After China, Brazil to now get a Jaguar-Land Rover manufacturing plant.

Jaguar-Land Rover has signed an agreement with the Brazilian Government to set up a manufacturing plant in the City of Itatiaia. With this agreement, the Coventry-based company will become the first British car manufacturer to set up a facility in Brazil.

Jaguar Land Rover will invest avout USD 750mn in the programme and construction will commence by mid-2014. The first car is expected to roll of the assembly plant by 2016 and the facility will have a capacity of producing 26,000 cars.

JLR has had its presence in Brazil for more than 20 years now and currently has 35 dealers. The Evoque, Freelander and Discovery are the best-selling models in the Brazilian market as of now, but it is not yet confirmed which models are going to be produced at the new plant. JLR has sold 9,549 cars in the past 10 months in Brazil, an increase of 40 per cent as compared to the corresponding period last year.

Right now JLR is also constructing a manufacturing facility at Changsu in China. Unlike in China, JLR doesn’t have to get into a partnership with a local manufacturer in Brazil. According to the CEO, Ralf Speth, the new plants are a part of the company’s plans to increase its global manufacturing footprint and create additional capacity.