Brazil
During the two decades that followed the Second World War, the available fuels in Europe had featured progressively higher octane ratings, and compression ratios of European cars had increased correspondingly. However, the cheaper (so called yellow grade) petrol widely distributed in Brazil in 1976 had an octane rating of just 73, so for Brazil it was necessary to use a relatively low compression ratio of 7.2 to 1. In order to provide adequate power with the lower compression ratio, a larger engine was needed, and the Fiat 147 was launched with a 1,049 cc (64.0 cu in) unit with a five-bearing crankshaft in place of the 903 cc (55.1 cu in), three-bearing engine that then was still standard in the 127s from Turin. Press reports of the time reported that the larger engine produced a much smoother and quieter drive as well as enhanced torque.
The 147 was the first modern car to use ethanol (E100) as fuel instead of petrol. The performance slightly increased and fuel consumption was 30% higher but the cost of the alcohol was a quarter of that of the gasoline because, at that time, petrol had become expensive as a consequence of the 1973 oil crisis. This version was nicknamed "cachacinha" (little cachaça) because it had the smell of that drink.
After having been introduced in the fall of 1976, the lineup was divided into 147, 147 L, and 147 GL in November of the same year. A year later the luxurious GLS was added, as was the sporty "Racing" model, fitted with a 63 PS (46 kW) 1.3 liter engine. This engine later found its way into the mildly sporting TR (with 71 PS/52 kW), as well as (in lower-tuned form) the 147 CLS, Oggi CS, and Panorama CL.
A 45 PS (33 kW) 1,301 cc (79.4 cu in) diesel engine, based on the 1,049 cc unit, was also developed but was only ever marketed abroad, as private car owners in Brazil were not allowed to register diesel cars. This version, complete with face-lifted Brazilian market bodywork, was also exported to Europe as a "127" beginning in 1981. In 1982, the diesel engine was also added to the "Panorama" station wagon, which also became available in Europe as a 127.
The 147 underwent a number of facelifts during its career. The earliest cars had a front clip similar to the European 127, but later a new, reverse-rake front appearance was developed. Later yet (1983), the front was redesigned to match Fiat's new corporate face as defined by the new Uno. The pre-facelift body remained in use for a few years on the cheapest 147 C – to mark the newer versions as different, they received the additional "Spazio" label: this name later came to replace the "147" badge in Argentina. Along with the facelift, engine outputs all crept up by a few horsepower. In Venezuela, the Spazio was sold exclusively with the more powerful 72 PS engine as used in the Brazilian TR version.
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