China Automotive Begins Construction Of Facility In Sao Paulo, Brazil

(RTTNews) - China Automotive Systems, Inc. (CAAS) announced that it has begun the construction of the first stage of a facility in Sao Paulo, Brazil for the assembly of its steering units for sale in South American markets. CAAS began exporting to customers in August 2012.

Commenting on this new facility in Brazil, the company said it will assemble complete steering products from components exported by the Company in China. The initial capacity is 100,000 steering units and the facility can be expanded up to 700,000 units to meet growing demand.

The investment in this first stage is expected to be about $3 million. Commercial operations are expected to begin in April 2015.

CAAS said it is currently exporting steering products to the Brazilian operations of China-based, Chery Auto and a global Tier-1 vehicle manufacturer, in addition to the aftermarket in Brazil.