Original title: China's Huawei to invest $800 million in new Brazil factory
Netease Technology News August 10, according to foreign media reports, the governor of São Paulo State in southern Brazil said that Huawei plans to invest 800 million US dollars in the state to build a factory in the next three years, the Chinese technology giant is expanding the scale of its Latin American business. . (Netease Editor's Note: Brazil charges heavy taxes on imported mobile phones. For example, the iPhone is about 1 times more expensive than the US, so many mobile phone manufacturers set up factories in Brazil to avoid paying customs duties.)
Accompanied by Huawei executives on Friday, São Paulo governor Joao · Joao Doria said during his travel to China that the company is stepping up preparations to build the plant to meet the first batch of 5G spectrum auctions in Brazil. Expected demand. Brazil's first 5G spectrum auction time is scheduled for March 2020.
Huawei told Reuters in an email that the new factory might produce smartphones. Huawei said in a statement, "Based on the performance of the smartphone business in the local market, Huawei will consider building a factory in São Paulo in the near future. ”
According to the state government of São Paulo, Huawei's production capacity in the state will be oriented to Brazil's domestic and Brazilian foreign markets.
Huawei has been in Brazil for 21 years. The company has a factory in São Paulo that produces telecommunications infrastructure equipment and employs approximately 2,000 people.
The location of the new facility will be decided in the coming months, and this $800 million will be invested in the upcoming three years after the upcoming 5G auction in Brazil. Doria said the plant will employ 1,000 people by then.
In April this year, Reuters reported that Huawei launched two high-end smartphones in Brazil and hired employees to manage the business locally. The company is trying to enter the Brazilian smartphone market for the second time. According to Xinhua News Agency, Huawei released smartphones P30 Pro and P30 lite in Brazil in April this year. The P30 Pro is priced at R$ 5,499 (9850 RMB) and the P30 lite is priced at Rs 2,499 (4,480 RMB). It is higher than the Chinese price.
Huawei's smartphones sold in the Brazilian market are made in China, and now it has considered producing mobile phones locally in Brazil.
Although the US government has used national power to block Huawei on a global scale, few countries have responded to the US government’s killing behavior so far. Brazilian Vice President Hamilton & Middot; Hamilton Mourao said in June that Brazil has no plans to ban Huawei from entering the country's 5G network.
In the state of São Paulo in Brazil, Huawei has two factories in the telecom equipment market, Ericsson in Sweden and Nokia in Finland. In order to gain leadership in the deployment of 5G in Brazil, the two companies are currently engaged in a battle.
In response to Huawei's entry into the Brazilian market, Ericsson and Nokia did not respond to media requests for comment. (Tianmen Mountain)<#comment>#comment><#comment>#comment><#comment>#comment>