The CEO of Renault Brasil shares his vision for the future of the French automaker in the country.
On March 6th, CEO of Renault Brasil, Fabrice Cambolive, in an interview with Valor, stated his belief in a quick recovery for the Brazilian market. Working towards an expansion of its presence in the country, the French automaker aims to invest in what Cambolive believes to be the biggest growth area in the Brazilian car industry – SUVs.
From 2014 to 2016, the market share for sport utility vehicles grew from 6% to 15%. “This is something I have never seen in another country,” commented Cambolive. According to the CEO, this type of car is a success in Brazil, even in urban settings, because it provides the driver more safety and visibility.
Last year, Renault placed 7th in the Brazilian market, with a share of 7.5% and, aiming to capitalize on the trend for SUVs, the company has announced three cars in the class, Captur, Kwid and Koleos.
According to Cambolive, even if the Brazilian market is not performing well at the moment, the company must invest for the future upturn. One aspect that makes the CEO optimistic about the future is that, according to research by Renault, Brazilians tend to buy a new car every three years, as opposed to on average five-year average in the European market.
Cambolive reckons that the Brazilian industry will start to grow again by the end of this year. He sees signs that the economy will recover soon. Renault has received many inquiries from legal entities in regards to the acquisition of vehicles, leading the CEO to believe that many companies are considering renewing their fleets soon.
The company does not aim to improve its presence only in Brazil , but also in Latin America in general. In 2016, Renault strengthened the links between its factories across the continent, with Brazilian factories building cars for external markets.
In one year, sales from the factory located in the state of Parana, in the south of Brazil, grew in 133%, to 70,000 cars. Renault plans to invest in pick-up trucks and SUVs to meet the demands of rural locations in the region.
Last year, to supply the growing demand of the external market, Renault Brasil opened created550 temporary jobs, with 350 of the workers taken on having their contracts extended through May. These professionals will assist in the assembly of the Captur SUV for Argentina and Colombia.