Brazilian prosecutors are suing Chinese electric vehicle (EV) giant BYD and two of its contractors, saying they were responsible for human trafficking and conditions “analogous to slavery” at a factory construction site in the country.
The MPT is seeking 257 million Brazilian reais ($45.5m; £33.7m) in damages from the three companies.
Authorities halted construction of the plant late last year after workers were found living in cramped accommodation with “minimum comfort and hygiene conditions”, the MPT said.
Prosecutors said the workers had up to 70% of their salaries withheld and faced high costs to terminate their contracts.
“Slavery-like conditions”, as defined by Brazilian law, include debt bondage and work that violates human dignity.
The Chinese electric vehicle (EV) behemoth BYD and two of its contractors are being sued by Brazilian prosecutors for allegedly facilitating human trafficking and creating “analogous to slavery” conditions at a factory construction site in the nation.
An anonymous complaint prompted the state of Bahia’s Public Labour Prosecutor’s Office (MPT) to launch an investigation, which resulted in the rescue of 220 Chinese workers.
The three businesses are being sued by the MPT for damages totaling 257 million Brazilian reais ($45.5m; £33.7m).
Although BYD has previously stated that it has “zero tolerance for violations of human rights and labor laws,” the company did not immediately respond to a BBC request for comment. “..”.
According to the MPT, workers were discovered living in small quarters with “minimum comfort and hygiene conditions” when authorities decided to halt the plant’s construction late last year.
According to a statement, 31 people shared a single restroom, and some employees slept on beds without mattresses.
Aside from having their passports seized, the MPT claimed that workers on construction sites were engaged in “employment contracts with illegal clauses, exhausting work hours, and no weekly rest.”. “,”.
According to the prosecutors, the workers faced significant expenses to end their contracts and had up to 70% of their salaries withheld.
Brazilian law defines “slavery-like conditions” as labor that impairs human dignity and debt bondage.
The factory was being constructed in the northeastern Brazilian city of Camacari.
By March 2025, it was expected to be up and running, making it BYD’s first EV plant outside of Asia.
Build Your Dreams, or BYD for short, is one of the biggest EV manufacturers in the world. According to automotive industry research firm Jato Dynamics, it first outsold Elon Musk’s Tesla in Europe in April.
The company’s biggest international market, Brazil, is where it has been trying to expand.
In 2015, it established its first factory in São Paulo to produce electric bus chassis.