The debut of the Cronos, the saloon variant of Fiat Brazil’s Argo hatchback, illustrates the sophistication of products now offered here.

Compact saloons account for 15% of total new vehicle registrations, virtually the same as the 16% share all SUVs combined took last year.

In Mercosur production alone there are 13 small saloons with wheelbases as short as 2.49m (Ford Fiesta), through 2.52m (Cronos) to 2.65m (VW Virtus). More are coming, such as the Toyota Yaris saloon due out by the end of this year.

Apart from the boot, obviously, the Cronos differs from the Argo hatchback with its exclusive nose.

It looks best from the rear. The 525 litre trunk has a wide opening and a high opening lid though long, ‘goose neck’ cab crush luggage, something not uncommon in Brazil’s saloons although the Virtus has the hinges over the rear wheel arches in space luggage does not go. Gas struts would be better but they are costly.

Interor space is similar to that of the segment leading Chevrolet Prisma with adequate leg and head room but loses out to the Nissan Versa and, especially, the longer wheelbase Virtus.

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The dashboard has three central air vents but the multimedia system, easy to operate and well placed, is the latest ‘tablet’ style and sits proud of the dash rather than being integrated as in in some competitors.

Front seats grip occupants well but pedal placement means larger feet on the accelerator can collide with the centre console.

Power comes from two I4 engines: 1350 cc (107bhp on ethanol) and 1,750 cc (137 bhp).

The first delivers outstanding low fuel consumption and can be matched to a single clutch, automated manual gearbox. The Cronos is just 10kg heavier than the Argo, so performance is quite reasonable.

The larger engine also comes standard with a manual gearbox but the automatic option is a proper automatic – an epicyclic six speed unit which delivers peppy performance at the expense of higher fuel consumption.

Suspension fine tuning is a highlight, even for models on the optional 17 inch wheels. The Betim (state of Minas Gerais) manufacturing plant uses a elastocinematic seat simulator to develop seat spring and suspension tuning, the only device of its kind in the south hemisphere. Only Ferrari, in all of Italy, has the same equipment.

The Cronos is fully equipped, including a rear camera with reversing guide lines, a device normally seen here only in larger, more expensive cars.

Electronic stability control (ESC) is standard in the three more costly versions. Front side airbags are optional for BRL2,600/US$800 but only with the larger engine.

There are five versions, three with the 1350cc engine expected to account for two thirds of sales.

Retail prices range from BRL53,990/$16,600 to BRL69,990/$21,500.

The new model again brings conflicts to the Fiat Brazil range. The Grand Siena price has been lowered to under BRL50,000/$15,400, thus clashing with the Cronos, although it will not be available for long. One version of the new saloon costs less than the Argo hatch.

To make life for the newcomer harder, the line Precision is priced above BRL82,000/R$25,200, options included, and has to face the VW Virtus and Honda City.