Trump's Manufacturing Push Faces Immigration Hurdles

Sat Sep 13 2025 09:18:11 GMT+0300 (Eastern European Summer Time)

President Trump's efforts to attract foreign investment into US manufacturing are challenged by a crackdown on illegal immigration. Recent immigration raids have raised concerns among South Korean investors about potential restrictions on skilled labor.

President Trump is striving to revitalize American manufacturing by luring foreign investments but faces a significant conflict with his strict immigration policies. Following a recent raid at a Hyundai plant that led to the detention of South Korean workers, concerns have emerged about the ability of companies to send skilled labor to the US. Analysts warn that such actions could discourage foreign investment, which is vital for Trump's economic plans.

WASHINGTON (AP) — President Donald Trump’s push to revitalize American manufacturing by luring foreign investment into the U.S. has encountered opposition from his directive to crack down on illegal immigration.

Just days after immigration authorities raided a Hyundai battery plant in Georgia, detaining over 300 South Korean workers, South Korean President Lee Jae Myung cautioned that businesses from his country may hesitate to invest in the U.S.

If the U.S. cannot swiftly issue visas for the technicians and skilled workers necessary to start operations, establishing a factory here may pose significant disadvantages for our companies, Lee stated. The recent immigration actions raise concerns about whether South Korean businesses will choose to invest in the U.S. amidst fear of restrictive immigration policies.

This dramatic raid not only sparks frustrations among South Korean officials but also shows a clash between Trump administration's aggressive immigration enforcement and its endeavors to attract foreign capital to boost the economy. Policies such as workplace immigration enforcement could push away allies looking to invest heavily in the U.S. to avoid high tariffs.

South Korea’s Investment Sentiment Affected

South Korea is already a significant investor in U.S. manufacturing, with pledges to invest $350 billion following a trade deal announced earlier this year. In 2022, it secured the top position for new factory investments in the U.S. However, following the immigration crackdown, analysts express concerns that such aggressive enforcement could hamper future foreign investments.

While Trump urges foreign companies to legally bring their skilled personnel, he also promises to facilitate the visa process. President Trump will ensure the U.S. remains the premier destination for business, whilst reinforcing federal immigration laws, stated White House spokesperson Abigail Jackson.

Experts point out that the arrest of South Korean constructors involved in setting up the plant only complicates the diplomatic relationship and raises questions about the legitimacy of the immigration enforcement strategies employed.

Need for Visa System Reforms

The significant complexities of the U.S. visa structure also impede swift staffing solutions as companies aim to launch operations. Immigration attorneys highlight that many workers were lawfully employed under existing visa programs, suggesting that current immigration policies need urgent reform to facilitate foreign investment. The belief is that foreign direct investment should be welcomed more streamlined.

In light of this situation, discussions are underway for a joint working group to explore new visa categories that may ease the entry of South Korean professionals into the U.S. amidst continued diplomatic dialogues aimed at strengthening bilateral economic ties.