Nissan has announced that it will open an engine plant at its new vehicle plant in Resende, Brazil. The Industrial Complex’s new engine plant will open in 2014 with a capacity to produce up to 200,000 engines per year.

Nissan will invest R$140 million in the construction of the engine plant, which is expected to generate approximately 200 direct jobs. The industrial unit will use an existing building adjacent to the vehicle plant and will begin its activities with the production of the 1.6L, 16V I-4 flex-fuel engine, with 111 hp and torque of 15.2 kgfm – when using ethanol.

“The engine plant in Resende is an important pillar to strengthen our presence in Brazil, and further proof of our confidence in the potential of the Brazilian market. It adds to our Brazilian Industrial Complex and increases our competitiveness to reach our goal of gaining 5 percent market share, to be the first Japanese in terms of share in Brazil, and to also be a leading brand in terms of quality in the country by 2016,” said Carlos Ghosn, Nissan president and CEO, during a visit to the plant on Jan. 6, 2014.

Nissan’s domestic 1.6L 16V flex-fuel engine will equip the cars produced by the company in Brazil. The production of this engine will follow the strong sustainability concepts applied to the construction and development of the production processes at the Resende Industrial Complex, according to the automaker. The assembly line, for instance, employs next-generation electrical equipment, contributing to the well being of operators, and with no risk of oil leakage, thus rendering the operation less harmful to the environment.

The local production of engines makes the project of Nissan’s Industrial Complex in Resende a complete center, according to the automaker. With investments totaling R$2.6 billion (U.S. $1.5 billion), the industrial unit will be one of Nissan’s most sustainable in the world, and will originate in 2014 two Brazilian cars: Nissan March and Nissan Versa.