South Korea warns US raid could deter investment

South Korea warns US raid could deter investment

South Korean President Lee Jae-myung has warned that companies from his country may hesitate to invest in the United States following last week’s large-scale immigration raid at a Hyundai plant in Georgia.

Speaking at a press conference marking his first 100 days in office, Mr. Lee said the incident left Seoul “extremely bewildered.” He stressed that it is standard practice for South Korean firms to send workers abroad to help establish factories. “If that’s no longer allowed, setting up manufacturing facilities in the US will only become more difficult — and companies will question whether it’s worth doing at all,” he said.

More than 300 South Korean nationals were among 475 workers detained during the raid. Officials said their return home, expected Friday, had been delayed by instructions from the White House. According to Seoul’s foreign ministry, President Donald Trump had ordered the pause to determine whether the workers wished to remain in the US to continue training local staff.

LG Energy Solution, which runs the battery facility alongside Hyundai, said many of those arrested were contractors with valid visas or traveling under the visa waiver programme. A plant worker described the raid as chaotic, noting that most of those detained were mechanics installing production lines.

The raid has sparked alarm in South Korea, a close US ally that has pledged tens of billions of dollars in US investments partly to offset tariffs. Newspapers have warned of a “chilling effect” on Korean business activity in America, while Yonhap News Agency urged both governments to repair “cracks in their alliance.”

Seoul is now in talks with Washington to secure additional visa quotas or new categories for Korean workers. Mr. Lee expressed confidence that the US would make adjustments “if they see it as a practical necessity.”

The White House has defended the operation, saying it was consistent with immigration enforcement. Over the weekend, President Trump highlighted the raid on social media and reiterated his call for foreign firms to prioritize hiring Americans. He added that Washington would ensure companies could bring in foreign workers “quickly and legally” if they complied with US immigration law.

divya

Leave a Reply

Your email address will not be published. Required fields are marked *