Carmaker Stellantis announced on Wednesday that it will invest 30 billion reais ($6.07 billion) in Brazil between 2025 and 2030. The company aims to launch over 40 new cars and introduce hybrid-flex vehicles in the country.
This investment follows a meeting between company executives and President Luiz Inacio Lula da Silva and comes as the government seeks to revitalize the country’s industry. Other automakers such as GM, Volkswagen, Hyundai, and Toyota have already revealed their plans for investments in Brazil.
Stellantis plans to incorporate electrification technology into its flex-fuel models, which can run on both gasoline and ethanol, stated Chief Executive Carlos Tavares during a press conference. The company’s next launch, scheduled for the second half of the year, will be a hybrid vehicle.
In addition to these initiatives, Stellantis intends to produce an electric vehicle in Brazil, although a specific timeline was not provided.
Tavares mentioned that the investment plan will adhere to Brazil’s Mover automotive program rules, which offer tax incentives to automakers investing in sustainability and implementing measures to reduce the industry’s environmental impact.
“This alignment of interests between Brazil’s government and our company is essential,” Tavares emphasized.
Stellantis, which already operates three factories in Brazil, recently announced its acquisition of a controlling stake in Brazilian automotive services firm DPaschoal.
According to Brazil’s government, automakers, including Chinese firms BYD and GWM, which have recently entered the Brazilian market, have collectively announced investments totaling 65.3 billion reais for the upcoming years.
