Volkswagen becomes latest firm to put faith in Brazil
Car manufacturer Volkswagen has said that it will be buying Brazilian property when it invests over £2 billion in its operations in South America.
The German automobile giant said that it hopes to be building a million vehicles a year in the country by 2014, while new models will also be developed there.
Production will be expanded at its Anchieta and Taubate vehicle production plants and at an engine plant in Sao Carlos.
Volkswagen also said that deliveries to Brazilian property owners have risen by 70 per cent since 2005, to reach 585,000 vehicles last year, highlighting the economic wellbeing of the country.
Chief executive Martin Winterkorn said: "Brazil is one of our most important growth markets worldwide. We expect demand there to rise significantly over the coming years and we are now systematically adjusting our manufacturing capacity."
Earlier this week, US motor company Ford announced that it would be investing billions of pounds in its operations in Brazil next year.
