Brazil will become center of excellence of flex engine for Volkswagen hybrids

The German carmaker's decision may be a way to reinvent the Brazilian automotive industry

RIO DE JANEIRO, BRAZIL - With the expansion in electric cars in Europe, North America, and China, factories in emerging countries that essentially supply only local markets, as is the case in Brazil, run the risk of becoming obsolete in a few years.

It will be up to each company to define its strategy. Volkswagen has decided to transform Brazil into a research, development, and production center for "flex" engines - which run on ethanol or gasoline - for hybrid vehicles, writes Valor in its latest report.

The idea is to export the technology and future engines to Latin American countries as well . . .

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