Brazil Halts BYD Factory Construction Amid ‘Slavery-Like’ Conditions. Over 50 Million People Trapped In Modern Slavery Globally

Brazilian authorities have suspended the construction of a factory for Chinese electric vehicle (EV) giant BYD, citing “slavery-like” conditions for workers at the site. Over 160 workers have been rescued in the northeastern state of Bahia, according to Brazil’s Public Labour Prosecutor’s Office (MPT).

On Tuesday, the MPT released disturbing footage showing the workers’ living conditions—dormitories with beds but no mattresses and no designated spaces to store personal belongings. The workers, employed by the Chinese contractor Jinjiang Construction Brazil, were reportedly subjected to harsh conditions, including the confiscation of passports and the withholding of 60% of their wages. Those who wished to leave the project were forced to pay for their return airfare to China.

Prosecutors described the sanitary conditions at the site as critical, noting that there was only one toilet for every 31 workers. As a result, workers were forced to wake up at 4 a.m. to queue for use of the facilities before starting their workday at 5:30 a.m.

The factory, located in Camaçari, a city near Salvador, was intended to be BYD’s first EV plant outside Asia, with plans to begin operations by March 2025. 

In response, BYD, one of the world’s largest EV manufacturers, announced it would immediately terminate its contract with Jinjiang Construction Brazil. The company stated that it is investigating the situation further and is committed to adhering to Brazilian labor laws.

The MPT described the workers’ conditions as “forced labor,” including debt bondage, which is classified as slavery under Brazilian law. The workers, who were hired in China, lived in four separate facilities in Camaçari. In one, workers were reportedly sleeping on beds without mattresses.

BYD said it had moved the affected workers to hotels and had been pushing the construction firm to improve the living and working conditions on-site. The company also emphasized that it had conducted thorough reviews of the situation and would ensure full compliance with Brazilian legislation.

This incident raises concerns about labor practices and exploitation within the global supply chain, with an estimated 50 million people worldwide still trapped in modern slavery. As BYD continues to expand its presence in Brazil, the company will likely face increased scrutiny over its labor practices, particularly in light of its competitive battle with Tesla for dominance in the EV market.

50 Million People in Modern Slavery Worldwide Is The Shocking Reality

In 2021, the Global Estimates of Modern Slavery revealed that a staggering 50 million people were living in conditions of modern slavery. This included 28 million individuals subjected to forced labor and 22 million trapped in forced marriages.

The number of people in modern slavery has risen significantly over the last five years, with 10 million more people affected in 2021 compared to 2016. Women and children remain disproportionately vulnerable, with a higher likelihood of being victims of forced labor and marriage.

Modern slavery is a global issue, affecting nearly every country across ethnic, cultural, and religious lines. Alarmingly, more than half (52%) of all forced labor and a quarter of all forced marriages are found in upper-middle-income or high-income countries, challenging the assumption that such practices are confined to lower-income regions.

Forced Labor The Hidden Crisis

The majority of forced labor (86%) occurs in the private sector. Of the total, 63% is in industries other than commercial sexual exploitation, while 23% involves forced commercial sexual exploitation. Women and girls make up nearly 80% of the victims of forced commercial sexual exploitation.

State-imposed forced labor, which includes work enforced by governments, accounts for 14% of the total forced labor population.

One of the most alarming findings is that nearly one in eight of all forced labor victims are children—around 3.3 million. More than half of these children are involved in commercial sexual exploitation, further highlighting the vulnerability of minors.

Migrants. A Group at High Risk

Migrant workers are particularly vulnerable to forced labor, being more than three times as likely to experience exploitation compared to non-migrant adult workers. While labor migration can have positive effects on individuals and societies, migrants are especially at risk due to irregular migration patterns, poorly governed migration processes, and exploitative recruitment practices.

The findings underline the importance of safeguarding the rights of migrants and ensuring that migration is managed in a safe, orderly, and regular manner. Vulnerable migrants, whether irregular or legally employed, often face high risks of being trafficked and forced into labor under harsh conditions.

The Last Bit

It is shocking that the situation of modern slavery is not improving. Nothing can justify the persistence of this fundamental abuse of human rights. The fight against modern slavery cannot be won by governments alone. International cooperation, including the involvement of trade unions, employers’ organizations, civil society, and the general public, is essential.

The whole of society must work together to reverse these shocking trends, Modern slavery is the antithesis of sustainable development. Yet, in 2022, it continues to underpin our global economy.

Modern Slavery is a man-made problem, connected to both historical slavery and persisting structural inequality. Genuine political will is essential to end these human rights abuses.