Government Negotiates to Have a Factory in Brazil for American Luxury Electric Vehicle Manufacturer Tesla; Factory May Be Installed in Santa Catarina
The government is working to bring a factory of the American electric vehicle manufacturer Tesla to Brazil, as stated in a Twitter post on Thursday (20) by federal deputy Eduardo Bolsonaro (PSL-SP). TCU approved the privatization of 6 ports in Brazil across 5 states: MA, AP, PA, AL, BA, and PR
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It is speculated that the Brazilian government would offer some incentives for a potential Tesla factory in the country, such as financing, tax credits, and even the creation of specific laws to facilitate these operations on national soil. If this materializes, electric cars produced in Brazil could also be exported to Argentina, Chile, Paraguay, Uruguay, Colombia, part of the Caribbean, and Mexico.
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Min. @Astro_Pontes had ear surgery yesterday and today he was in a video conference with us and Mr. Popp from @EmbaixadaEUA at @mctic discussing bringing the American @Tesla factory, a renewable technology company that produces batteries and electric cars@DFDanielFreitas@elonmusk pic.twitter.com/S54jnjN7qs
— Eduardo Bolsonaro (@BolsonaroSP) February 20, 2020
The negotiation involving the Brazilian government and the company Tesla is being conducted by the Minister of Science, Technology, Innovations, and Communications, Marcos Pontes.
Although there are no confirmations regarding the date and location for the installation of the factory of the world’s largest luxury electric vehicle manufacturer, the destination of Elon Musk’s company, one of the highest earners of the year, is expected to be in Santa Catarina, specifically in the city of Criciúma.
Yesterday (19), federal deputy Daniel Freitas (PSL-SC) reported that the expectation is to install the Tesla factory in Brazil by 2023. Coming to Brazil is opening the way for the expansion of the Latin American market.
According to the public schedule of Minister Marcos Pontes, a meeting took place on the last day 12 between him and Brazilian representatives of the brand, including Anderson Pacheco, senior production engineer at Tesla.
Deputy Daniel Freitas is the author of a bill currently in Congress to exempt IPI and import tax for vehicles powered exclusively by electric energy. The exemption would last until 2029 and would include vehicles produced in Brazil and their batteries.
Sales of electric vehicles in Brazil have been growing and encouraging some launches, including a hybrid model from Toyota that runs on ethanol. GM launched the Bolt model in the country last year, imported from the USA, and Renault is already selling the Zoe and Leaf models in Brazil.
In 2019, sales of hybrid and electric vehicles in Brazil totaled 11,844 units, up from 3,965 in 2018, according to data from the automotive manufacturers association, Anfavea.

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