Brazil’s automotive industry turns to China

Brazil’s vehicle manufacturing sector is on the verge of major change. From a past where its factories typically turned out older generation models than their European or US sister factories, Brazil is on the verge of major investment by at least four Chinese companies. This will change the face of the sector in Brazil as it begins the transition to electric vehicles (EVs). BYD, Great Wall, Chery and GAC are poised to supplant Ford, GM, Fiat and Volkswagen in Latin America’s biggest automotive market.

For several decades, the auto manufacturing sector in Brazil was dominated by the latter four, all of which made old models formerly made in North America and Europe. This often took place on former European production lines which were dismantled and shipped to Brazil. Gradually contemporary models and modern assembly lines were added, and Brazilian production was no longer entirely made up of vehicles a generation or two older than those made in Europe for example.