More investments in Brazil: GAC announced a US$1 billion investment to establish itself in the neighboring country

More investments in Brazil: GAC announced a US$1 billion investment to establish itself in the neighboring country
More investments in Brazil: GAC announced a US$1 billion investment to establish itself in the neighboring country

AAlthough it is not well known in our country – at least for now – GAC is one of the largest automotive companies in China and has numerous joint ventures with Japanese, European and American brands, and everything seems to indicate that it is preparing for an ambitious landing in the region. The company announced an investment of US$ 1 billion – the equivalent of almost R$ 6 billion – to establish itself and begin its operations in Brazil.

In a context in which several countries in Europe and the United States threaten to impose heavy taxes on Chinese manufacturers to protect their industry, companies from the Asian Giant are looking at other markets with great potential such as Mexico, Brazil and Latin America in general. In this sense, according to GAC –initials of Guangzhou Automobile Group- it speaks of “factories”, Research and Development Centers and distribution centers for parts and components for the neighboring country.

According to the official statement from the Asian firm, “Over the next 5 years, GAC, along with its supply chain, plans to invest $1 billion in Brazil, including plans to set up factories, R&D centers, and spare parts warehouses. The company is the first Chinese manufacturer with a complete R&D and production line, producing combustion engine, hybrid, plug-in hybrid, and electric cars.”

As we noted earlier, GAC is known for its partnerships with automakers such as Honda and Toyota. It currently produces around 2.5 million units under brands such as GAC, Aion and Trumpchi, in addition to having acquired the former Changfeng Motor, now converted into Leopard.

The company has not yet given details about where it will install or build its first plant or R&D centre, although it could use the facilities in Indaiatuba – which Toyota plans to close – or CAOA-Chery in Jacareí. There is also no information about its range of products to be marketed.

 
For Latest Updates Follow us on Google News
 

-

PREV Flooding in Illinois forces residents to evacuate
NEXT Debate in Congress heats up; “our eyes are on Bucareli” and “no to pardon,” they claim