Lenovo will reduce its scale to decrease overall operating costs in Brazil, mainly through downsizing personnel by 84% from 8,000 employees currently to 800, and reducing total floor area at a factory to be set up in Sao Paulo State, southeastern Brazil, by 50%, according to tech.sino.com.

The factory was originally scheduled to be established in Itu, Brazil, but has now changed to Indaiatuba. The factory is expected to produce one million notebooks each year and 90% of the production will be supplied domestically, while its high-end notebook products will be imported from China and the US.