According to reports in foreign media, Huawei will invest USD800 million, which is about CNY5.65 billion, to build a new factory in Brazil's Sao Paulo to make 5G base stations.
Governor of Sao Paulo Joao Doria visited Shanghai in August 2019 and had a meeting with executives of Huawei. Doria said that 5G is a revolution instead of progress. It will be applied to telemedicine, education and public security.
It is said that Huawei will build this new factory before 2022 and the company will also establish research institutions in Sao Paulo.
Huawei has been operating businesses in Brazil for 21 years and it has a telecom infrastructure production equipment factory with 2,000 employees in Sao Paulo. The Chinese company previously closed its consumer business in Brazil in 2015; however, it restarted local mobile phone business in May 2019 and launched two high-end products. In addition, the company plans to make some basic mode mobile phones in Brazil.
Brazil is the world's fourth largest smartphone market. Market research firm IDC predicted that Brazil's device sales will rise in 2019 and mobile services will become one of the major growth sectors in the information and communication technology industry of Brazil.