GM is the market leader in the United States. Volkswagen has Europe. Toyota has Australia and Japan. Fiat has…. Brazil? That’s right. Fiat is the number one in Brazil. Brazilians do love a good Fiat. But with Volkswagen’s global ambitions, that number one position in Brazil isn’t safe for Fiat. Volkswagen is number 2 there and if it one thing Volkswagen doesn’t like, it’s playing second fiddle. This is why Fiat is going on the offensive.

While in August it was tudo azul, September brought some clouds to the previously céu de brigadeiro. Sails dropped 1.75 percent on the month (falling to 291,409 vehicles sold). This is the first time this has happened since May. According to Fenabrave’s President Sérgio Reze (in declarations to Brazilian communications giant Globo’s news portal g1.com) this was due to September having one less sales day than August. As giant Brazilian web provider UOL points out, the silver lining in the clouds is that on the year the market is still up by 7.12 percent (good for a grand total of 2,368,932 sales).

In a new ad sponsoring all kinds of programs, on regular and cable TV, Nissan is taking the competition by the horns. In their new ad touting their Livina 2011 (pics here), they directly attack GM, Honda and Fiat. Yes, they cite their competitors by name and even put their logos and cars in the ad.

In Brazil, this is almost unheard of. Back in the 90s Pepsi did a South American version of the coke wars. Some beer companies soon copycatted them. However, the ads were pulled quickly and I had the impression people were not impressed with such tactics.

Chevrolet just revealed its latest offering. It’s the all new Chevrolet Montana. It has changed a lot. The last Montana had as its underpinnings the Corsa II platform. Now, it will use the new Onyx platform, which is based on the Corsa I platform (according to Brazilian car mag Auto Esporte’s ). Two steps forward, one step back? Maybe that’s why GM is being coy (or realistic) and is estimating that this trucklet will increase its sales by just 15 percent. This won’t do it a whole lot of good, because this means it’ll just hang on to third place (according to the print version of the Brazilian newspaper Estado de Minas car supplement) .

Way, way, back, a German company called Volkswagen came to Brazil to develop this backwater market. Now, Brazil has overtaken Germany. According to Jato Dynamics consultancy, Brazil has confirmed its position as the fourth largest world market.

Quite of few of you have asked me to do a history of VW do Brasil’s most sold car ever: the Gol. No mean feat, considering the runner-up is probably still the Beetle. I’m currently working on a history of the car (that I hope will be up soon), but as an appetizer, let’s check out VeeDub’s latest Brazilian offering. If you happen to like it, it’s an intriguing piece of work. If you don’t, you’ll probably think it’s just confused.

After testing the Brazilian waters with imported models, and after having received a passing (-by) grade from our man in Brazil, China’s Chery decided to go whole hog and build Cherys in the land of Samba. Chery has signed an agreement with the municipality of Jacareí, a city in the interior of the Brazilian state of Sao Paulo, to set up a car assembly factory in Brazil, reports Macauhub.

Wolfsburg must be fuming. Among all the good news coming in from all corners of the earth, there’s a market that insists on being the proverbial thorn in their side. That’d be my little ole Brazil, which is, en passant, the world’s fourth largest. And it’s a market where Volkswagen has been nearly forever. Well-known Brazilian automotive journalist Fernando Calmon, writing for the just-auto website, reports a major shakeup in automotive brand values in Brazil (can you feel the ground shaking a little?). Mr. Calmon, citing the Brand Finance consultancy, reports that the most valuable car brand in Brazil is…

Contrary to English, “azul” or blue has positive connotations in Portuguese (yes Brazilians speak Portuguese not Spanish – close, but no potatoes). “Tudo azul” means everything is fine, the road is clear. Maybe a close equivalent would be that line in that old song, nothing but blue sky. According to the giant Brazilian web providers UOL’s site, August has again recorded record car sales in Brazil. The market was up 3.99 percent on the month (good for a total of more than 296 thousand), but better yet, it was up 19.82 percent on August of 2009. Year-to-date, the market is up an even more impressive 27.68 percent!

