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Toyota Plans Export-Oriented Pickup Plant in Argentina
Argentina has approved Toyota’s project under its large-investment incentive program, RIGI. The plan calls for a third plant at Toyota’s Zárate complex, with US$1.25 billion in eligible investment. The first model would be a full-hybrid pickup, with a possible SUV derivative later. The government estimates that around 70% of production would be exported.
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Eletra Scales Up Brazil EV Bus Chassis Production
Brazilian electric bus manufacturer Eletra has reported an order book of 713 buses. In early November, 232 chassis were in production at its São Bernardo do Campo plant for delivery by year-end, including 122 articulated units. Under its new production process, Eletra installs the electric drivetrain and controls on frames sourced from suppliers before sending…
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Deere To Build Sugarcane Harvester Lineup in Brazil
John Deere says it will consolidate global sugarcane harvester production at its plant in Catalão, Goiás, starting in fiscal 2029. The Brazilian plant already builds the CH7 and CH9 and will take over production from Deere’s Thibodaux facility in Louisiana, which currently builds about 35 sugarcane harvesters a year for the U.S. market.
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Brazil Sees High Interest Rates, Slower Growth in 2027
Itaú and Bradesco, two of Brazil’s largest private-sector banks, now expect the country’s economy to grow by less than 1% in 2027. Itaú cut its GDP growth forecast from 1.2% to 0.5% and raised its inflation forecast from 4.6% to 6.1%. Bradesco cut its growth forecast from 1.0% to 0.4% and raised its inflation forecast…
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Six of 13 Truck Manufacturers at Fenatran Are Chinese
The Fenatran show will bring together a record 13 truck manufacturers in São Paulo from Nov. 9 to 13, including six Chinese brands: BYD, Foton, JAC, Sany, Sinotruk and XCMG. Sany plans to unveil two battery-electric models, a 42-tonne tractor unit and an 18-tonne rigid truck initially configured for refuse collection.
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Zhongtong Announces Ambitious Brazilian Expansion

Fabio Ferraresi Chinese bus manufacturer Zhongtong announced its entry into Brazil through TEVX, with plans to establish local electric bus production and eventually target around 15% of the Brazilian market. Despite the ambitious announcement, the operation will start on a relatively small scale: so far, only 10 complete monocoque buses have been confirmed for commercial operation in the first quarter of 2027.
The first vehicles will be fully imported from China. The next planned step is to import Zhongtong chassis for local body assembly, potentially using established Brazilian bodybuilders, before gradually moving toward local chassis production and assembly from 2028 onward. The company has indicated that approximately 900 units per year would be required to justify a fully established local manufacturing operation.
Source: AutoData / Technibus / TEVX
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Renault Strengthens Argentina as Regional LCV Hub
Renault started series production of the new Niagara pickup Oct. 6, 2026, at its Santa Isabel plant in Córdoba, Argentina. The model was developed specifically for Latin American markets and will be manufactured exclusively in Argentina, strengthening the plant’s role as a regional production and export hub.
The Niagara is the 35th model produced at Santa Isabel and follows a multi-year transformation of the facility toward light commercial vehicles. The pickup is expected to be exported broadly across Latin America, increasing the plant’s exposure to regional demand rather than relying primarily on the domestic Argentine market.
Source: Renault Argentina
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VWCO Expands Alternative-Powertrain Portfolio
Volkswagen Caminhões e Ônibus has expanded its alternative-powertrain portfolio with the launch of the new e-Delivery 12 and e-Delivery 17 electric trucks and the start of sales of the Constellation Biometano. The new e-Delivery models extend VWCO’s electric offering into higher-GVW urban distribution applications, while the biomethane-powered Constellation targets applications where battery-electric solutions remain more difficult to implement.
The strategy broadens VWCO's decarbonization portfolio…
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Brazilian Truck Production Outlook Cut
Anfavea has revised its 2026 Brazilian truck production forecast downward to 115,600 units, from 118,200 previously, a 6.8% decline compared with 2025. Truck exports were revised more sharply, from 25,300 to 22,500 units, representing a 16.6% annual contraction.
From January through September, Brazilian truck production reached 92,300 units, down 6.4% year-over-year, while exports fell 21.3% to approximately 17,000 units. Domestic registrations have been more resilient, leading Anfavea to slightly…
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VWCO Truck & Bus Partners with SAIC

Fabio Ferraresi Volkswagen Caminhões e Ônibus, the Brazilian subsidiary of Traton Group, has partnered with China’s SAIC Motor to develop a new family of light commercial vehicles, marking VWCO’s entry into one of the largest segments of the Brazilian automotive market. The jointly developed vehicle is scheduled to be unveiled in November 2026.
Initial production will take place in China, with fully built vehicles imported into Brazil and Argentina to accelerate market entry. VWCO plans to progressively increase local content and transfer production activities to South America as volumes develop. The company expects to invest BRL 300 million, approximately USD $59 million, in the program.
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Fabio Ferraresi Managing Director, South America
Fabio Ferraresi is Managing Director, South America at Power Systems Research, where he leads regional market intelligence, consulting activities, and business development across multiple equipment segments. He holds a Bachelor’s degree in Mechanical Engineering from the University of São Paulo (USP) and an MBA in Business Management from FGV and Ohio University. Fabio also holds Six Sigma Black Belt, CMQ-OE and CQE certifications from the American Society for Quality.
Prior to joining PSR in 2014, Fabio spent 13 years at Eaton Corporation in Brazil and China, where he held leadership roles including supplier development manager, supply chain manager, factory manager, and quality manager. His experience spans the automotive and industrial sectors across South America and Asia. He also serves as director at Grupo Engenho, a consulting firm focused on operational excellence and business transformation and volunteers on key committees of SAE Brazil and AEA, nonprofit organizations that support the development of policies related to the products PSR covers.
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