VW announces billionaire investment
O Estado de S. Paulo
After a year taking advantage of the tax cuts, the Brazilian car industry moves on to a new cycle of investments. Last week, Ford announced a R$ 4 billion (US$ 2.3 billion) program for the period between 2011 and 2015, the biggest one of the maker in 90 years of Brazil. Today, it is the time of Volkswagen to announce its plan for the coming years, which may even exceed that of the rival.
The last balance of investments announced by makers and auto parts amounted to US$ 23 billion for the period between 2008 and 2012, but it is already outdated, as admited the National Association of Motor Vehicle Manufacturers (Anfavea) itself. The entity prepares an update report of such data to be presented shortly.
The new investments of the makers are overlapping those announced previously. Volkswagen has a R$ 3.2 billion (US$ 1.9 billion) program underway for the 2007-2011 period that will be replaced by the announcement to be made today. Ford also had a R$ 3.4 billion (US$ 2 billion) plan for the 2007-2012 period. In the market, there are rumors that the Volkswagen project contemplates between R$ 4 billion (US$ 2.3 billion and R$ 5 billion (US$ 2.9 billion), which will be distributed to the four plants of the group in São Paulo and Paraná.
The plant that will benefit the most, as already advanced the President of Volkswagen Brasil, Thomas Schmall, is the Anchieta one. The unit of São Bernardo do Campo (SP) was the first one of the group to be installed outside Germany, more than 50 years ago, and it is the biggest one of the group in the Country. It produces the Gol, Saveiro, Polo and Kombi models.
Last week, the headquarters of Volkswagen announced investments of nearly US$ 30 billion in all units of the group. Half of that amount will be invested in units in Germany and the other half will be redistributed to other countries, including Brazil, the third biggest market of the maker, only behind China and Germany.