Hyundai Vehicles From South Korea and Alabama Under Investigation

Hyundai and Genesis are recalling approximately 294,000 vehicles due to a potentially dangerous defect involving seat belt attachment points. The recall affects vehicles produced at both the company’s manufacturing facilities in South Korea and its plant in Alabama.

The recall is centered on a defect in the fastening of the seat belts, which could compromise passenger safety in the event of a collision. The affected fleet includes a variety of models, including the Hyundai Santa Fe.

Labor and Safety Record in Alabama

The involvement of the Alabama plant in this recall follows a history of labor and safety challenges at Hyundai’s U.S. Operations. In 2022, Hyundai and its parts suppliers in Alabama were found to be illegally employing children to operate heavy equipment, violating the Fair Labor Standards Act and Alabama state child labor regulations.

Reporting from Reuters in December 2022 indicated that children as young as 12 years old were hired at SMART, a Hyundai subsidiary in Luverne, Alabama, which supplies parts for the assembly plant in Montgomery. Many of these underage workers were refugees from Central America, with some reportedly working under the threat of deportation.

The 2022 child labor scandal involved several other parts suppliers, including SL, Hwashin, and AJIN. In response to these findings, Hyundai stated that the company does not tolerate illegal employment practices at any Hyundai entity and claimed it was unaware of any evidence of the allegations.

The legal outcome of the child labor violations resulted in fines totaling approximately $80,000.

Recent Developments in Georgia

Beyond the Alabama operations, Hyundai’s expansion in the U.S. Has faced significant scrutiny at its “megasite” currently under construction near the port of Savannah, Georgia. This 3,000-acre facility is a joint venture between Hyundai and LG Energy Solution intended for the production of electric vehicle batteries.

On Thursday, September 4, 2025, U.S. Immigration and Customs Enforcement (ICE) conducted a massive raid at the Georgia site. The operation resulted in the detention of 475 people, including over 300 South Korean nationals. This event was described as the largest raid of Donald Trump’s second term.

The raid occurred amid concerns over working conditions and safety at the construction site. The plant had reported a poor safety record, with two workers—including one South Korean national—killed in preventable accidents during a two-month period in the spring of 2025.

Both Hyundai and LG stated that the workers arrested were employed by subcontractors rather than by the companies directly. The raid caused significant diplomatic tension, as South Korean President Lee Jae Myung had visited the White House the week prior to the operation to tout Korean investment in the U.S.

Following the detentions, the South Korean government negotiated with the United States for the release of the workers. Chief of staff for President Lee Jae Myung, Kang Hoon-sik, announced that the two nations finalized negotiations to allow the workers to return home on a voluntary basis via charter plane.