Lula declares Brazil is ready for business during the inauguration of a Chinese factory
Speaking at the opening event for a factory for Chinese automaker GWM (601633.SS) in the state of Sao Paulo on Friday, President Luiz Inacio Lula da Silva said that foreign companies that want to do business in Brazil are welcome.
The Brazilian government can be trusted. Leave, whoever wants to. Lula said at the event, “We welcome anyone who wants to come.”
Register for the Reuters Auto File newsletter to get the latest news, trends, and innovations in the world’s auto business. Use this link to sign up.
U.S. President Donald Trump put 50% tariffs on Brazilian goods during Lula’s speech. He said that his country is going through “unnecessary turbulence.”
In a recent interview with Reuters, Lula said that he would start a talk at the BRICS group of developing countries, which includes China, about how to deal with Trump’s tariffs.
Earlier, the leftist leader said that automakers Ford (F.N) and Mercedes (MBGn.DE) had chosen to cut back on their operations in Brazil. However, he welcomed new companies like China’s GWM (601633.SS), opens new tab. The president said that Brazil is always ready to talk about doing business.
A press statement says that GWM’s Brazilian branch can make 50,000 cars a year and will potentially create more than 2,000 jobs when it starts sending cars to Latin America.
From 2024 to 2025, Brazil’s auto exports are expected to rise 38.4%, hitting 552,000 units, according to data released last week by the Anfavea association of automakers.
