The new medium Toyota SUV produced in Indaiatuba-SP started production in March. Sales in Brazil were expected to start by March 25, but exports have already started. Currently, the Corolla sedan is exported to only five countries, but the new SUV will be sent to 22 countries across Latin America. However, exporting overseas seems unlikely due to logistics cost restrictions.
Source: Automotive Business Read The Article
PSR Analysis: The indexes of vehicles per capita in Latin America are still behind other regions and developed countries which provides an opportunity to grow sales. The SUV continues to grow in popularity in this region and the combination seems to be the right bet for a production hub in Brazil, leveraging on the higher volumes to assure competitiveness and a wining cycle for the new product. PSR
Fabio Ferraresi is Director, Business Development-South America, for Power Systems Research
