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Flex fuel represented 65% of total vehicle sales in Brazil in December.

Sales of flex-fuel cars in Brazil climbed in December to about 120,000 units, the highest level yet. Flex-fuel vehicle sales represented 65% of the vehicle market for the month, according to figures from Associação Nacional dos Fabricantes de Veículos Automotores (ANFAVEA), the Brazilian auto manufacturers’ association.

In December 2004, flex-fuel represented 29% of total vehicle sales, with 48,911 units sold.

Although the number of flex-fuel vehicles sold was the largest yet, as a percentage of the market they have dropped from a peak of 72.5% in November, due to an accompanying increase in sales of diesel- and gasoline-powered vehicles.

The cost of ethanol is about 60% the cost of gasoline at the pump in Brazil. Although the flex-fuel motors can run on any combination of the two fuels, Brazilians opt for the ethanol end of the spectrum.

Final production figures for 2005 are due on 11 January, but ANFAVEA estimates 2005 sales of 1.7 million vehicles, up 8.6% from 2004. The association is forecasting sales of 1.84 million in 2006.


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