Brazil Sues China’s BYD Over Allegations of Slave Labor Conditions

Brazilian prosecutors are suing BYD and two contractors over allegations of human trafficking and slave labor conditions at a construction site in Bahia, Brazil. 220 Chinese workers reportedly faced degrading conditions, leading to a civil suit seeking substantial damages. BYD maintains its commitment to labor rights while denying the allegations made against its subcontractors.

Brazilian prosecutors have initiated legal action against BYD, a Chinese electric car manufacturer, along with two contracting firms, alleging human trafficking and slave labor conditions at a construction site. Documented reports reviewed by AFP confirm that this lawsuit is based on the conditions faced by 220 Chinese workers discovered last December at a BYD facility being built in Camacari, located in Bahia, a northeastern state of Brazil.

According to the regional labor ministry (MPT), serious violations were noted, including severely adverse working conditions. Reports indicated workers were sleeping without mattresses and, troublingly, 31 individuals had to share a single bathroom. Furthermore, visible skin damage from extensive exposure to harsh sunlight was evident among the laborers.

The MPT voiced concerns over conditions that could suggest forced labor, highlighting severe contractual infractions, the confiscation of workers’ passports, and payroll deductions of up to 70 percent. Alarmingly, it was reported that some workers were monitored by armed guards on-site, raising further concerns over their treatment.

Following the surfacing of these allegations, BYD’s Brazilian unit announced that it had terminated its contract with Jinjiang, the subcontractor managing the site. Jinjiang has since contested the slavery accusations, denying any wrongdoing. Due to the non-compliance of the companies, the MPT has now filed a civil suit seeking 257 million reais (approximately $45.3 million) for collective moral damages, in addition to individual reparations for the affected workers.

In a statement, BYD expressed its cooperation with the MPT from the onset, reiterating its strong commitment to ensuring human and labor rights. The company insists its operations align with Brazilian law and international labor standards. Backing this, Mao Ning, a spokeswoman for the Chinese foreign ministry, stated that China prioritizes the protection of workers’ rights and mandates Chinese enterprises to follow relevant laws and regulations while operating abroad.

The legal dispute emerging in Brazil against BYD and its contractors highlights serious allegations of human rights violations, including human trafficking and conditions akin to slavery at a construction site. The MPT’s implications of forced labor—evident in contract violations and severe workplace conditions—bring critical attention to labor practices in international operations. As BYD reaffirms its commitment to ethical labor standards, the outcome of this lawsuit and its implications reflect broader concerns regarding worker safety and treatment in the global supply chain.

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