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Brazilian alcohol-fuelled cars pass two million mark

Vehicles that are designed to run on alcohol have passed the two million mark in Brazil, new figures have shown. “Flex-fuel” vehicles that have been developed to run on a combination of petrol and ethanol derived from sugar-cane, now make up around 77% of the Brazilian market, the Brazilian motor manufacturers’ association, Anfavea said.

Ethanol-driven cars have been available in the South American country for the past 25 years, but new figures show reveal a recent renaissance in the cars’ popularity, with vehicle sales growing from 48,200 in 2003 to over two million in 2006.

Other reasons for a resurge have been attributed to tax benefits for the owners – “flex-fuel” vehicles currently have a purchase tax of 14% compared to the 16% levied on other types of vehicles.

This was posted in Bdaily's Members' News section by Ruth Mitchell .