By Brazil Stock Guide – General Motors Co. (GM, NYSE: GM) has begun producing electric vehicles in Brazil, marking a new chapter in the company’s regional strategy. President Luiz Inácio Lula da Silva attended the ceremony on Dec. 3 at GM’s plant in Horizonte, Ceará, where the Chevrolet Spark EUV—introduced earlier this year—is now rolling off the production line.
The event underscores Brazil’s push to expand its EV footprint while revitalizing its industrial base. Lula said the size of the domestic market makes it essential to prioritize local manufacturing and broaden consumer access to modern vehicles. “The Brazil we want needs to produce cars for Brazilians first,” he said. “We can export the surplus, but before anything else, people here deserve access to what this country builds.”
Lula highlighted the country’s renewable-energy advantage, noting that 53% of Brazil’s electricity matrix is already green, surpassing long-term targets set by many developed nations. “That’s why the EV transition matters, and why GM’s decision matters,” he said. “It shows this country is not behind anyone.”
He also pointed to improving macroeconomic indicators, citing lower inflation, rising minimum wages, record employment levels and a decline in poverty. “Money is reaching the hands of ordinary people,” Lula said.
Vice President Geraldo Alckmin, who also serves as minister of Development, Industry, Commerce and Services, said GM’s move strengthens Brazil’s automotive supply chain and accelerates the shift toward sustainable mobility. He noted that this is the third auto plant revived under the current administration. “When Lula took office, the automotive industry was in crisis,” Alckmin said. “He launched the subsidized-car program, and 29,000 vehicles were sold in a single day.”
GM also confirmed that the Chevrolet Captiva EV will enter local production in 2026, coinciding with the company’s 100th anniversary in Brazil. Santiago Chamorro, president of GM South America, described the decision as part of a long-term strategy. “Brazil has the scale and talent to move forward in electrification, as long as progress aligns with market conditions,” he said.
The government’s Mover program—Mobility, Green and Innovation—has allocated R$19.5 billion to support energy-efficient technologies, require minimum recycling standards in vehicle production, introduce tax reductions for lower-emission models and accelerate industrial decarbonization.
Automakers have already announced R$130 billion in new investments in Brazil this year, signaling renewed confidence in the country’s EV strategy and broader industrial recovery.
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