As you’ve been reading my columns, you all know we’ve been watching closely the Gol versus Uno fight for first place. Can you guess who came out on top?

The first few months after the launch of a new product is seen as critical by car makers. This is the time they take the pulse of the market and determine whether or not the product struck a chord and is going to be a hit or not. Well, venturing bravely into new territory in Brazil, you would not be wrong if you said that Peugeot and VW swung and missed. Peugeot’s Hoggar and Volkwagen’s Amarok are going nowhere fast and are making their makers feel the blues.

It all started back in the late 90s when Brazilian Fiat (possibly inspired by the Volvo Cross Country) decided it would launch a car that looks like and off-road car, but that really doesn’t want to be taken off-road. They called it the Fiat Palio Weekend Adventure (station wagon) and Fiat Strada Adventure. You see, Brazilians are crazy for what we call jipes (get where that comes from?), but SUV type vehicles remain positively out of the range of the average Brazilian wallets. So tack on some plastic cladding, raise the suspension a few inches, maybe throw in some mixed terrain tires, and there you have it. The recipe for what is called in the Brazilian market an aventureiro. Though not restricted to our market, this gimmick has really caught on down here. It’s our creation. It’s our obsession.

China’s Chery started selling cars in Brazil last year. They were shipped from a Chery factory in Uruguay. The Brazilians like the cars so much, especially the TIGGO SUV, that Chery decided to drop $700m on the Brazilian market, and to have an assembly plant up and running in Sao Paulo by 2013.

Up on the month! Up on the year! Second best month of the year! Cars now selling more than before, even with incentives gone! Wow, our tropical wonderland just gets better and better. Sales are up 15.27 percent on June and 4.27 percent better than the same month last year, for a grand total of 285,299 (according to Brazilian car mag’s Quatro Rodas website). Comparing to the last two months ( here and here), both month-to-month and year-to-year (8.48 percent better) numbers register positively. However, incentives are gone, so naturally sales should be down. Not! Now, I’ve read far and wide on Brazilian internet sites, car rags and whatnot, and nobody has had the guts to explain what’s going on. So I’ll call like it is (or, at least as I see it). There’s a new phenomenon out there. I’m branding it the Uno effect. Not to be modest, but I called it first ( here and here). I want my laurels!

It’s a little known fact, but Toyota’s first factory abroad was in Brazil. Toyota started producing their Bandeirante (known elsewhere as Land Cruiser, full history here) locally in CKD mode in 1958. In 1962, the factory in São Bernardo do Campo, São Paulo state was inaugurated. There, Toyota do Brasil produced the 4WD, almost unchanged, until the year 2000. The site is still productive, but now only makes parts. In the 90s, they inaugurated another factory in Indaiatuba, SP state, too, to produce the Corolla. In September, construction of the third Toyota factory in Brazil will begin in Sorocaba, São Paulo state.

There seems to be no end for the good news for German (and assorted Asian) companies. Paulo Kakinoff, president of Audi do Brasil, declared to Brazilian car enthusiast site Webmotors that “logistics for importing motor vehicles is overburdened and factories abroad cannot serve all markets”. José Luiz Gandini, president of Kia do Brasil and Abeiva (Association of Car Importing Companies) said to said site: “It’s common for the customer to wait 60 days for a car.”

As part of our ongoing coverage of the new Fiat Uno, undoubtedly Fiat’s Brazil most important launch yet (see here and here and here, too), not to mention the biggest launch this year in our market, I’m bringing you this little video of the car. Grab your dictionaries and for those of you knowledgeable in Spanish, can you make anything out? Priceless the faces this car provokes on the streets (as you can see at the very end of the video).

Fiat honchos have promised me a car to test drive. Until it happens (the World Cup is over, so things are coming back to normal), take the video like an aperitivo. The video is courtesy of Brazilian website vrum.com.br.

