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It’s Official! Ford Ends Its Contract with the Government of Bahia, and the Factory Will Be Transferred to Chinese BYD; Check Details!
Ford officially confirmed this Wednesday (04) that it has reached an agreement to transfer the factory in Camaçari, Bahia, to the state government. This paves the way for BYD, the Chinese electric vehicle manufacturer, to take control of the facilities. Ford and the government of Bahia signed the transfer contract, allowing the state to use the factory immediately, as stated in a release, according to an official story on the Vrum.
The Camaçari factory had been idle since 2021, when Ford announced its decision to end vehicle production in Brazil and focus on imports. This plant used to produce vehicles from the Ka line, including hatchbacks and sedans, as well as the EcoSport model. At the same time, Ford ended operations at two other factories in Brazil, located in Taubaté (SP) and Horizonte (CE), the latter specialized in producing Troller brand SUVs.
BYD and Its Plans for the Former Ford Factory
BYD had already announced plans to set up three industrial units in Bahia, including a chassis factory for electric buses and trucks, one for the production of hybrid and electric vehicles, and another focused on processing lithium and iron phosphate for batteries.
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The decision to occupy Ford’s factory or build new facilities depended on negotiations for tax incentives offered by the local government to Ford. Now, with the factory under the control of the state government, BYD can proceed with its plans. The Chinese company plans to invest R$ 3 billion in Bahia, generating around 5,000 jobs. This change represents a new phase for the automotive industry in the region and a bet on the future of electric vehicles in Brazil.
Factory in Bahia
According to the statement released to the press, the agreement aimed to simplify and expedite the process of transferring ownership of the factory, bringing value to both the state and the people of Bahia.
In March, BYD announced its intention to acquire Ford’s last factory in Brazil, the Automotive Polo of Camaçari, located in Bahia. The purchase of this automotive hub marks a significant step for BYD, involving the construction of three units within the newly acquired complex. The total estimated investment for this expansion is approximately R$ 3 billion by BYD.
