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Turbo engine is Peugeot’s bet to revert sales decline

Fiat-originated engine is offered in three versions of the 208. Brand's sales fell 25% until August

By George Guimarães | 9/15/23 | Translated by Jorge Meditsch

It’s been a decade since the Peugeot 208 reached Brazilian streets. Over this period, the compact sold 162 thousand units, a number as discreet as its participation in the compact hatch segment, where it always figured in eighth to tenth place in Fenabrave’s ranking, which considers a dozen vehicles.

The best result was last year when the 208 sold more than 29.9 thousand units – almost 20% of the first ten years’ total – and finished in fourth place.

The reason was the offer of the most affordable entry versions with the 1.0 Firefly aspirated engine originally from Fiat, Peugeot’s sister brand and Stellantis sales leader in Brazil. Before that, Peugeot only offered the hatch with the 1.6 PSA engine, still in the brand’s portfolio.

With this new Fiat’s transplanted engine, Peugeot intends a new jump in the 208 sales. This week, the 2024 top-of-line versions were presented with the 3-cylinder 1.0 turbo already used in Fiat models, such as the Pulse and Fastback SUVs and, since last month, the Strada pickup.

The options are three, all with a CVT transmission with seven virtual speeds used for the first time in a Peugeot in Brazil, and prices that could raise consumers’ interest. The most affordable, the Allure, starts at R$ 99,990. The intermediate Style costs R$ 109,990, and the Griffe, R$ 114,990.

208’s new engine has direct fuel injection and delivers 130 cv with ethanol and 125 cv with gasoline. According to the factory, with ethanol it can reach 100 km/h in 9 seconds. The two cheaper versions consumption in the city is 8.8 km/l and 10 km/l on the highway.

The adequation of the engine for the Peugeot 208 demanded more than one million kilometers of tests, and the energy efficiency obtained enabled a 2% reduction of the Industrialized Products Tax according to the rules of the program Rota 2030.

The three turbo versions have four standard airbags, digital air-conditioned, 10.3-inch multimedia screen, rear camera and parking sensors and cruise control with speed limiter.

The optional R$ 5 thousand Excellence Package includes panoramic sunroof, leather seats, presential key, induction cellphone charger and other standard resources from the Style, which also carries LED headlights, 180-degree rear camera and digital instrument panel.

The top-of-line Griffe also has rain sensor, automatic headlights control, frontal collision alert, autonomous emergency braking, fatigue detectors and lane-keeping assistant.
The bran loss market

With the three turbo versions, Peugeot now has seven 208 options. It’s yet unknown the brand’s forecasted sales mix with the new engine inclusion and if it will cannibalize other models of the lineup.

Will the customer spend at least R$ 24 thousand more to buy the Allure turbo instead of the Like 1.0 with manual gearbox (R$ 75.990)? Will the superior performance and the CVT transmission comfort be irresistible?

Peugeot closed the first eight months with 21.9 thousand units delivered and a 1.6% share in automobiles and light commercial vehicles. One year ago, it had reached 29.5 thousand units and a 2.4% share.

The 25% decline in a market that grew 10.9% on average suggests the 208 turbo must accelerate the brand’s results and – as important as it – not hit the aspirated versions.


 

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George Guimarães

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