Now that the World Cup is reaching its end, and Brazil has been eliminated, traffic is getting back to normal. Not to mention safer because authorities usually turn a blind and sympathetic eye to some traffic violations perpetrated in the name of the sport. Can’t stop the celebrations! Anyway, during this month-long event whenever you went out driving you’d see people draping their cars in the flag, putting little flags on the doors and other “decorations”. It’s rather interesting to see import driving Brazilians being so nationalistic. Funny thing was, as soon as Brazil was eliminated, the flags disappeared. This I guess is the norm for talking badly about our country, among ourselves and to foreigners, too (though to a lesser extent) is a national pastime. Do Brazilians only love their country in victory? Are we only patriotic in World Cup times?

The video is courtesy of Brazilian car rag Auto Esporte’s website.

Smart is such a nice little word. It has so many different meanings. So it’s fun to play with and show just how smart you really are. For example, I could have titled this post: Smart Makes Smart Car for Smart People with Smart Money. Or: Smart Makes Smart Car Move. Or even: Smart Makes Smart Marketing Moves. However, I´ll stick with the title as is since Smart is proving itself so smart in the Brazilian market. In more ways than one. One of the synonyms for Smart is “on the ball.”

In Brazil sales numbers are also coming in. See tables below. The story is the opposite of last month. This time around: month to month, good; year to year, bad. Flip flop!

Fiat do Brasil launched today the Punto in 2011 guise. It’s all about the engines man! Out goes GM’s very-long-in-the-tooth and old-school, not to mention wasteful and power-challenged 1.8L mill, and in come new 1.6 and 1.8L (both with 16v) lumps. So all good and new. Right? Not so fast…

Toyota is getting out of the carmageddon-caused and recall-related funk and is moving forward with worldwide expansion plans. According to The Nikkei [sub], Toyota has resurrected all key projects planned before the financial crisis.

GM is tired of playing third fiddle in the growth market of Brazil. Come on, being outdone by Italians and Germans? Gotta pay to play, so GM do Brasil announced a new investment package for operations in Brazil. That according to car site Webmotors. The money will be pouring in to the tune of R$2 billion or US$1.1b. GM corporate honchos said R$1.4 billion (US$777 million) will go to raise production capacity and modernize its plant in Gravataí, Rio Grande do Sul. The gaúcho plant now produces the Celta and derivatives. The objective, according to the suits, is to (finally!) retire the Celta line in Brazil and other emerging markets and substitute it with the Onyx family line. Will that get GM ahead?

As reported earlier, sales in Brazil in May were a mixed bag. Compared to April, sales slid 9.6 percent (from 278,000 vehicles in April, to 251,000 last month). However, on a year to year basis, sales managed an improvement of 1.7 percent over May 2009. The first five months of 2010 are still going at a record-breaking, best-ever pace (according to Brazilian enthusiast site bestcars.com.br). With the end of incentives clearly causing strain, the question is: How long?

After on-again and off-again attempts at an Eurasian marriage ( which I would unreservedly endorse,) Mitsubishi and PSA are doing the thing currently en vogue in Europe: Live happily in sin, and produce little ones. Very little ones.

It’s out. Volkswagen’s best kept secret is out. At VW do Brasil’s website. The price for the mid-size (for Brazil) Volkswagen Amarok is out. It’s way out there. You can pre-order now. Ready? Take your checkbook out. Breathe deeply …

Chinese cars were rumored of having arrived a long time ago here in Brazil. They’ve been talked about for years. Dealerships were rumored to be opening up right and left. Like in other markets, it was a Chinese chimera. Granted, you could spot a smattering of vans, or maybe a light delivery truck, parked or puttering along here in Brazil, but again, when you took a longer look, more often than not, you’d see that what you thought were the long-rumored Chinese cars was actually a Hyundai or Kia product, mistake as a Chinese. You know, those Asians, they all look alike.

They are here now. By God, I have proof! I swear that when I saw it I was so shocked I took a picture.

