According to Brazilian Aircraft, electric flying taxis start by 2026.
These Electric Flying Taxis, which will be produced by its subsidiary Eve, will look like a little helicopter and have room for up to six passengers.
A journey is expected to cost between $50 and $100 (£39 and £78) per person.
According to Eve, it has orders for about 3,000 air taxis already.
In this year, it plans to put together a prototype. Air taxis might start flying there as early as 2025, according to a timeline recently given by US regulators.
The electric vertical take-off and landing aircraft won’t require a runway and can fly far like an aeroplane without one.
Comparing electric motors to conventional planes, noise and pollution should be reduced.
According to others, the aircraft might ease traffic in busy cities without costing too much to passengers. They have also been considered as a cargo transportation alternative.
The factory will be constructed in Taubate, a city located 140 kilometres (87 miles) from Sao Paulo, the economic centre of Brazil.
According to the AFP news agency, drone-like passenger cars would initially be utilised in taxi fleets.
The company aims to roll out self-piloted cars later, but the initial flights will involve a pilot.
Since the cars will only run on electricity, flights won’t produce any emissions.