Chinese player BYD is on track to convert Ford’s former traditional car factory into an electric vehicle plant in Brazil, President Lula da Silva announced on social media platform X on Thursday.
BYD boosts EV production in Brazil
BYD continues to intensify its push to advance as the leading player in the global electric vehicle industry. As part of these efforts, BYD is looking to boost its electric vehicle production beyond Asia.
According to the announcement, BYD plans to allocate 608 million to converting the former Ford factory in Brazil to support electric vehicle production.
BYD reportedly plans to commence the expansion and modernization of the factory as early as February 2024.
About the factory
The former Ford fossil fuel car factory will soon become BYD’s new electric vehicle manufacturing facility outside its home region.
To be specific, the upcoming converted factory is in Camaçari, Bahia. It is expected to open 10,000 job opportunities for locals.
BYD Brazil President Tyler Li announced that the new electric vehicle factory can hit an annual production capacity of 150,000 cars in a year.
BYD to partner with Brazil’s Sigma Lithium
EV-a2z previously reported BYD’s ongoing discussions with Sigma Lithium for a potential supply partnership. The two parties are also exploring a joint venture or even an acquisition.
Interestingly, BYD is willing to allocate a whopping $2.9 billion to the Brazilian lithium giant. However, BYD Brazilian Chair Alexandre Baldy noted that “nothing is concrete” about the plans yet.
BYD’s move to explore a new partnership with a local lithium supplier is crucial for the company to establish its own supply chain in Brazil, enabling it to lower production costs and benefit from local incentives. Apart from expanding its electric vehicle production in Brazil, BYD also announced plans to invest $14 billion in smart car technology.
