Chery

Chinese carmakers JAC and Chery will open factories in Brazil, Brazilian Industry Minister Fernando Pimentel said Thursday.

JAC's plant will be in Camacari in the northeastern state of Bahia and construction will start on Nov. 28. The plant is expected to be operational by late 2014.

Chery's factory will be in Jacarei, Sao Paulo.

Also on Thursday, the Brazilian government announced a new program that gives four-year tax breaks to manufacturers of economy cars.

The program, which will go into effect in 2013, is aimed at encouraging automakers to produce more compact fuel-efficient cars.