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Chinese automotive companies are increasingly turning their attention to South America, viewing the region as a strategic hub for growth and manufacturing expansion. This shift has been driven by a combination of competitive pricing, advanced technology, and a strong push toward electric vehicle production, which has positioned Chinese automakers ahead of many traditional manufacturers globally. While Chinese brands have been present in South American markets for some time, recent years have seen them move beyond imports, with several establishing local factories and others planning to do so in the near future. The trend began earlier with Chery, one of the first Chinese automakers to set up a factory in South America. In 2014, Chery opened its production and assembly plant in Anápolis, Goiás state, Brazil, producing models aimed at both the Brazilian market and other parts of the region. This marked a significant step in the company’s international strategy, allowing it to reduce costs associated with importing vehicles while increasing its regional footprint. More recently, Great Wall Motor (GWM) has made headlines with the launch of its plant in Iracemápolis, São Paulo state, on August 16, 2025. The facility, previously owned by Mercedes-Benz before its exit from the complex, commenced operations with an initial capacity of 50,000 vehicles per year. Plans include expanding this number to 100,000 units annually, transforming the site into a key exporter for South America. The plant's first product is the Haval H6 GT, signaling GWM’s commitment to the region. Another major player entering the scene was BYD, which inaugurated its first factory in Brazil on October 9, 2025, located in Camaçari. The investment totaled $1.1 billion, and the plant produces three models tailored for the regional market: the BYD Dolphin Mini (marketed as Dolphin Surf in certain countries), the hybrid sedan King, and the SUV Song Pro. This move underscores BYD’s ambition to establish itself as a leading manufacturer in South America. Looking ahead, Omoda & Jaecoo (O&J), part of the Chery Group, announced plans to begin production in Argentina. The company intends to set up a knock-down (KD) assembly plant and a regional spare parts center to serve Latin America. However, specific details regarding the location of the plant and whether it will be built from scratch or utilize existing infrastructure remain unclear. In addition to Argentina, O&J has acquired the former Land Rover plant in Brazil, where the British brand previously produced two models for the regional market. Geely is also making strides in Brazil through its partnership with Renault. The company is set to start producing the hybrid SUV EX5 EM-i at the Ayrton Senna Complex in São José dos Pinhais, Paraná state, which belongs to Renault. This collaboration follows Geely’s acquisition of a 26.4% stake in Renault Geely do Brasil. Further plans include launching the Geely EX2 at the same facility later this year, reinforcing the company’s presence in the region. Meanwhile, MG Motor, a British brand under the ownership of China’s SAIC Motor, continues to operate in Brazil, leveraging its parent company’s resources and expertise. Although specific developments related to MG’s operations in the country were not detailed in recent reports, the company remains active in the South American market. The growing interest of Chinese automakers in South America reflects broader trends in global automotive manufacturing. By setting up local plants, these companies aim to reduce logistical costs, better meet consumer demands, and tap into emerging markets. Their strategies often involve partnerships with local firms or acquiring existing facilities, as seen with GWM and O&J in Brazil. As more Chinese automakers enter the region, they are likely to reshape the competitive landscape of the South American automotive industry.