Huawei will Setup a New Factory in Brazil for $800 Million
China-based Huawei Technologies Limited has plans to build a new factory in Sao Paulo, Brazil.
The company will invest $ 800 million over the next three years to build this factory. The governor of São Paulo says Huawei is raising investment in Brazil as part of an initiative to expand its presence in Latin America instead of the United States. News Reuters.
According to reports, during a visit to China last Friday, Sao Paulo Governor Jawa Doria sat down with Huawei executives.
It was during this time that a local factory was discussed in order to meet the demand for Brazilian 5G network equipment. The auction of the 5G spectrum will be held in the country in 2020. Because of this, the company officials promised to build a factory in Brazil within a short time.
The smartphone will be manufactured at Huawei’s new factory in Brazil. The production capacity of the factory depends on the demand of smartphones in the country.
However, Huawei plans to supply the device to other markets in addition to meeting the local demand of Brazil from the factory.
Huawei has been operating in Brazil for over 21 years. The company already has a factory in Sao Paulo. The company is producing telecommunication infrastructure equipment. Huawei’s existing factory workers in Brazil are two thousand.
According to the governor of Sao Paulo, Jawa Doria, a new factory in Huawei will create jobs for up to a thousand people.
The new factory to be built in the vicinity of the existing factory or elsewhere, will be finalized next month. But the company plans to invest $ 800 million to build the factory. Investment may be increased if needed.
According to a Reuters report last April, Huawei is re-thinking the Brazilian smartphone market. The dominance of the company is increasing in the market.
The company has responded widely by unveiling several high-end handsets in Brazil.