After considering proposals from at least four states, Volkswagen decided instead to enlarge the Taubaté manufacturing site 81 miles/130km east of São Paulo City. The automaker even considered investing in the state of Pernambuco, a less developed region, like Fiat did.
The agreement with the local union will enable the building of a new plant where the Gol has been produced since March 1980. Production will jump from 1,000 to 1,900 units daily by 2014. The BRL$1bn/US$500m investment is additional to the plan of BRL$8.7bn/US$4.3bn for the 2012-2016 time frame.
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Last week BNDES bank released BRL$342m/US$140m in finance to Volkswagen to invest in technology and more advanced products in the country. Although the German automaker is yet to confirm even the Up for Taubaté, the bank has referred to two new products.
Local rumour has it that the Vento, a long wheelbase version of the current Indian Polo saloon, would also be built locally. The present Brazilian VW line lacks a competitor for the Chevrolet Cobalt, Fiat Grand Siena, Nissan Versa and Renault Logan, among others.
Volkswagen has just updated the Gol and the Voyage after four years to match newer competitors in the compact segment like the Toyota Etios and Hyundai HB20 planned for launch in a couple of months. Front end design now shares the brand’s global family look, already done to the Fox and SpaceFox (wagon). Gol tail lights now look like the European Polo and those on the Voyage resemble the Jetta’s.
The flexible-fuel one-litre engine was improved to enhance fuel economy by 4% through friction reduction. The torque curve is improved at the low end yet maintains maximum torque of 103.9Nm/76.6 lb ft) and power output (75bhp/56kW). Some BlueMotion technology items are now offered such as ‘green’ tyres which are narrower and higher inflated) that add 4% fuel economy. The 1.6-litre engine remains untouched at 153Nm/112.8lb ft and 102.6bhp/76.5kW.
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By GlobalDataSome equipment was added, especially to the entry version, for a tiny retail price hike of BRL$86/US$43. The most affordable Gol now starts at BRL$27,990/US$13,990 and the similarly-trimmed Voyage (also with one-litre power) goes for BRL$29,990/US$14,990.
