Volkswagen plans to sell one million vehicles per year in Brazil

New_Volkswagen_Gol

With the vehicle sales slump in North America as well as the saturated Western Europe market, carmakers are increasingly depending on developing markets for growth – ‘developing’ usually refers to Eastern Europe, ASEAN as well as the BRIC nations – Brazil, Russia, India and China.

Confirming this is the news that Volkswagen will be investing a total of 2.3 billion euros in new products and manufacturing capacity expansion in Brazil from now till 2014. VW’s Brazilian factory already produces 3,000 vehicles per day, making it the country’s largest carmaker. With the expansion, the Wolfsburg based company aims to sell one million vehicles annually by 2014. Volkswagen do Brasil production is at 800,000 vehicles this year and the brand’s current market share is 25.7 percent.

Spearheading this initiative is 26 new products for 2009/2010. Over the last two years, Volkswagen have rejuvenated its Brazilian range with the introduction of the new Gol, Saveiro, Voyage and Fox.

VW’s developing market strategy has long taken root in China, where it is a major player – the ubiquitous Santana saloon is almost like China’s ‘national car’ – and for our region, a US$140 million investment in an MPV assembly plant in Indonesia was announced in July this year. Makes us wonder what might have been if Malaysia did not have a local industry to protect.

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Danny Tan

Danny Tan loves driving as much as he loves a certain herbal meat soup, and sweet engine music as much as drum beats. He has been in the auto industry since 2006, previously filling the pages of two motoring magazines before joining this website. Enjoys detailing the experience more than the technical details.

 

Comments

  • BeemerFreak on Dec 01, 2009 at 6:06 pm

    We have the old man to blame for all this. 600 million a year from tax payers into so called R&D and what we get inreturn i bag full of shit with shitty cars. In this stance every malaysian should be given a free proton for their contribution.

    Thye should not think about national pride or all these rubbish instead reflect on the aweful failure that they have achieved in 25 years. p2 does not fall into this because they are just a puppet for daihatsu. Sell damn proton to volkswagen and reap the pofits. Look at Skoda, Seat,Audi and even bentley. These are morereputable brands thats stupid old proton and yet they were sold to VW and are now gainning the benefits.

    I say we shoot the old man and whoever who supports proton to be fed by tax payers money.

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  • Littlefire on Dec 01, 2009 at 6:18 pm

    Well, we have lost the chance… Thanks to out beloved G and P1… Yeah! I wonder can P1 produce 3000 car perday and made sales like VW did… When they reject the VW offer make P1 felt like they are better than VW..

    By looking amout VW can sell, do you think P1 will produce more job or VW? Use ur commensence to think ..

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  • well, the opportunity has passed us by.

    even still, can't accept the fact that because of "growing" sales, VW was turned away by our government.

    growing? like i give a shit. its growing at the expense of killing the citizens.

    anyway, what we can do is to hope future turns better.

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  • Tiadaid on Dec 01, 2009 at 8:19 pm

    BeemerFreak said,

    December 1, 2009 @ 10:06 am

    Thye should not think about national pride or all these rubbish instead reflect on the aweful failure that they have achieved in 25 years.

    —————–

    I'm sick and tired the complaining about Proton and their "awful" 25 years. We expect too much too fast from Proton and then say they're a failure. Know how long Hyundai took to get to where they are now? 40 years. To get to the quality of the Hyundai today took 23 years! Proton has only been in the arena for 25 years, and designed their own car for less than that! Give them a chance.

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  • tokmoh on Dec 01, 2009 at 8:41 pm

    Arararara, Danny Tan's first post? Selamat datang :)

    Hmmm…… here we go again… and again… and again…

    The govt may have missed USD140m investment by VW, but somehow, Penang have missed USD3 BILLION investment bcuz "cannot guarantee enough supply of engineers". Hmmm……

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  • Mazda 3 MPS on Dec 01, 2009 at 9:04 pm

    tokmoh said,

    December 1, 2009 @ 12:41 pm

    Arararara, Danny Tan’s first post? Selamat datang :)

    Hmmm…… here we go again… and again… and again…

    The govt may have missed USD140m investment by VW, but somehow, Penang have missed USD3 BILLION investment bcuz “cannot guarantee enough supply of engineers”. Hmmm……

    —————————-

    the guy from autocar?

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  • you know… without national pride, vw and other big car manufacture will not come this far.