The first numbers are out for May. Sales of new cars dropped 9.66 percent in relation to April. Why? This is the first month in which the full effect of the end of the incentive program was felt. Many dealers however kept up incentive pricing avoiding the 20% drop I had predicted. All is not lost though.

As reported earlier, Fiat’s new baby is quickly becoming Brazilians’ new darling. But that was perception. Now cold hard numbers are coming in, and believe it or not, the new Uno is being adopted at record rates. Widely-read Brazilian car site Webmotors cites numbers of the Brazilian Motor Vehicles Distribution Federation Fenabrave. According to the official count, the new Uno, launched but a week ago, is already creating havoc with Brazilian car sales rankings.

Long rumored to be arriving, the Chevy Malibu has now, finally, arrived! It is yet another car to be mused over by import crazed Brazilians. It comes in LTZ guise with a 2.4L gasoline-only engine that’s good for 171 ponies. It comes mated to a 6-speed automatic transmission that allows manual shifting. And it’s loaded to the gills (at least by Brazilian standards) with 6 airbags, ABS, stability control, automatic A/C, and even (by gosh!) electrically-adjusted and heated seats, remote start key, 18 inch aluminum wheels and, last but not least, an audio system with CD and MP3 with 8 speakers (according to Bestcars). All of this for a princely 89,000 Brazilian reais or $49,900 (at 1.8 real to the dollar).

No, I won’t go there this time, but, but (sadly, there always seems to be a but or two)…

Got up bright and early this beautiful chilly morning. The sun is out and there are no clouds in the blue autumn sky. (Get used to it. It’s autumn in Brazil.) Reminds me again of some American friends, who say that a trip to Brazil is worth it just to see the sky. Anyway, the plan is to hit the dealer at opening time and check out all the hype surrounding the new Uno. As luck would have it…

Brazil’s Chrysler is launching a special edition called the Decade Edition. Love the little retro wagon? Well come on down to Brazil, where for the cool little sum of $69,990 Brazilian reais (at 1.8 reais to the dollar, around USD$38,000) you can get your fix!

According to Brazil’s best known car rag, Quatro Rodas, for that tiny wee of money you’ll get a special logo glued on to the back lift gate with the saying, “Decade Edition 2000-2010”, not to mention a certificate of authenticity. Wait, there’s more!

Brazil beats America! Over at well-known Brazilian communications giant Globo, they are reporting that little ole Brazil has overcome big ole USA in car production and has taken 5th place worldwide. Can this be true? It depends on how you look at the numbers…

Who said Brazilians are wary of imports? According to Brazilian car site bestcars.com.br, sales of imported cars rose a whopping 190 percent in April compared to the same month last year. The Brazilian Association of Importing Cars Companies – Abeiva – reports that in the first four moths of the year, a record 26,708 imported cars were registered in Brazil. 17.9 percent of cars sold in April were imported.

Is good old machismo dying in Brazil? On the eve of Women’s International Day (May 8), women are now held responsible for buying up to 40 percent of brand new cars in Brazil, and are said to influence over 80 percent of purchases. According to well-known Brazilian news site Globo, those are the numbers. But what motivates a woman to buy a car in Brazil?

Together with record breaking sales, April brings another surprise to Brazil. VW über alles! Bring out the warm beer and fried sausages, let’s party like it’s the 90s and 80s and 70s and 60s again! VeeDub on top! Not so fast. It depends how you look at it …

Showing how really big and important the new Fiat Uno is in the burgeoning Brazilian market, car makers responded with a massive wave of re-releases. Ford jumped into the fire and unveiled their new old Fiesta. Ford joins VW, which unveiled the new old Gol G4 Ecomotion. GM launched the new old Chevy Classic, and Renault released the new old Logan. All trying to take the spotlight and press away from the new Uno, the only real new car. Talk about stage envy!

In the world of automobiles, it appears that China isn’t the only fruit ripe for the plucking. Brazil is buzzing. They’re weathering the current economic fragility very well, and companies are looking to invest in there. Down in Brazil, economically speaking, it’s car-naval time!