hubs in Mexico or Canada, while others are reassessing the balance between local hiring and overseas staff deployment. Smaller suppliers, too, are considering whether to establish U.S. subsidiaries to safeguard operations.
Calls are growing for reforms to U.S. visa procedures. Seoul has launched a bilateral working group to address the issue, including possible increases in employment visa quotas. “It will take time to fundamentally resolve these challenges, but we must move quickly to restore trust,” said Kang Hoon-sik, chief of staff to President Lee Jae-myung.
For South Korea’s global manufacturers, the incident has underscored a stark reality: as they deepen their foothold in the United States, labor and regulatory frictions may be as consequential as the billions they are investing.
M. H. Lee (mhlee@koreabizwire.com)
