Brazil Halts BYD Visas Amid Human Trafficking Allegations

Brazil has suspended temporary work visas for BYD following allegations of human trafficking at its construction site in Bahia. Labor authorities revealed 163 workers from China were brought under 'slavery-like' conditions by contractor Jinjiang Group. BYD denies these allegations while collaborating with authorities.

Brazil has ceased issuing temporary work visas for the Chinese electric vehicle manufacturer BYD amid serious human trafficking allegations. On Friday, the Ministry of Foreign Affairs announced the decision after labor authorities claimed that 163 Chinese workers were brought to Brazil in "slavery-like" conditions, employed by contractor Jinjiang Group at BYD's Bahia construction site.

Jinjiang Group has denied any wrongdoing, suggesting language misunderstandings led to the accusations. The Brazilian Ministry of Justice is poised to revoke the workers' residence permits if prosecutorial findings are confirmed. The situation has cast a spotlight on China's expanding influence in Brazil, a vital market for BYD.

Meanwhile, BYD and Jinjiang Group have proposed temporary housing in hotels for affected workers while negotiating contract terminations. With the Bahia site marking significant Chinese investment at $620 million, the allegations threaten to disrupt BYD's plans to begin vehicle production in Brazil next year.

(With inputs from agencies.)