South Korean President Lee Jae-myung has warned that Korean companies may rethink plans to expand in the United States following last week’s immigration raid at a Hyundai-LG Energy Solution battery plant in Georgia.
Speaking at a press conference to mark his first 100 days in office, Lee said the arrests of more than 300 South Korean nationals had left businesses “extremely bewildered.”
“It is common practice for Korean firms to send workers to help set up overseas factories,” Lee noted. “If that is no longer allowed, establishing manufacturing facilities in the US will only become more difficult, making companies question whether it is worth doing at all.”
Workers Set to Return Home
The detained workers are expected to return to South Korea on Friday, though their departure was delayed “due to circumstances on the US side,” officials said. Lee added that the White House had issued instructions allowing the workers to remain in the US if they wished.
US authorities detained a total of 475 people in the raid, saying they were working illegally at the site, one of Georgia’s largest foreign investment projects. LG Energy Solution, which operates the facility with Hyundai, said many employees had valid visas or were covered by the US visa waiver programme.
Diplomatic Strain
Seoul is now negotiating with Washington on possible visa arrangements for Korean workers, including higher quotas or new visa categories. “I think the US will address this if they see it as a practical necessity,” Lee said.
The incident has stirred concern in South Korea, a key US ally that has pledged tens of billions of dollars in American investment to offset tariffs. Newspapers have warned of a potential “chilling effect” on business activities, with Yonhap urging both governments to cooperate to “repair cracks in their alliance.”
Washington Defends Action
The White House has dismissed concerns that the raid could scare off foreign investors. President Donald Trump, in a social media post, called on foreign companies to prioritize hiring Americans. He added that the government would make it “quickly and legally possible” for overseas firms to bring in workers, provided they respected US immigration laws.
