Fortaleza October 27, 2011- It is hardly news
that record flows of foreign direct
investment is coming into Brazil from China. The vast majority of it
from state-owned companies. The list totals US$ 35.75B in 2010 and more than
US$ 50B year to date in 2011, an all-time record.
Latest to join the fray, billionaire Eike
Batista, Brazilôs wealthiest man is now joining forces with Foxconn, the
Taiwanese electronics manufacture who builds iPads, iPods, iPhones and the like
under license from apple. Foxconn
will open its Brazilian factory and begin production of iPads here in December,
in an investment that will top US$12 B all-in.
Add to the list Chinese automakers Chery and Jac
both of whom have opened or are about to open factories here. Chinese energy
firm Sinopec, investing US$ 7B in Repsolôs Brazilian operations, Chinese
Sinochem, investing US$ 3B to purchase a 40%interest in Norwegian Statoilôs
Peregrino field.
Sany, a Chinese producer of heavy machinery has
announced that it is building a factory in Brazil to produce its equipment.
What is news is that these ââ¬ÅChineseââ¬Â products
will not be imported but are being, or will be produced here in Brazil,
injecting Billions into the permanent capital structure. These companies, these
factories, these jobs are here to stay once up and running, putting to rest the
idea that the recent Brazilian ââ¬Ågrowth spurtââ¬Â is a bubble-like phenomenon.
special to Homes Go Fast by Steven Glazer, Fortaleza
[email protected] & Skype = force-br
landline +55 85 3261 7884 mobile +55 85 9665.0855
