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Navistar Launches Truck Manufacturing In Brazil

Posted on June 12, 2013

International Industria Automotiva da America do Sul Ldta. (“IIAA”), the South American subsidiary of Navistar International Corp., has begun 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 5000 trucks per year and potential for added expansion as demand grows.

The 40,000 sq m facility already serves as a parts distribution center and produces diesel engines for MWM-International—the manufacturer of diesel engines from 2.8 to 13 liters for Latin America and other global markets, serving commercial vehicle, agricultural, industrial and marine applications.

Navistar Engine Group - a leading manufacturer of diesel engines in the world, is a leader in technology and development of diesel engines in Latin America. With more than 3.8 million engines produced in its 59-year history, the company has a complete line of advanced technology engines - 2.5 to 13 liters and 50 to 428 horsepower - that meet the strictest emissions standards for pollutants. The company's products compete in very diverse market segments including: vehicular, agricultural, industrial and marine. During the last three years, Navistar has invested more than US$200 million in Brazil on a number of areas, 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.

            “We’re seeing great success in Brazil with our MWM engine business and we remain committed to the future in Brazil as we begin our truck manufacturing operations in Canoas,” said Eric Tech, president, Navistar Global Truck and Engine. “Our business in Brazil has served as a great model for our global growth efforts. Our ongoing investment in the Brazilian truck market—one of the largest commercial truck markets in the world—is a logical next step in our strategy.”