Danish catalysis company Haldor Topsoe is set to build a new automotive catalyst production facility in Brazil.
The new facility will see production of catalysts that can remove dangerous nitrogen oxides (NOx) as well as particulates and hydrocarbons from the engine exhaust of diesel vehicles such as buses and trucks.
As part of the plan, the company has recently leased two buildings at an industrial park in Joinville, Santa Catarina and is working to obtain necessary regulatory approvals and place orders for production equipment.
Haldor Topsoe plans to build the facility and start its operations in the coming year.
Haldor Topsoe CEO Bjerne Clausen said establishing production locally is an important prerequisite for the company to realize its full potential in Brazil, but also other parts of Latin America.
"Brazil is officially encouraging that import of parts is converted into local production - and backs it up with concrete incentives," Clausen added.
"Moreover, import duties on catalysts from abroad will increase and thereby create a strong incentive to establish production on Brazilian ground."
Topsoe is provider of engine exhaust treating materials for diesel vehicles and its catalysts are installed in the vehicle devices such as muffler to remove harmful substances.
