Renault to increase engine production capacity in Brazil by 25 percent

August 3, 2012: Renault’s engine plant in Brazil is to increase capacity by 25 percent between now and 2013. It is extending its shopfloor area by 5,000 square metres to boost output to 400,000 to 500,000 units.

The plant, inaugurated in 1999 at the Ayrton Senna production site in Curitiba, has already manufactured nearly 2.5 million engines, of which 335,813 in 2011. The site has also exported over 1.2 million powerplants to South American markets.

Brazil, the Renault Group’s number-two market, is a key pillar in the Group’s international expansion strategy. Thanks to the success of Duster and Sandero, Renault reported the biggest increase of any car brand in Brazil in first-half 2012, achieving record market share of 6.8 percent. Renault is aiming for an 8 percent share of the market by 2016.

Renault has three plants at Curitiba at the Ayrton Senna Complex: a passenger-car plant, a light-commercial-vehicle plant and an engine plant. Annual PC and LCV capacity is over 280,000 units. This total will be increased by 100,000 vehicles a year starting in early 2013, said Carlos Ghosn, chairman and CEO of Renault , last October.