Located in Sorocaba, 60 miles from São Paulo City, it will have initial capacity of 150,000 units a year but there is room on the 4.425 sq m site to enlarge capacity to 400,000 units.
The plant is scheduled to start producing a new compact car in 2011.
Toyota did not officially announcement the start of construction nor reveal the amount it is investing but the federal government estimate is $800m.
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