Ducati form subsidiary in Brazil

The Bologna motorcycle manufacturers have always considered Brazil as one of their most important markets for business.

Since, the shut down of the Izzo group, which were the current importer of the Ducati bikes in the land of the ‘Samba’ due to the current economic situation, the big bosses at Ducati took a decision regarding setting up of a wholly-owned subsidiary. Ducati’s move ensures the Italian brand’s ability to sell in the rapidly-growing South American economy.

Headquartered in São Paulo, this subsidiary will be Ducati’s base in Brazil. With extremely high tariffs imposed on foreign goods, importing complete knock-down (CKD) kits to Brazil, Ducati will have a minimal manufacturing presence in the South American country. It will be essential that assembling their motorcycles within Brazilian borders would be necessary in order to side-step loopholes in the Brazil import regulations.

However, the question remains whether there will be a decrease in prices on these Brazilian Ducatis or not? Gabriele Del Torchio, Ducati CEO has stated that, “The Brazilian motorcycle market is one of the most interesting and the third biggest in the world and Ducati has a very strong image in this country. The opening of this new subsidiary and the fact that our motorcycles will be assembled in the Manausplant is evidence of our focus on the Brazilian market. We wish to offer our customers here the best possible sale and after-sales service, and confirm the strategic importance assigned to this market by Ducati.”

Seen here in the picture: Ricardo Susini (Head, Ducati Brazil) with Ducati CEO Gabriele Del Torchio