GM Invests Another $981 Million in Brazil

General Motors Co. plans to spend 3.1 billion reais ($981 million) to expand two factories in Brazil that make Chevrolet brand vehicles.

The investments in Joinville (1.9 billion reais) and Sao Caetano do Sul outside Sao Paulo (1.2 billion reais) are in addition to 1.4 billion reais in spending previously announced for GM’s factory in Gravatai.

The three projects are part of a 13 billion reais ($4.1 billion) GM capital spending program between 2014 and 2020 to expand the company’s Chevy lineup in Brazil and update models with connectivity and other advanced technologies.

Car and light truck sales in Brazil began shrinking three years ago. They plummeted from 3.77 million units in 2013 to 2.05 million last year, according to trade group ANFAVEA. But deliveries rose 4% in the first half of 2017. The association predicts the same pace of growth through year-end.