Toyota plant in Brazil to create 2,000 jobs
Plans are afoot to expand Toyota’s Sorocaba plant. Geraldo Alckmin, Toyota’s vice president for Brazil, revealed the company’s plans. According to him, the Japanese giant plans to invest USD 2.2 billion to expand the plant in the Brazilian state of Sao Paulo.
Toyota’s investment will create 2,000 new jobs. This is very important for a country with a high unemployment rate. The Brazilian government, therefore, fully supports the manufacturer’s initiative.
It is worth noting that information about the investment became known through the publication of the vice president on the social network X. In turn, Toyota did not comment on the statement for some time. The company confirmed the information without unnecessary details only after requests from several publications. Notably, Toyota is not the first company to expand its presence in Brazil. Previously, Volkswagen and General Motors announced plans to invest in local production. The incentive to increase car production was the Brazilian government’s innovations. Among them:
– popularising the use of electric vehicles;
– tax incentives for manufacturers of electric vehicles;
– a focus on energy-efficient technologies.
Brazil missed out on the global trend towards green transport for a long time. Only recently has the situation changed for the better. The president has stepped up efforts to reduce harmful emissions and has turned his attention to the transport sector.
Toyota’s electric direction
At Toyota, former CEO Akio Toyoda talked in 2020 about the collapse of car production due to the spread of electric cars. Since his departure, the company has changed its stance on green transport. However, it still lags far behind the competition in battery-powered vehicles.
Toyota has put its faith in hybrid cars. This has proved to be a more advantageous position than focusing solely on electric vehicles. The numbers reflect its success:
– in 2023, the group sold 11.2 million cars, ahead of its competitors;
– 30% of these were hybrids;
– electric cars accounted for just 1%.
The company defends the right of hybrids to exist with all its might. It is contesting decisions to dominate electric cars in some markets, including the US. Many experts have criticised Toyota for this stance. They believe that the company’s reluctance to go electric is having a negative impact on the industry as a whole. Activity on the part of the manufacturer would encourage other companies to step up development.
Toyota explains its position on the launch of electric cars by the imperfection of such products. According to the company, battery-powered vehicles are still seriously behind in performance. In addition, supply chain failures and semiconductor shortages are severely limiting the sector.
