Foxconn buys new factory site in Brazil

Taiwanese technology giant Hon Hai said Friday it has acquired a piece of land in Brazil for $12.6 million as part of its plans to expand its operation in the South American country.

Hon Hai's subsidiary Foxconn CMMSG Industria de Electronicos Ltda bought the 1.42 million-square-meter (350-acre) site from Toulouse Incorporacao SPE LTDA, it said in a statement without elaborating.

Hon Hai, also known internationally as Foxconn, is the world's largest maker of computer components and assembles products for Apple, Sony and Nokia.

The company has said that it planned to invest $492 million to build a new facility in Sao Paulo, Brazil to produce smartphones, tablets and other electronic devices.

The company has been working in Brazil since 2003, and already operates four factories in Latin America's biggest economy.

Tax breaks offered by the Brazilian government as well as proximity to fast-growing local markets have made Brazil an attractive alternative for manufacturing operations to China, it has said.