Brazil Sues BYD Over Alleged Slave-Like Working Conditions at Factory Site

Brazil's Public Ministry of Labour (MPT) has filed a civil lawsuit in the Labour Court against BYD and Chinese construction companies JinJiang and Tonghe, accusing them of slave-like working conditions at their electric vehicle plant in Camaçari, located on the country's northeastern coast.

Following an investigation in 2024, the state agency rescued 220 individuals working at the site. These workers were brought from China with irregular visas for "specialised services" that did not match their actual tasks, and their passports were confiscated under armed surveillance.

The MPT accuses China's largest car manufacturer of human trafficking with false salary promises, visa fraud, severe evasion of labour, tax, and social security rights, and obstructing inspections in a scheme orchestrated by BYD.

The victims lived in overcrowded and inadequate accommodations, with one bathroom for every 31 people, beds without mattresses, and food stored alongside construction materials. Up to 70% of their salary was withheld if they left the contract.

According to testimonies collected by the MPT, workers were forbidden from leaving their accommodations—even on days off—and doors were locked after dinner. The only way to leave the premises was with permission to purchase essentials.

The MPT detailed that "all" rescued workers had entered the country "irregularly," with work visas "for specialised services that did not correspond to the activities they performed at the site."

The prosecution demands that the Chinese constructor pay a fine of approximately 40 million euros (257 million reais) for collective moral damage; compensation for 21 workdays plus an additional day for each day workers were kept in such conditions; severance pay; and a fine of 7,800 euros (50,000 reais) for each breached item multiplied by the number of workers.

Beijing refrained from commenting on the lawsuit on Thursday but emphasised that the country's companies must "operate in accordance with laws and regulations. The government places great importance on protecting workers' rights and requires Chinese companies to respect laws wherever they operate," stated Foreign Ministry spokesperson Mao Ning when asked about the case.

Upon learning of the incident, the Chinese company announced the termination of its contract with the Jinjiang Group and asserted that it "does not tolerate disrespect for Brazilian law and human dignity."