Lifan's CKD plant in Uruguay will resume engine manufacturing and vehicle assembly in the next few weeks.

The plant will produce around 1,000 X60s for Brazil.

The Lifan Motors Uruguay head Kevin Liu said: "We hope our plant can meet the demand from the Brazilian market which has great potential.

The automaker estimated it would have about 100 workers at the two plants by the end of May.

The plant in Uruguay is located in San Jose, Montevideo and started production in April, 2010. It is was the Chinese company's sixth overseas CKD plant after Vietnam, Russia and other markets, and was intended to supply South American countries Brazil, Argentina, Uruguay and Paraguay.

Average sales to Brazil reached 5,000 units but production was stopped in December 2015 due to the depressed market though there have been recent signs of recovery. Lifan said sales had now recovered to the point it could justify restarting output.

GlobalData Strategic Intelligence

US Tariffs are shifting - will you react or anticipate?

Don’t let policy changes catch you off guard. Stay proactive with real-time data and expert analysis.

By GlobalData

Just Auto Excellence Awards - Have you nominated?

Nominations are now open for the prestigious Just Auto Excellence Awards - one of the industry's most recognised programmes celebrating innovation, leadership, and impact. This is your chance to showcase your achievements, highlight industry advancements, and gain global recognition. Don't miss the opportunity to be honoured among the best - submit your nomination today!

Nominate Now