Chinese auto giant GAC Group has committed to investing $1 billion in Brazil. The announcement followed a high-level meeting in Beijing between Brazilian Vice President Geraldo Alckmin and GAC Group President Feng Xingya.
The dialogue between Alckmin and Xingya centered on enhancing economic and trade cooperation, with GAC planning to establish a robust presence in Brazil. This makes GAC the first Chinese automaker to set up a full R&D and production line in Brazil, encompassing gasoline, electric, full hybrid, and plug-in hybrid vehicles.
Feng Xingya outlined the company’s vision: “In the next 5 years, GAC, along with its supply chain, plans to invest $1 billion in Brazil, including plans to establish factories, research and development center, and warehouses for spare parts.” This bold investment aligns with China’s strategy to foster cooperative, mutually beneficial partnerships.
Vice President Alckmin, after reviewing GAC’s latest car models, expressed his admiration for the company’s advanced technology. He further remarked that GAC’s production technology is remarkable, highlighting the significant potential of GAC’s operations in Brazil.
With decades of experience in joint ventures with Honda and Toyota, GAC is well-positioned to contribute to Brazil’s automotive market. Feng Xingya emphasized the company’s dedication to Brazil, aiming to advance local technology and R&D. “GAC is confident it will provide reliable and high-tech products to Brazilian consumers,” he said.
GAC ranks 165th on the 2023 Fortune Global 500 list and is listed on the Hong Kong and Shanghai stock exchanges. In 2023, GAC was the fifth-largest car manufacturer in China, with 2.52 million cars produced and sold, and revenue of $70 billion, investing 6.47% in R&D.
Looking ahead, GAC aims to exceed 4.75 million vehicles in total production and sales, with a revenue goal of 1 trillion yuan (approximately $137 billion) by 2030. This ambitious target reflects GAC’s commitment to global expansion and industry leadership.
EV WORLD | Ather Energy Targets Global EV Leadership at ‘Meet Rizta’ Event, Nagpur
