BYD plans to convert a former Ford plant into an electric vehicle (EV) facility in Brazil. The ex-fossil fuel car manufacturing factory will be BYD’s first EV production plant outside Asia.
Brazil’s President Luis Inácio Lula da Silva announced BYD’s new EV factory outside Asia via Elon Musk’s X platform. The Chinese automaker plans to invest 608 million in its EV production plant in Brazil.
The converted BYD EV plant is located in Camaçari, Bahia. It is expected to generate 10,000 jobs in the area.
The Asian car manufacturer isn’t wasting any time on converting the facility. Work on the factory’s expansion and modernization starts next month. According to the President of BYD Brazil, Tyler Li, the goal for the new EV factory is to produce 150,000 cars in a year.
Pela manhã, recebi representantes da BYD Brasil, empresa de automóveis elétricos, que vai criar sua primeira fábrica fora da Ásia no Brasil. Além da entrega de um carro elétrico para uso da Presidência da República em comodato, a BYD apresentou um relatório detalhado do plano de… pic.twitter.com/xzWQK05vGj
— Lula (@LulaOficial) January 24, 2024
Earlier this month, BYD was in talks with Brazilian supplier Sigma Lithium. As per Financial Times, BYD and Sigma Lithium are discussing a potential supply agreement, joint venture, or even an acquisition. The Chinese company is willing to invest up to $2.9 billion in the Brazilian lithium supplier.
BYD’s potential deal with a local lithium supplier hints that it is already working on localizing its integrated supply chain in Brazil. The automaker’s strategy is similar to Tesla’s with gigafactories outside the United States.
Like Tesla, BYD has recently made moves to improve its new energy vehicles. For instance, it plans to stop pouch-type battery production amid durability concerns. BYD also announced a $14 billion investment in smart car technology, including ADAS.
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