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BYD Contractor Dismisses 'Slavery-Like Conditions' Claims as Misunderstanding

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A logo of Chinese car manufacturer BYD is on display at the Essen Motor Show in Essen, western Germany on December 4, 2024. AFP via Getty Images/INA FASSBENDER

A contractor for Chinese electric vehicle maker BYD has denied reports claiming 163 Chinese workers were living in "slavery-like conditions" at a construction site for a new factory in Brazil.

Jinjiang Group, the contractor involved in the project, rejected Brazilian labor authorities' allegations and explained that translation and cultural misunderstandings led to the confusion.

Chinese Contractor Denies 'Forced Labor' Allegations at BYD Construction Site in Brazil

Earlier this week, Brazilian labor officials announced that they had rescued 163 Chinese workers from the construction site in Bahia state, where they said the workers were subjected to poor living conditions.

According to Reuters, officials reported overcrowded dorms, inadequate sanitation, and claims that the workers' passports had been withheld, which they said resembled forced labor conditions.

Workers were also allegedly forced to pay large sums of money for their return tickets if they chose to leave the job.

However, Jinjiang Group argued that the reports were inaccurate, stating that the passports were temporarily taken to help the workers obtain necessary work permits and that many of the labor inspectors' questions were "suggestive."

The company also released a video of workers at the site reading a joint letter, which they claimed was signed by 107 workers. The letter explained that while they had handed over their passports for processing, the workers felt that they were treated fairly and appreciated their work at the factory site.

Jinjiang said that the allegations of "slavery" were not consistent with the reality at the site. They emphasized that the workers were not forced into labor, nor were their conditions as dire as the reports suggested.

The company also criticized the portrayal of the situation in Brazilian media and warned that such portrayals could damage relations between China and Brazil.

BYD Cuts Ties with Contractor Amid Controversy Over Worker Conditions in Brazil

The controversy surrounding the workers' conditions has highlighted the challenges faced by foreign contractors operating in Brazil.

Labor laws in the country define "slavery-like conditions" as forced labor or subjugation to degrading working conditions, and Jinjiang's workers were reportedly housed in basic accommodations with minimal facilities.

Workers had to share one toilet for every 31 people, leading to long waits during early morning hours before work began, MarketWatch said.

Despite these conditions, the company has said that improvements were being made to the site, and the workers would be relocated to nearby hotels.

BYD, the Chinese electric vehicle giant behind the factory project, expressed concern over the negative media attention.

A company spokesperson stated that BYD had cut ties with Jinjiang and was working with authorities to ensure better conditions at the site. The company also promised that the workers would not be impacted financially by the cessation of work.

The incident has sparked a larger conversation about labor rights and the working conditions of foreign construction workers, especially in developing countries where migrant labor is often employed.

Despite the disagreement over the reports, both Jinjiang and BYD have pledged to continue working with Brazilian authorities to resolve the issue and ensure the well-being of the workers.

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