International Industria Automotiva da America do Sul Ldta. (“IIAA”), the South American subsidiary of Navistar International Corporation, recently celebrated the beginning of commercial truck production at the Navistar Industrial Complex, the company’s manufacturing facility in Canoas, Rio Grande Do Sul, Brazil. The new truck manufacturing line will have capacity for 5,000 trucks per year and potential for added expansion as demand grows.
Significance: The 40,000-square metre facility already serves as a parts distribution centre and produces diesel engines for MWM-International – a leading manufacturer of diesel engines from 2.8 to 13 liter for Latin America and other global markets, serving commercial vehicle, agricultural, industrial and marine applications. Navistar has invested more than $200 million USD in Brazil on a number of important strategic initiatives, including manufacturing operations, research and development, an emissions change from EURO-III to EURO-V standards and new product launches for the Brazilian truck market. By leveraging the existing facility in Canoas, Navistar was able to avoid a significant investment required by a greenfield project.
