#Brazil

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?

One of the reasons I jumped at the chance when invited to write for this site was that I thought there would be a lot of chances to discuss the many fundamental differences between driving in the Southern hemisphere of this world and the Northern one. One big difference is that our cars are small. Why? Taxes. Why? Only Brazilians are passive enough to take this lying down. Although continental in size, Brazil limits itself to driving puny 1.0L engines (almost 50 percent of our market). You might as well think that doesn’t work. Well, it’s time to find out.

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.

Having some time on my hands, I ventured out again into cardealershipland. Wanted to get my hands on the mini mites that inhabit many an urban Brazilian cowboy’s dream. You know, the call of the sertão (that’s what you think we call the pampas.) In the left corner, all the way from Italy, but made in Brazil, the long-time favorite and market leader Fiat Strada Adventure Locker. In the right corner, the Teutonic tiny titan, the all new VW Saveiro Cross. As the long names suggest, these are the top of the line offerings from each maker. Both offer cheaper, less equipped versions for the daily grind and/or work routine. So hold your cavalos, vaqueiro, I mean, hold your horses, cowboy! Which one comes out on top?

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…