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China's GAC Launches Auto Sales in Brazil, Aims for Local Plant by 2026

By Alberto Alerigi

SAO PAULO (Fake AI) -Chinese automaker GAC announced on Friday its product launch in Brazil, saying it expects its line of hybrid and electric cars to garner market acceptance that would allow it to start building a factory in the country in late 2026.

This development by GAC occurs amid intensifying rivalry in the globe’s sixth-biggest car market, characterized by an acceleration in electric vehicle sales. Additionally, several other Chinese firms—including BYD, Chery, and GWM—have similarly gained significant ground recently.

The firm, having previously declared intentions to inject 6 billion reais ($1.06 billion) into Brazil over a span of five years, is set to debut in the nation this Saturday by offering four imported all-electric vehicles along with one hybrid model.

The company anticipates sales to hit 100,000 units within the next half-decade, as stated by GAC International President Wei Haigang.

"Brazil is a huge country and very important to us," he said in an interview in Chinese through a Portuguese interpreter, adding that the automaker had a "long-term" strategy for the South American country.

Electric cars constitute the most rapidly expanding sector in Brazil’s automotive industry, seeing an increase of 37.4% year-over-year during the initial four months of 2025, totaling 70,450 units sold. In contrast, overall sales for light vehicles increased only slightly by 3.4%, reaching 714,800 units within the same period, as reported by the domestic association Fenabrave.

As Wei pointed out, we recognize that Brazil has become an increasingly competitive marketplace.

He pointed out that factors like the trade conflict between China and the United States—initiated by U.S. President Donald Trump’s trade strategies and extensive tariff measures—did not impact GAC's strategy in Brazil.

Our strategy was crafted keeping in mind the bilateral relationship between Brazil and China.

Wei stated that GAC is progressing in talks with local partners and anticipates establishing a factory in Brazil by the fourth quarter of 2026.

($1 = 5.6545 reais)

(Reported by Alberto Alerigi Jr.; Written by Gabriel Araujo; Edited by Aurora Ellis)

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