China Automotive Systems to Build Power Steering Component Plant in Brazil

China Automotive Systems announced that it has begun construction of a plant in Sao Paulo, Brazil. The new plant will assemble steering system components for the South American market with an initial annual production capacity of 100,000 units, which can be expanded to 700,000 units. The initial investment of 3 million US dollars, scheduled for operation in April 2015.

The Chinese auto system began exporting the steering system components to Brazil in August 2012. In the future, the new factory will be converted to local production, and supply will be expanded to China's Chery Automobile and other auto makers, Tier 1 suppliers, and Brazil's aftermarket.