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The New Toyota Factory in Sorocaba Is About to Be Inaugurated, Replacing the Indaiatuba Unit. With This New Installation, Toyota Plans to Create More Than 8,000 Jobs, Boosting the Local Economy and Providing New Opportunities for the Region.
A new Toyota factory in Sorocaba is about to be inaugurated, aiming to double car production alongside the currently installed factory in the city. Toyota’s president in Brazil, Evandro Maggio, announced the news on Wednesday (5), highlighting that the new unit should generate thousands of jobs.
This significant investment reflects Toyota’s commitment to expanding its operations in Brazil, boosting the local economy and creating job opportunities in the region. With cutting-edge technologies and advanced manufacturing practices, the new factory promises to significantly increase Toyota’s production capacity in the country.
Understand More About the Focus of the New Toyota Factory in Sorocaba
According to the executive in an interview with journalists, the project for the new Toyota factory in Sorocaba will be completed in 2026. The multinational essentially aims to mirror the plant. In current numbers, the factory in the city has the capacity to produce 175,000 vehicles per year. In the city, the company produces sport utility vehicles Corolla Cross, including the hybrid flex version, as well as the Yaris hatchback.
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The new Toyota factory in Sorocaba promises to generate 8,000 job vacancies at Toyota, but in reality, it’s a transfer since the Indaiatuba unit will be closed and transferred to Sorocaba.
The closure of the Indaiatuba unit prompted protests from the workers at the unit, as well as from the union. The Indaiatuba unit, or Indaiá as it is called, produces 76,000 vehicles per year.
With the change, the new Toyota factory in Sorocaba is expected to generate around 8,000 job vacancies, and hiring through Toyota’s own selection platform is expected to start in the second half of 2025. This occurs because the new factory is set to begin operations in the first half of 2026, coinciding with the gradual closure of the Indaiatuba unit.
The New Toyota Factory in Sorocaba Receives Billion-Dollar Investments
Toyota announced earlier in March a plan to invest 11 billion reais in Brazil by 2030. Maggio stated that of the 11 billion in the brand’s investment plan, approximately R$ 5 billion will be used for the expansion of the new factory in Sorocaba and the transfer of operations from Indaiatuba to the complex, in addition to the launch of two cars, one being a hybrid compact in 2025 and another vehicle that will come after the expanded factory is completed in 2026.
It is worth mentioning that in 2020, the company made the same decision regarding the unit in São Bernardo do Campo, in the ABC Paulista region, closing the unit in September 2021 and moving operations from that plant to Sorocaba.
Basically all sectors of the ABC unit were moved to Sorocaba, including marketing, human resources, commercial, purchasing, legal, and financial areas. The built area of the unit was 6,200 square meters. The complex that housed these areas in the ABC was sold.
Will Toyota Sell the Old Unit?
When asked about local media reports regarding the potential sale of the Indaiatuba unit to Chinese automakers, Maggio stated that it is not the company’s focus at the moment, but acknowledged that the trend is for the automaker to divest from the unit.
This wouldn’t be the first time an Asian group acquired a vehicle factory from an established automaker in Brazil. Ford sold its factory in Camaçari (BA) to BYD, and Mercedes-Benz sold a factory in the interior of SP to the Chinese GWM.
The Toyota factory in the ABC was the oldest in Brazil, outside of Japan, with the automaker establishing itself in the city in 1962, where it produced the iconic Bandeirante utility vehicle, manufactured until 2001, with just over 103,000 units produced.
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