Former Ford Factory In Limbo After Workplace Allegations

Back in late 2023, a former Ford plant was sold to the state of Bahia after the automaker ceased its manufacturing operations in Brazil. That plant has since landed in the possession of China-based automaker BYD, which is working to transform it into a major EV hub of its own. The renovation of the former Ford site is being spearheaded by Chinese contractor Jinjiang Group, but Brazilian labor authorities recently claimed that they found 163 Chinese nationals working in “slavery-like conditions” there. Now, the future of that site is seemingly in limbo.

According to the Associated Press, BYD announced that it would be postponing plans to begin operating its first assembly line at the former Ford plant in March, and hasn’t provide an update since – leaving many concerned about the future of the plant. It’s currently unclear if BYD is still on track to begin full scale production at the plant by the end of 2026 as well, which was slated to become its largest such facility outside of China.

Previously, Brazil ceased issuing temporary work visas for BYD amid allegations that slave labor is being used to rebuild the plant, which also include concerns that those working at the site are victims of human trafficking. Brazil’s Ministry of Justice has said that if irregularities are found by prosecutors investigating the plant, those workers would have their residence permits revoked, and it has already sent a request to the Ministry of Foreign Affairs to suspend the issuance of temporary visas to BYD as well.

Jinjiang Group continues to deny all of these allegations. “Being unjustly labeled as ‘enslaved’ has made our employees feel that their dignity has been insulted and their human rights violated, seriously hurting the dignity of the Chinese people. We have signed a joint letter to express our true feelings,” Jinjiang said in a statement. Li Yunfei, general manager of branding and public relations at BYD, also accused labor authorities of “deliberately smearing Chinese brands and the country and undermining the relationship between China and Brazil.”