Values and Priorities in Economic Emergence

"Entry-level cars in Brazil are incredibly dangerous, it can't be denied. The death rate from accidents is far too high. The manufacturers do this because the cars are a little cheaper to make and the demands of the Brazilian consumers are less; their knowledge of safety issues is lower than in Europe or the United States."
Maria Ines Dolci, Rio de Janeiro-based consumer defence group Proteste

Ten thousand cars roll off assembly lines each day in Brazil, ready to fulfill the motoring needs of its newly-emerging middle class eager to become car owners. This is a country whose economy is cited as a burgeoning newcomer among the well-performing countries formerly in the dudgeon of dreary poverty like China and India; the lions of the BRICK(S) countries. Fiats and Chevrolets are as popular in Brazil as they are in Europe and in the U.S.

And, it seems, the government is so busy chaperoning its economy into the new age of prosperity that awaits it, that it can hardly spare a moment to consider the safety and security needs of its consumers. A national tragedy is unfolding where thousands of Brazilians die in road accidents that could very well be prevented with a little forethought leading to protective legislation that would inform carmakers that Brazil has safety standards, after all.

In Brazil, cars are produced featuring weaker welds, too few safety features along with inferior materials in comparison to models that are similar and produced for U.S. and European consumers, who do have legislated standards to be met by manufacturers. It's much cheaper to produce vehicles in Brazil simply because of non-existent industry standards to protect the population. Four of Brazil's five cars that are bestsellers have failed independent crash tests.

Dangerous driving conditions compounded by poor road engineering and upkeep help, along with the inferior vehicles, to ensure that death rates from passenger car accidents are almost four times that of the U.S. This, from an analysis conducted by the Brazilian Health Ministry. While the U.S. is gradually diminishing the number of vehicular-caused deaths on its highways, Brazil's death rate is steadily accelerating.

"The gravity of the injuries arriving at the hospitals is just ugly. Injuries that should not be occurring", said Dr. Dirceu Alves deploringly. He is with Abramet, a Brazilian group of doctors specializing in the treatment of traffic accident casualties. And he is of the distinct opinion that poorly built cars in his country are responsible for an unnecessary toll of victims.

Car manufacturers can confidently anticipate a ten percent profit on their Brazilian-produced vehicles. That's quite the incentive to continue just as they are, in comparison to the 3% profit they realize on cars produced in the U.S., and even on the global average profit of 5%.  Models such as the Chinese-made JAC J3 scored one star in a crash test, even while being equipped with airbags and anti-lock brakes.

Four of the five most popular and least expensive models produced by General Motors, Volkswagen and Fiat received a one-star rating out of five stars. That rating indicates those cars provide little protection in head-on accidents compared to four- or five-star rated vehicles representing the minimum that car buyers in the U.S. and Europe purchase.

"The difference is you're talking about somebody dead in the vehicle or dying very quickly, or somebody being able to get out of the vehicle themselves", explained David Ward, director general of the London-based FIA Foundation for Auto Safety. Speaking on condition of anonymity, an engineer for a major U.S. automaker has been aware for many years that his company failed to implement advanced safety features for the Brazil market because there is no requirement under Brazilian law.

"The automakers are pleased to make more profitable cars for countries where the demands, whatever they may be, are less rigorous. It happens everywhere -- India, China and Russia, for example."