iPad mini rumors will not go away, with the latest set centering around it being manufactured exclusively in Brazil. According to Macotakara, this information comes from a "Chinese reliable source". Here's just some of what they had to say:

This source, who seems to look a prototype, told that new tablet (iPad mini?) had same hight with Nexus 7 and slight larger width. Even though front projection size is larger than rivals, thickness of that new tablet is considered to be thinner than current most thinnest tablet Kindle Fire, and to be similar with iPod touch (4th generation) by this source.

Foxconn has invested heavily in iPad production in Brazil.

With regards to the 7-inch iPad being same height as the Nexus 7 but slightly wider, the width increase would make sense as Apple prefers the 4:3 aspect ratio for iPad screens where as other manufacturers seem to like the 16:9 ratio. 16:9 is the standard for movies but not the best ratio for apps, web surfing and most other tasks.

iMore reported on the 7-inch iPad pricing and release date back in may. The date we are hearing is October 2012, which would put it right alongside the new iPhone. Our sources also told us that the iPad mini would be identical to the current iPad but, just a scaled down version.

Source: Macotakara