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Caoa Chery May Lose Factory in Jacareí After Suspension of Operations. City Hall Gives 45 Days for the Automaker to Present a Recovery Plan or Face Land Expropriation.
The situation of Caoa Chery in Jacareí, São Paulo, has reached a critical point. Closed since 2022, the factory inaugurated in 2010 is under threat of expropriation by the City Hall if the automaker does not present a concrete plan to resume operations within the next 45 days.
The municipal government claims that the unit, built with tax incentives and public investments, has not fulfilled its expected social function, especially in job generation. If the deadline is not met, the land may be auctioned to attract new companies to the city.
Promise of 3 Thousand Jobs That Never Materialized
When Caoa Chery took over the plant, the expectation was to create more than 3,000 direct jobs, boosting the local economy. However, the numbers fell far short: in 2020, the factory had only 444 employees, according to official data from the City Hall.
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The halt of operations in 2022 worsened the scenario. Since then, the building has remained without production and workers, which has generated criticism from the public and local political leaders. For the municipal administration, the lack of operations represents a significant economic and social loss.
Economic Impacts and Possibility of Auction
Mayor Celso Florêncio stated that the attempts to dialogue with the automaker have not been successful. “We tried to negotiate but without progress. Now, we are evaluating legal measures to resolve the impasse,” he stated.
The factory’s land, valued at R$ 63.8 million, may be auctioned if the expropriation is carried out. The compensation amount for Caoa Chery is estimated at R$ 17.7 million, considering that the municipality has already invested around R$ 46 million in infrastructure and tax benefits to facilitate the installation of the automaker.
Company’s Response and Land Transfer
In a previous statement, Caoa Chery justified the halt as part of a restructuring process. Part of the land has already been transferred to Omoda Jaecoo, a brand also linked to the group. However, so far there is no information about the start of operations of this new company in the city.
According to the City Hall, the official letter requiring the presentation of a reactivation plan or use of the property will be formally delivered in the coming days. If there is no response within the stipulated deadline, the expropriation process will be initiated immediately.
Uncertain Future and Legal Dispute on the Horizon
The possibility of expropriation opens space for other industries to establish themselves on the site, taking advantage of the existing infrastructure. However, the process may lead to a legal battle between Caoa Chery and the municipality, especially regarding compensation amounts and the legality of the measure.
And you? Do you think the City Hall should expropriate the factory to bring in new companies, or does Caoa Chery still deserve more time to resume operations? Leave your opinion in the comments.
No contrato inicial deveria ter previsto a quebra unilateral do mesmo e as possiveis penalidades. Então nada a temer.
Isso está fixado no contrato de doação do terreno, desde o início. A doação da área está condicionada ao efetivo funcionamento da planta e a geração de empregos. Quando a fábrica fechou (com aquele argumento mandraque imposto pela CAOA de que iriam converter a planta para veículos elétricos), a CAOA Chery se comprometeu com a Prefeitura de que a planta seria retomada em um prazo de até 3 anos. Esse prazo se esgotou e nada aconteceu.
Não houve somente a compra e a doação do terreno. Instalação de redes de água, esgoto, energia, Internet, etc, foi tudo bancado pela prefeitura. Até mesmo o reembolso dos custos de terraplanagem foi feito, fora a isenção na cobrança de tributos. Então, se a fábrica está parada há mais de três anos, a CAOA não quer retomar o complexo, não libera o uso para os chineses e nem mesmo coloca a planta para venda, mesmo havendo interessados (não somente montadoras), o melhor a se fazer é colocar a questão em litígio e desapropriar o complexo, pois toda essa situação está gerando prejuízos para o município.