Citroën Brazil is betting heavily on the success of its medium-size C4 Pallas sedan, based on strong acceptance in Argentina, where it is built and has been on sale for two months.
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The car, made in El Palomar, in Greater Buenos Aires, is imported into Brazil tax-free and is highly competitively priced here, selling for $R65,000 (EUR25,000) to $R81,000 (EUR31,000). The most expensive version is fitted with an automatic transmission and an extra equipment package, and has three years’ warranty.
Strong sales in the neighbouring country have delayed the launch in Brazil and postponed for over four months exports to Europe, due to start in Spain in early 2008. The C4 is best known in western Europe as a hatchback but many buyers in some markets, such as South America, China, Ireland and southern Europe, prefer this conventional, ‘three-box’ sedan body style – South Americans and Chinese can also buy the Peugeot 206 and 307 in sedan form.
C4 Pallas order books opened in Brazil last June but deliveries begin next month. In contrast to Argentina, where 1.6 and two-litre petrol and diesel versions are offered, Citroën opted for the lineup’s most powerful, two-litre 143 bhp petrol engine for Brazilian buyers. The sizeable dimensions and interior fragrance system are expected to appeal in this segment.
The C4 has more interior room than its cousin, the Peugeot 307 saloon, which is not selling well in Mercosur. With its 2.71 m/106.7ft wheelbase, the C4 tops the M1 segment, along with the Honda Civic and GM Vectra sedans.
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By GlobalDataSergio Habib, executive president for Citroën of Brazil, revealed ambitious plans to just-auto: “We have well-based forecasts to sell up to 2,000 units monthly due to the attractive cost-benefit aspect of the C4 Pallas, as soon as the factory pumps out the ordered volume. This year we will sell 50% more than 2006 numbers, over twice the market’s as a whole. Indeed, Citroën will be the top-growing brand this year in Brazil.
“We also count on a revamping of Xsara Picasso sales thanks to the facelift (introduced with the Pallas) and extra equipment for no price rise, which should sustain its three-year leadership amongst medium-size monobox models.”
This goal is feasible for now, but difficult to maintain once Toyota’s new Corolla arrives in the second half of 2008.
Fernando Calmon
