On September 4, 2025, U.S. immigration authorities carried out what officials described as the largest single-site enforcement action in the history of the Department of Homeland Security. The operation targeted a massive Hyundai–LG joint venture battery plant under construction in Ellabell, Georgia, a site central to the United States’ push to expand domestic electric vehicle (EV) supply chains. Authorities detained around 475 workers, of which more than 300 were South Korean nationals. The raid immediately strained relations between Washington and Seoul, both close allies with intertwined economic and security ties.
Diplomatic Fallout from Large-Scale Security Operation
Footage released by U.S. Immigration and Customs Enforcement (ICE) drew particular attention in South Korea. Videos showed workers in shackles around their hands, ankles, and waists as they were led away by officers. The images ignited outrage across South Korean society, where the public viewed the treatment of their citizens as unnecessarily harsh. Opposition lawmakers labeled the raid “humiliating,” while conservative politicians called it “deeply regrettable.”
Foreign Minister Cho Hyun expressed his government’s alarm, calling the episode an “unexpected and serious matter” given that only weeks earlier, Presidents Lee Jae-Myung and Donald Trump had held a bilateral summit emphasizing closer business collaboration. The sudden reversal of tone undermined Seoul’s perception of stability in U.S. policy toward its companies.
Repatriation Plans and Visa Concerns
South Korea quickly moved into damage-control mode. Officials confirmed that negotiations with the U.S. government had secured the release of the detained nationals. The workers are now scheduled to return home on a chartered flight, which Seoul is preparing in coordination with American authorities. Foreign Minister Cho stated that the government is also working to ensure these skilled employees can re-enter the United States once the appropriate visas are obtained.
The case has exposed significant weaknesses in the visa framework used by South Korean firms in the United States. Many of the detained workers reportedly entered the country on short-term business (B-1) visas or under the Visa Waiver Program, which are not intended for extended technical assignments at industrial sites. Companies often rely on such visas to send engineers and specialists for short stints during plant construction. However, the Georgia case demonstrates that U.S. authorities are now prepared to take a strict stance against what they view as misuse of immigration categories.
Lawmakers in Seoul have begun pressing the government to renegotiate visa arrangements with Washington, warning that the absence of reliable work permits for technical staff places South Korea’s global investments at risk. Analysts caution that without more secure visa options, delays in project timelines could grow, raising costs and weakening the competitiveness of companies such as Hyundai Motor and LG Energy Solution in the race to dominate the EV battery sector.
Political Tensions and Business Uncertainty
The incident has also generated a heated political debate inside South Korea. Some lawmakers suggested investigating U.S. citizens in South Korea for potential visa violations as a symbolic gesture of reciprocity, though officials ultimately dismissed the idea, wary of jeopardizing the broader alliance. Public anger nevertheless remains high, with media editorials questioning whether the United States is a reliable partner for South Korea’s corporate expansion abroad.
For the companies involved, the timing is particularly sensitive. The Ellabell facility represents a multi-billion-dollar investment in America’s EV supply chain, projected to create thousands of local jobs. Both Hyundai and LG Energy Solution have now announced the suspension of non-essential business travel to the United States until they receive clearer assurances about visa processes. Industry experts fear that the raid could delay the plant’s production schedule, undermine trust between corporate partners, and deter future foreign direct investment in similar high-tech ventures.
From a broader perspective, the raid underscores the tension between U.S. industrial policy, which seeks foreign investment in critical sectors, and the domestic political pressure to enforce immigration laws rigorously. The Trump administration has doubled down on the message that foreign companies are welcome only if they comply fully with immigration requirements. In remarks shared through his social media platform, President Trump urged investors to prioritize the hiring and training of American workers, describing the raid as a demonstration that “the rules will be enforced.”
Wider Implications for U.S.-South Korea Relations
Diplomatic observers warn that the Georgia raid could cast a long shadow over U.S.–South Korea relations at a critical time. The two countries rely heavily on close coordination to address North Korean security threats, manage regional supply chains, and promote technological cooperation. The detention of hundreds of workers has injected a new level of mistrust, with many in Seoul questioning Washington’s reliability as a partner in large-scale economic ventures.
At the same time, the incident has sparked a wider conversation within South Korea about overreliance on U.S. markets. Some policymakers argue for diversifying future overseas investment destinations to reduce vulnerability to sudden policy shifts in Washington. Others stress that the U.S. remains too important to abandon, particularly given the scale of American demand for EV batteries and the security alliance underpinning regional stability.
While the immediate priority is the safe return of the detained workers, the long-term challenge will be rebuilding confidence in bilateral business cooperation. For Hyundai, LG, and other South Korean companies, the outcome may shape how aggressively they pursue expansion in the United States in the years ahead.