Brazil’s Ministry of Labor and Employment has added the local subsidiary of Chinese automaker BYD to a registry of employers found to have imposed conditions analogous to slave labor.
The case concerns a construction site for a factory in the city of Camaçari, in the state of Bahia, where an inspection was carried out in December 2024, News.az reports.
Workers, mostly Chinese nationals, reportedly worked without days off and lived in unsanitary conditions. Their passports were confiscated and kept by the administration.
Monthly payments were minimal, not exceeding $200, while up to 60% of wages was withheld and transferred to accounts in China.
The investigation also involved contractors, including China JinJiang Construction. However, under Brazilian law, responsibility also extends to the client – BYD.
The company terminated its contract with the contractor and, in January, paid 40 million reais (about $7 million) in compensation to 224 workers.
Being placed on the blacklist for at least two years will restrict BYD’s access to public financing and could complicate its business development in its largest overseas market.
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