VW to Build Assembly Plant in Brazil

Volkswagen said it will invest $484 million to build Audis and Volkswagens in a new assembly plant in southern Brazil. The plant will be built near Curitiba, the capital of the state of Parana and a gateway for trade with Brazil, Argentina, Uruguay and Paraguay, the four countries that make up the Mercosur free-trade bloc. The plant will employ 1,500 to 2,000 workers. About 40% of the parts will be imported from other Audi factories. The decision marks a coup for Parana, which has also persuaded Chrysler Corp. and Renault in the last year to build assembly plants near Curitiba. The investment will be evenly split between Volkswagen and Audi, a wholly owned Volkswagen unit.