Foreign Investors Loath to Put Money Into the US After Hyundai Raid

President Donald Trump’s push to revitalize American manufacturing by luring foreign investment into the US has collided with one of his other priorities—cracking down on illegal immigration—Didi Tang and Paul Wiseman reported for the Associated Press (AP).

Workplace raids and visa restrictions risk alienating allies pledging to invest hundreds of billions of dollars to avoid steep tariffs. (Photo: ICE / Yonhap)

Just a week after immigration authorities raided a sprawling Hyundai battery plant in Georgia, detained more than 300 South Korean workers, and released video of some being shackled in chains, South Korean President Lee Jae Myung warned that the country’s companies may be reluctant to heed Trump’s call to pour money into the US.

The detained South Koreans were released Thursday, with most flown home.

If the US cannot promptly issue visas for the technicians and skilled workers needed to launch factories, Lee said, then “establishing a local factory in the US will either come with severe disadvantages or become very difficult for our companies. They will wonder whether they should even do it.”

The raid and resulting diplomatic crisis highlight how the Trump administration’s mass-deportation goals clash with its efforts to attract foreign capital to drive US growth and jobs.

Workplace raids and visa restrictions risk alienating allies pledging to invest hundreds of billions of dollars to avoid steep tariffs.

Trump’s economic agenda relies on using tariffs—such as a 15% levy on South Korean products—as leverage to force manufacturing into the US.

He has repeatedly said foreign firms can escape tariffs by producing locally. South Korea pledged $350 billion in US investments when the two sides announced a trade deal in July.