By Fabio Teixeira RIO DE JANEIRO/SHANGHAI (Reuters) -Chinese workers at a construction site in Brazil for a factory owned by China's electric vehicle producer BYD are victims of human trafficking, Brazilian labor authorities said on Thursday in a growing controversy in BYD's biggest overseas market.

"Slavery-like conditions", as defined by Brazilian law, include debt bondage and work that violates human dignity. The MPT added that the situation also constitutes "forced labour", as many workers had their wages withheld and faced excessive costs for terminating their contracts. BYD said affected workers had been moved to hotels.

A spokesperson for Chinese automaker BYD has objected to reports about poor conditions at a construction site in Brazil where it is building a factory, saying the allegations were aimed at “smearing” China and Chinese brands.