Brazil unit of Honda to produce flex-fuel cars

Tags: Honda + Brazil + flex-fuel

Valmort
Valmort posted on Oct 17th 2006 11:30AM; via marketwatch.com/News/Story/Sto...
Brazil unit of Honda to produce flex-fuel cars

The Brazilian unit of Japanese automaker Honda Motor (HMC) will start producing flex-fuel vehicles, which run on any combination of gasoline and ethanol, later this year, the company's president said Monday.

Honda will start producing flex-fuel models of its new Civic in November, and will follow with flex-fuel versions of its Fit subcompact in December, Honda Brasil President Tetsuo Iwamura said. Iwamura made the comments during a Honda presentation at the Sao Paulo International Auto Show.

The flex-fuel options on its vehicles should help Honda expand on its minor presence in Brazil. Rival Japanese automaker Toyota (TM) made a similar announcement earlier Monday, with plans to produce flex-fuel models of its Corolla sedan.

Flex-fuel vehicle sales account for more than 75% of Brazilian domestic vehicle sales, according to the latest figures from the Brazilian Motor Vehicle Manufacturers Association, or Anfavea. Actually, almost all of light-vehicle production at Brazil's largest automakers are flex-fuel vehicles.

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