Hyundai to Start Building Plant in Brazil

Hyundai had a great year in the US. The Korean manufacturer managed to sell more cars than in 2008, which was not an easy task considering the recession. The sales increase was due to the fact that the automaker launched a lot of new models, payed serious attention to advertising and offered good financing options.

As the US market seems to be going okay, the Koreans turned their heads to Brazil some time ago and decided to build a plant there. According to just-auto.com, Hyundai is in the final stage of completing the paperwork needed to start building a new facility. The automaker attended a public hearing by the city council of Piracicaba, 112 miles northwest of São Paulo, for the environmental license.

The construction of the first company-owned Hyundai plant in Brazil is due to start in April. This project will be separated from the Carlos Alberto de Oliveira Andrade project, a distributor of Hyundai cars in Brazil which built a plant in Anápolis, state of Goiás, and produces the HR light truck and the Tucson SUV. CAOA is planning on selling 3,000 Tucsons each month and will also import the ix-35.

Hyundai’s plant will cost $750 million and will be able to build 150,000 units each year. The Korean automaker also plans to launch a compact car produced especially for the Brazilian market. The car will be based on the i20, but will be crafted in order to satisfy the market’s necessities and desires.