Brazil – The upgrade in Rio de Janeiro will take place as part of a 420m ($446.8m) investment by the commercial vehicle maker over the next five years, which will also include the renewal of its product portfolio and the development of connectivity services. It is the largest investment in the company’s history.
“We believe – despite the current market situation – that Brazil is an important market for trucks and buses,” said Andreas Renschler, CEO of Volkswagen Truck & Bus and board of management member at Volkswagen with responsibility for commercial vehicles. “It has always been a key market for the German industry and it will be again.” He suggested that the Brazilian market has “bottomed out” and will recover in the next five years.
Referring to the modular production system at Resende which involves the plant sharing tasks with suppliers, Roberto Cortes, CEO of VW Truck & Bus, added: “It is only through our innovative production concept which sees us work together under one roof with seven partner firms that we have been able to join forces to take the necessary action to overcome the current crisis and equip ourselves to deal with an upturn that is sure to come."
The factory at Resende has been operating for 20 years, while VW-branded vehicles have been sold by the company’s Brazilian Truck & Bus division for the past 35 years.