News Room - Business/Economics

Posted on 26 Aug 2025

GWM inaugurates production plant in Brazil

Chinese auto giant GWM has inaugurated a production plant in Iracemápolis, São Paulo, which it says is its first full-process manufacturing hub in South America.

The new facility, which is also its first production site in the Americas and the Southern Hemisphere, and the third outside of China with a full production base, will have a capacity of 50,000 vehicles, Kallanish learns. It will initially produce the GWM HAVAL H6, which comes in hybrid and plug-in hybrid versions, and two diesel models.

At the inauguration event earlier this month, Brazilian President Luiz Inácio Lula da Silva said the facility “is very important for Brazil’s national industry” as it “shows that Brazil has the capability to acquire advanced technology and produce vehicles that can compete with those from any country in the world.” It will create 1,000 local jobs by year-end, reaching 2,000 when it begins exporting vehicles to Latin America. The plant will source components such as paint, tires, seats, wiring, and glass from 18 Brazilian suppliers.

GWM is planning a total investment of BRL 10 billion ($1.8 billion) in Brazil across ten years. The first phase, which runs through 2026, envisages a BRL 4 billion spend to launch the brand and the reactivation and expansion of the Iracemápolis plant, which it acquired from Daimler Group in 2021.

The second phase, spanning from 2027 and 2032, will see an investment of BRL 6 billion to localise parts manufacturing and developing new products. GWM is enrolled in the MOVER programme, a federal policy that provides tax incentives for automakers that invest in domestic production and R&D.

Brazil will also be home to the company’s first overseas R&D centre, dedicated to adapting powertrains, chassis tuning, and intelligent systems for Latin American roads. GWM is looking to launch its first hydrogen-powered truck in Brazil and will unveil a model of a hydrogen boat at COP30 in November.

Alongside Chinese peer BYD, GWM accounts for 55.9% of the electrified market in Brazil, according to the Brazilian EV association ABVE. BYD inaugurated a new production plant in Camaçari, Bahia, last month.

Source:Kallanish