Bravo Motor Company enters the dispute with BYD and announces a billion-dollar investment in a mega lithium battery factory in Bahia, with the promise of generating thousands of jobs in the state.
Bravo Motor Company, in partnership with industry giants such as Rockwell Automation, SMC and ABB, announced an investment of R$1,2 billion in the construction of a mega lithium battery factory in São Sebastião do Passé, Bahia. This initiative, which focuses on meeting the growing global demand for energy storage solutions, promises to revolutionize the national energy sector, in addition to generating thousands of jobs.
Bravo Motor Company is looking for more partnerships for the venture
The initiative, in addition to generating thousands of direct and indirect jobs, will boost the local and regional economy if it comes to fruition. The mega lithium battery factory, an essential component for the energy transition, places Bahia in a prominent position on the national and international scene. To make the project viable, Bravo Motor Company is seeking partnerships with large global companies and the financial sector.
The CEO, Eduardo Javier Munoz, highlights the importance of relationships with development banks and equity funds to ensure the sustainability of the business. According to the executive to the Bahia Econômica website, the relationship with development banks is a relationship that the company is establishing, as growth will be exponential and it is always good to have access to more affordable financing.
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However, this financing is in addition to what is already committed by large companies with global presence such as Rockwell Automation, ABB, SMC, among the best known.
Will lithium battery megafactory compete with China's BYD?
Bravo Motor Company is using a financing strategy that prioritizes private capital. The company already has significant equity and seeks to supplement the investment for the project, which will create thousands of jobs, with participation funds, especially those aimed at the structural development of the country.
CEO Eduardo Javier explains that this approach speeds up the process, making it possible to start construction of the lithium battery megafactory more quickly. Development banks, such as BNDES and BNB, will only be sought as a complement, after negotiations with the private sector are concluded.
Overall, the Bravo Motor Company executive is confident about the competitiveness of the battery market, even with the arrival of major players such as BYD. The company sees robust demand not only in the automotive sector, but also in other segments such as energy, machinery and tools.
The strategic location of the factory in Bahia, with easy access to sea and land routes, will allow for efficient distribution of batteries and a significant reduction in the carbon footprint.
The agreement was signed in July
The announcement of the project took place in July, in Salvador, with the presence of Eduardo, who highlighted that this milestone represents a significant advance in the energy transition and sustainable economic development of Brazil.
The signing of the agreement was also attended by authorities from the municipality of São Sebastião do Passé, where the battery factory will be built. However, the Chinese manufacturer is not expected to use Bravo Motor Company's batteries, as it will have its own assembly line for this component.
Bravo's initial plan was to have a battery and electric car factory in Nova Lima, in the metropolitan region of Belo Horizonte (MG), in partnership with ABB and other major players. The announcement was made in 2021 in the presence of the state governor Romeo Zema.