Toyota Motor is ready to resume construction work at its new assembly plants in Brazil and Mississippi which were put on hold during the economic downturn.

According to the Nikkei business daily, the company has not confirmed the move but analysts told Reuters that re-starting work on the factories would not be a surprise given the growth in the Brazilian market along with rising sales in the US.

The Brazil plant, Toyota's second in the country, will produce small vehicles for the local market, with an annual output capacity of around 100,000 units. Operations may start next year, the Nikkei said.

In the first four months of this year, Brazil overtook Germany to become the world's fourth-largest car market after China, the United States and Japan.

The factory in Mississippi could also start production next year, added the Nikkei. This plant was originally due to start operations this year and will produce about 100,000 Corolla models a year.

Toyota closed its Californian plant at Fremont earlier this year. The plant, a joint venture with General Motors had built Corollas and a Pontiac variant for GM.