A crowd of distinguished guests, including Brazilian President Luiz Inacio Lula da Silva, attended Chinese automaker BYD's inauguration of its new mega factory in Camacari of Bahia state on Thursday.

The BYD Camacari plant, built on the former Ford site, will begin producing 150,000 vehicles a year. It's expected to produce 300,000 units in the second phase and up to 600,000 units at full capacity.

The Camacari plant, with an investment of $980 million, is BYD's largest factory outside China. Its vehicles will supply the Brazil market and the rest of the Latin-American subcontinent.

According to BYD, eight out of 10 electric cars and three out of 10 hybrid cars sold in Brazil are BYD models, and the shares are expected to grow with the launch of local production.

"This factory represents the recovery of the dignity of the people of Camacari and the people of Bahia. This is sovereignty and dignity," Lula said at the inauguration.

Lula said that what has come after Ford's departure will be much better, as the Chinese project also includes technological transformation.

"What we want is a civilized relationship with the world; that is why we defend multilateralism," the president said.

BYD CEO Wang Chuanfu highlighted Brazil's advantages as a production site.

"Brazil has unique and abundant clean energy resources, an open and diverse society, and citizens willing to embrace new technologies. In addition, the government launched the New Industry Brazil plan, focused on innovation and green transition, creating ideal conditions. Brazil is a leader in the green transformation," Wang said.

BYD Brazil President Tyler Li told China Daily how BYD will optimize Brazil's natural advantages.

"One of the company's missions is to renew the industrial base and make Brazil a leading player in the global energy transition. In addition to this industrial investment, we allocated $12 million to research and development," said Li.

"As a green tech committed to innovation, industrial scale and environmental respect, we are developing solutions that reduce dependence on fossil fuels. Among them, we highlight the hybrid flex engine, the result of a partnership between Chinese and Brazilian scientists," Li continued.

According to Li, BYD focuses on electric bus chassis production.

"We have innovated batteries that combine durability, safety and low environmental impact. We continue to develop solar photovoltaic generation projects, set up ultra-fast charging infrastructures that connect major urban and logistics corridors — an essential feature for buses and trucks," Li said.

Li said BYD is also participating in Sao Paulo's Metro Line 17-Gold project, which integrates heavy, low-carbon urban mobility.

Bahia's Secretary of Economic Development Angelo Almeida said BYD's arrival represents the rebirth of Camacari's automotive hub, generating employment, income and innovation.

"The company began production with semi-assembled vehicles and will advance to full production in the second half of 2026. This will create a value chain of maintenance, logistics, food and security. It is projected to bring in 10,000 direct jobs alone," Almeida said.

Bahia is home to the Senai Cimatec Park Development and Technology Center, with more than 1,500 professionals working in research and development for electric, connected and autonomous vehicles. Almeida said BYD may push the state's industry toward green technology production by leveraging the local research system.

"BYD has already expressed its intention to establish an Automotive Research and Innovation Center in the Salvador Metropolitan Region. This could consolidate the state as a reference hub for electric mobility, automotive software and electric propulsion system development," Almeida said. "This may help Bahia's technological potential, strengthening its role in Industry 4.0."