Renault could do better in Brazil, according to CEO Carlos Ghosn who added that the French carmaker’s 5-6% market share is “below our potential.” He wants to increase that to 10% although he did not give a timeframe for the rise.
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Additional sales in Brazil, he said, would help offset the sales slump in European markets although there were signs of recovery in June as the market rose 2.4%, its first increase in 14 months.
New vehicle sales in Brazil have been forecast to rise 6.4% this year to a record 3m after the government extended a tax break until year’s end, according to the country’s carmakers association.
Ghosn said Renault has plans to develop a car that is genuinely Brazilian, small, integrated, cheaper and built locally. The company has a plant in Sao Jose dos Pinhais in Brazil’s Parana state, which can build up to 250,000 vehicles a year although last year it produced 122,400 cars.
The CEO added that although Renault has made the development of electric vehicles a global priority, this is not such an issue in Brazil where the market already has other types of environmentally friendly products, such as the biofuel-powered cars.
