The Chinese automaker GAC announced on Wednesday, October 18, that it will start producing its car models in Brazil from 2027. This operation will take place at the HPE group's complex in Catalão, Goiás, which has been manufacturing Japanese Mitsubishi models since 1998. GAC's entry into the Brazilian market marks an important step as the company aims to expand its footprint in Latin America, responding to the growing demand for Chinese-made vehicles in the region.

As part of its investment strategy, GAC plans to invest $1.3 billion in Brazil by 2030. This significant funding will not only support the establishment of production facilities but will also include the development of a hybrid flex engine in collaboration with several Brazilian universities, including UFSC, UFSM, and Unicamp. This initiative demonstrates GAC's commitment to innovation and environmental sustainability in the Brazilian automotive sector, positioning itself competitively against established local and international brands.

While the specific models to be produced in Brazil have not yet been disclosed, the likelihood of the GS3—the brand's compact SUV—being the first model assembled locally is high. The GS3 is currently making its debut as an imported vehicle, with a promotional launch price starting at R$ 129,990, which will adjust to R$ 139,990 by the end of March. This production venture not only signifies GAC's long-term investment in Brazil but also reflects the increasing trend of foreign manufacturers establishing production bases to cater to local markets more effectively.