Manufacturing News

Chinese Truckmaker to Build Plant in Brazil

Shaanxi Automobile Group Co., a Chinese heavy-duty truckmaker, plans to assemble trucks in Brazil from semi-knockdown kits shipped from China.

The plant will be set up as a joint venture with Brazilian truck dealer Metro-Shacman, according to the government of the northwest China province of Shaanxi.

The plant, to be built in Pernambuco state in northeastern Brazil, will start production in 2013 with initial annual output of 3,000 heavy-duty trucks.

Shaanxi Auto, of Xi'an in Shaanxi province, also plans production of key components in Brazil for its trucks assembled there.

In 2007, Shaanxi Auto started exporting trucks to Brazil through Metro-Shacman.

Last year, Shaanxi Auto sold 120,000 commercial vehicles worldwide, including 100,000 heavy-duty trucks.

Brazil has become a major export market for Chinese automakers. Chery Automobile Co., China's largest passenger-vehicle exporter, is building an assembly plant in Brazil.

Another Chinese light-vehicle maker, Jianghuai Automobile Co., plans to build an assembly plant in Brazil.

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