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  • Littlefire on Dec 02, 2009 at 2:17 am

    The investment Penang rumoured 3M lost is from Samsung,

    Samsung have rejected an offer a few years back, then BN at that time cant assure that the second bridge can built on to give them easy access to air-port. (Now you know why the Penang 2nd bridge are built at first place)

    At that time, Samsung already tell of interest will go to Thailand to invest. After BN loss Penang, DAP ppl went to Samsung to nego again, but due to lost interest in Penang they rejected it by giving the DAP G that they dont have enough professional electrical engineer.. I can say this is just an accuse to cancel the nego as they already in Thailand…

    This is what i can say.. If you come to Penang and work u will know that the DAP G is working as hard as possible to please everyone, but due to some 2nd & 3rd party ppl making trouble… Haiz…

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  • Mazda 3 MPS on Dec 02, 2009 at 6:20 am

    Littlefire said,

    December 1, 2009 @ 6:17 pm

    The investment Penang rumoured 3M lost is from Samsung,

    Samsung have rejected an offer a few years back, then BN at that time cant assure that the second bridge can built on to give them easy access to air-port. (Now you know why the Penang 2nd bridge are built at first place)

    At that time, Samsung already tell of interest will go to Thailand to invest. After BN loss Penang, DAP ppl went to Samsung to nego again, but due to lost interest in Penang they rejected it by giving the DAP G that they dont have enough professional electrical engineer.. I can say this is just an accuse to cancel the nego as they already in Thailand…

    This is what i can say.. If you come to Penang and work u will know that the DAP G is working as hard as possible to please everyone, but due to some 2nd & 3rd party ppl making trouble… Haiz…

    —————————

    all i see is that penang is a great place to be in now. even the security guard at komtar loves the guan eng…

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  • tokmoh on Dec 02, 2009 at 8:21 am

    Mazda 3 MPS : Yes, I believe this Danny Tan is the Danny Tan in Autocar Asean.

    Littlefire : RM3 billion, not million. Anyway, Calvin Sankaran has a guess on the real reason why Samsung pulled off : http://forum.mykmu.net/modules.php?name=Forums&am…

    They went to Pinoy instead.

    Anyway, I'll give benefit of doubt that Penang got sabotaged in this whole Sansung fiasco. We'll see if next GE, PR will take over as Fed Govt. And if there's more blunder of this kind involving billions of lost FDI, then msians will realise that they've been 'penny wise, pound foolish'. Let's see if then PR will reduce car price to 'real' market price, but what use of it if since no FDI, no income, thus the people are too poor to buy them? Increase tax? Remove subsidy? I dare them to do it.

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  • BeemerFreak said,

    December 1, 2009 @ 10:06 am

    'Look at Skoda, Seat,Audi and even bentley.'

    They have a 70.94% controlling stake in SCANIA lorries and a 29.9% stake in MAN lorries too…

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  • TheGunner on Dec 02, 2009 at 5:06 pm

    Hey Danny,

    Congratulations on your first post on the blog. You have been doing great in Autocar ASEAN.

    Looking forward to continue following your work. All the best in your new venture, and see you at the next launch. ;)

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  • [QUOTE]

    I’m sick and tired the complaining about Proton and their “awful” 25 years. We expect too much too fast from Proton and then say they’re a failure. Know how long Hyundai took to get to where they are now? 40 years. To get to the quality of the Hyundai today took 23 years! Proton has only been in the arena for 25 years, and designed their own car for less than that! Give them a chance.

    [/QUOTE]

    this is a simple-minded argument.

    after another 25 years, when proton is still lagging behind, u will point at hyundai and say they have been around for 65 years while proton only has 50 years history, give them a chance.

    after another 100 years, when proton is still lagging behind, u will point at hyundai and say they have been around for 140 years while proton only has 125 years history, give them a chance.

    it is just an excuse by uncompetitive bumis like u to perpetuate the subsidies

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  • the above comment was directed at Tiadaid

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  • Mazda 3 MPS on Dec 03, 2009 at 3:30 am

    sta said,

    December 2, 2009 @ 12:27 pm

    [QUOTE]

    I’m sick and tired the complaining about Proton and their “awful” 25 years. We expect too much too fast from Proton and then say they’re a failure. Know how long Hyundai took to get to where they are now? 40 years. To get to the quality of the Hyundai today took 23 years! Proton has only been in the arena for 25 years, and designed their own car for less than that! Give them a chance.

    [/QUOTE]

    this is a simple-minded argument.

    after another 25 years, when proton is still lagging behind, u will point at hyundai and say they have been around for 65 years while proton only has 50 years history, give them a chance.

    after another 100 years, when proton is still lagging behind, u will point at hyundai and say they have been around for 140 years while proton only has 125 years history, give them a chance.

    it is just an excuse by uncompetitive bumis like u to perpetuate the subsidies

    ————————–

    if only proton could be like skoda. 20 years ago, proton actually made better cars than them. fast foward 20 years, skoda produces the skoda octavia VRS, budget performance car of the year 2006 while proton……*shake heads* cam-tak-pro

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