BYD to begin electric vehicle assembly in Brazil this month

The company plans to assemble 50,000 vehicles this year using imported kits, says SVP BYD Brazil

China’s BYD is preparing to begin assembling electric vehicles in Brazil this month at a new factory in Bahia state, as it looks to reduce imports following a rise in tariffs.

The company plans to assemble 50,000 vehicles this year using imported kits, according to a top executive.

Alexandre Baldy, senior vice president for BYD in Brazil, said the plant will be inaugurated soon, although final regulatory approvals are still pending. The company has already completed its planned imports for the year before the new import tax took effect on July 1.

BYD shipped about 22,000 finished vehicles from China to Brazil in the first five months of the year to avoid the higher tariffs. The move prompted criticism from Brazil’s auto industry, which said the company was focusing too much on Chinese production rather than ramping up local operations.

The plant is expected to begin full production in July 2026. Until then, it will assemble vehicles from complete knock-down kits. Once fully operational, the site in Camacari, which BYD took over from Ford in 2023, could create up to 20,000 direct and indirect jobs.

Earlier this year, labor inspectors accused contractors building the complex of labor violations. In May, Brazilian prosecutors filed a lawsuit against BYD, alleging human trafficking and conditions similar to slavery. Efforts to reach a settlement failed.

Baldy said BYD aims to comply with Brazilian laws and respect human rights and is seeking a resolution to the legal dispute.

Monitoring Desk
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