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Chevrolet’s Parent Company to Invest Billions in Brazil to Modernize Factories, Update Cars, and Accelerate Hybrid Launch by 2028

Author profile image Viviane Alves
Written by Viviane Alves Published on 24/06/2026 at 22:13 Updated on 24/06/2026 at 22:14
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General Motors will increase its investments to R$ 10.5 billion, focusing on São Paulo factories, new vehicles, and hybrid technologies

On June 24, 2026, General Motors announced a new investment of R$ 3.5 billion in Brazil.

The investment will be applied until 2028 and will complement the R$ 7 billion announced by the automaker in January 2024.

The sum of the two projects will raise the investment cycle of Chevrolet’s owner in the country to R$ 10.5 billion.

The resources will be primarily allocated to modernizing the factories located in the state of São Paulo.

The plan also includes the renewal of the national portfolio and the development of new Chevrolet hybrid cars.

New investment expands investment announced in 2024

General Motors initially presented a plan of R$ 7 billion for the period between 2024 and 2028.

The resources began to be used in the same year as the announcement, according to information released by Chevrolet.

The first cycle was directed towards sustainable mobility, vehicle renewal, and the development of technologies for the Brazilian market.

The new stage will add R$ 3.5 billion to the manufacturer’s original plan.

The total value of the program will thus reach R$ 10.5 billion by 2028.

São Paulo factories will receive modernization

The industrial units in São Paulo will concentrate a significant portion of the new investments.

The São Caetano do Sul factory currently produces the Chevrolet Tracker, Spin, and Montana models.

The São José dos Campos unit manufactures S10, Trailblazer, engines, transmissions, and other components.

The Mogi das Cruzes facility, in turn, produces stamped parts used in vehicle bodies.

Part of these structures will be modernized to receive new processes, equipment, and technologies related to the brand’s future automobiles.

General Motors maintains five factories in Brazil

GM has five industrial units distributed across three Brazilian states:

  • Gravataí, in Rio Grande do Sul: produces Chevrolet Onix, Onix Plus, and Sonic;
  • Joinville, in Santa Catarina: manufactures engines, cylinder heads, and blocks;
  • Mogi das Cruzes, in São Paulo: produces stamped components;
  • São Caetano do Sul, in São Paulo: manufactures Tracker, Spin, and Montana;
  • São José dos Campos, in São Paulo: produces S10, Trailblazer, engines, and transmissions.

The industrial structure allows the company to manufacture vehicles, mechanical assemblies, and different components within the national territory.

Chevrolet prepares to renew its portfolio

The investments will also be used to renew the line of vehicles offered by Chevrolet in the Brazilian market.

The first cycle, initiated in 2024, has already helped to enable different launches by the automaker.

Two new versions of the Chevrolet Onix were presented, including a restyled configuration powered exclusively by ethanol.

The Chevrolet Sonic also arrived as a compact SUV to compete with Volkswagen Tera, Renault Kardian, and Fiat Pulse.

The brand also introduced the Chevrolet Spark EUV, GM’s first fully electric model in Brazil after the Bolt.

The Chevrolet Captiva EV marked, at the same time, the return of the Captiva name to the national market.

Electric models are assembled in Ceará

The Chevrolet Spark EUV and the Captiva EV were developed through partnerships with Chinese manufacturers.

The assemblies used in these vehicles arrive in Brazil almost ready from China.

The final assembly takes place in a subcontracted factory located in the municipality of Horizonte, in Ceará.

The process differs, therefore, from the traditional production carried out in General Motors’ own units.

Brazil gains space in General Motors’ strategy

Thomas Owsianski, president of General Motors South America, highlighted the importance of the Brazilian production structure.

The executive stated that the country has a solid industrial base, engineering capacity, a relevant consumer market, and qualified professionals.

These characteristics help sustain the development of the automotive industry and strengthen the company’s presence in the region.

Brazil could expand, in this scenario, its role as a production and export hub for General Motors to South America.

Investments will continue until 2028

The R$ 10.5 billion program will be executed until 2028.

New vehicles will be launched, factories will be modernized, and hybrid technologies will be developed over this period.

Chevrolet intends, with this, to renew its lineup and expand Brazil’s participation in its South American industrial strategy.

In your opinion, could hybrid cars accelerate the transformation of the Brazilian automotive market in the coming years? Leave your comment!

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Viviane Alves

Writer specializing in the production of strategic content covering macro and microeconomics, geopolitics, the energy market, the automotive sector, and global trade.

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