General Motors Bets on the Brazilian Market with New Hybrid Model, Line Modernizations, and Facelifts in Gravataí (RS)!
General Motors along with President Lula, announced an investment of R$ 7 billion in the Gravataí factory, in Rio Grande do Sul, aimed at the production of a new hybrid SUV model derived from the Chevrolet Onix. Scheduled for 2026, the new Onix SUV will utilize the GEM platform, the same as the popular Onix and Tracker, and promises to be a milestone in the evolution of compact hybrid vehicles in Brazil. Additionally, GM also envisions significant modernizations for the Onix and Tracker lines, reinforcing its commitment to innovation and sustainability in the Brazilian automotive market, according to colunafinanceira.
Expansion and Modernization of the Gravataí Factory
The Gravataí factory will undergo a significant transformation with the billion-dollar investment. In addition to producing the new Onix SUV, the plant will be modernized to incorporate cutting-edge technologies, increasing efficiency and sustainability. GM plans to facelift the Onix and Tracker models, with the Tracker being the first to receive visual updates, finishes, and a new multimedia center integrated into the instrument panel, similar to what debuted in the Spin.
The initiative aims to maintain Chevrolet’s competitiveness in the compact and hybrid SUVs segment, offering modern and sustainable options to Brazilian consumers. According to Santiago Chamorro, President of GM South America, “Brazil has a very strong potential for electric vehicles, with minerals for battery manufacturing. Consumer demand and curiosity are growing“.
-
Goodbye heavy pedal, fluid, and traditional hydraulic brake? Brembo is putting Sensify into production, a brake-by-wire system that transforms braking into software and controls each wheel independently without relying on conventional mechanical pressure.
-
End of the Toyota era: with a hybrid engine of up to 235 hp, BYD King surpasses Corolla for the first time in Brazilian retail and accelerates Chinese advancement in the mid-size sedan segment.
-
300 units take the Mitsubishi Triton Terra to the heart of agribusiness, putting a 205 hp pickup with a more rugged look and twin-turbo on the roads, and transforming the limited edition into a new showcase for the competition for strength, presence, and productivity in the field.
-
Brazil records incredible growth in electric cars with a historic 17.7% share in April, and Chinese brands accelerate their dominance over the Brazilian automotive sector in 2026.
Launch of the Onix Hybrid SUV
The new Onix SUV, which will be positioned below the Tracker, is being designed to compete with models such as the Fiat Pulse and the Renault Kardian. Equipped with a updated 1.0 turbo flex engine, including direct fuel injection, the vehicle promises to offer a combination of power and efficiency. Although specific details about the hybrid technology have yet to be disclosed, the new model is expected to bring significant innovations in terms of performance and fuel economy.
This launch reflects GM’s global strategy to expand its lineup of electric and hybrid vehicles, as announced by CEO Mary Barra, who plans to manufacture only electric cars by 2035. In Brazil, GM already sells the 100% electric models Bolt EV and Bolt EUV, which are imported.
GM and the Brazilian Government: Partnership for the Future
The announcement of the R$ 7 billion investment was made in Brasília, following a meeting with President Luiz Inácio Lula da Silva and senior members of the federal government. During the meeting, GM’s international president, Shilpan Amin, and Santiago Chamorro highlighted Brazil’s strategic importance for GM’s global expansion.

In addition to being an exporter of vehicles to South America, Brazil has a robust engineering development center and a market with high growth potential. “Brazil is strategic for GM’s global business expansion plan“, Amin stated.
New Launches and Sustainability
GM also confirmed six new launches for 2024, including the models Blazer and Equinox EV, as well as the new Spin. These launches are part of the billion-dollar investment cycle announced, highlighting Chevrolet’s commitment to innovation and sustainability.
During the press conference in Brasília with President Lula, GM executives mentioned the Voluntary Dismissal Plan (PDV) carried out at the end of last year, which resulted in the dismissal of about 1,200 employees. Despite the layoffs, GM reaffirmed its commitment to the Brazilian market, emphasizing that operations will continue and investments will proceed to strengthen its presence in the country.
Therefore, GM’s investment of R$ 7 billion in the Gravataí factory represents a significant milestone in the Brazilian automotive industry, bringing innovations and advanced technologies to the market. The launch of the Onix Hybrid SUV and the modernizations in the Onix and Tracker lines are important steps toward consolidating Chevrolet as a leader in the segment of popular and sustainable vehicles in Brazil.

Be the first to react!