JAC Motors will build a new factory in Brazil

Posted on Tuesday, 11 October 2011 , 05:10:00 byEmil

Filed under jac-motorschinabrazilfactoryshc-groupSpecialty MarquesChina

JAC Motors will build a new factory in Brazil

JAC Motors came up to an agreement with its Brazilian operator SHC Group and decided to open a factory in Brazil, north-eastern Bahia estate to be more precise, but as things are almost never how we expect, the Chinese carmaker, JAC Motors decided not to do it in the end. Why? Well, at first wanted to invest around $60 million in building the plant in Brazil, but then cancelled the project because of the increased taxes on cars with less than two-thirds domestic content. The reason the government increased them was to protect the local jobs.
SHC wanted to have 200 dealerships in the next three years in comparison with the 40 they have now, but the problem mentioned above, stays in the way. It also seems that only 20% of the $510 million investment will be coming from JAC and the rest of 80% will be provided by SHC Group.
So in the end they will do decide to do it and its annually capacity will be of 100.000 units and work will start in 2014.


JAC Motors will build a new factory in Brazil image JAC Motors will build a new factory in Brazil image
JAC Motors will build a new factory in Brazil image JAC Motors will build a new factory in Brazil image
JAC Motors will build a new factory in Brazil image JAC Motors will build a new factory in Brazil image