China’s State Grid helps other Chinese firms to enter Brazil

State-run utility firm State Grid Corporation of China could help other Chinese firms to enter the Brazilian market via its ongoing projects in the South American nation, newspaper China Daily reported this week.

State Grid Brazil Holding, a subsidiary of the utility group, won two bids – in 2014 and 2015 respectively – to build transmission lines connecting different Brazilian cities to the Belo Monte hydropower plant, which will become the world’s third largest hydroelectric dam when it is completed by 2019, the report said. State Grid Brazil won the 2014 bid in partnership with two other Brazilian firms.

“By co-operating with us on those projects, other Chinese companies can save up to 10 years in entering the Brazilian market,” Qu Yang, deputy general manager of State Grid Brazil, told China Daily. The executive said Chinese electric equipment producers and builders in particular could benefit from State Grid’s two ongoing projects in Brazil.

The report added the two transmission line projects are expected to create around 34,800 jobs in the South American nation.