Fiat-Chrysler (FCA), the leader in Brazil with 18.8% of the market in 2019, is now following its investment plans in the country, shortly after a press conference in Betim.
According to the president of FCA Latam, Antonio Filosa, the automaker confirmed that it will launch six vehicles in 2020, with the new Fiat Strada pickup truck expected to hit stores in April.
As well as hybrid versions of the Jeep Compass and Jeep Renegade, in addition to the electric Fiat 500 and the RAM 1500 pickup truck and a new Jeep model.
Filosa also anticipated that a new 1.0 and 1.3 turbo engine factory in Betim, metropolitan region of BH, as it will start operating later this year.
"We'll have two major FCA events in Betim this year. First, the launch of the new generation Strada pickup truck in the second quarter, which is a leader.
So much excitement for Betim is the new turbo engine factory, which will begin production at the end of this year,” he said.
Largest in Latin America
The new facility will generate 1,200 new jobs at the Betim Automotive Hub, which will become the largest powertrain factory in Latin America.
After the opening of the new turbo engine factory at the end of 2020, next year the plant in Betim will begin producing two other new Fiat SUVs.
A new line of turbocharged engines is set to debut in the new generation of the Toro pickup truck, which is expected to hit the market in the first half of 2021.
Despite FCA's evident optimism, the current historic high of the dollar in Brazil and the price of some commodities are worrying the automaker's president.
According to Filosa, at the Betim factory, 90% of the parts used in the cars are made in Brazil, however, many of the brand's suppliers buy materials in dollars.
"Despite the strong dollar, the price of some commodities, especially precious metals, is sky-high today. This is a big problem because it's out of control."
According to him, the R$14 billion investment announced by the automaker's parent company for FCA Latam will be made until 2024, of which R$8.5 billion will be allocated to the Betim plant.
In short, it remains unchanged and could even be increased after the merger with the French group. “With the merger, other investment opportunities will certainly arise,” guaranteed Filosa.