Nissan Motor announced on October 6, 2011, its decision to invest Rs. 7,000 crore to build a new manufacturing plant in Brazil as it targets to triple its market in Latin America’s largest economy by 2016.
Starting in 2014, the new factory in Rio de Janeiro will produce 2,00,000 units per year, announced Nissan’s Chief Executive, Mr. Carlos Ghosn. The Renault-Nissan alliance is trying to tap the potential of the BRIC markets- Brazil, Russia, India and China and Mr. Ghosn recently stated, “Just as Nissan has demonstrated in China, Russia and India, we are investing in the regions with the most potential for growth.” Over the last 10 years, the group’s production in these four countries has increased from under 50,000 units to 12,00,000 units.
Mr. Ghosn also added the new plant will produce Nissan’s “V platform” of cars and would directly create 2,000 jobs. Nissan also has plans to launch 10 new models in Brazil by 2016, which also includes the new Versa sedan. Nissan choose Resende (in Rio de Janeiro state) to build its plant because of its proximity to the ports of Itaguai and Rio de Janeiro.