A new line of Holden's Commodore series will soon race through Brazilian roads as the car maker revealed on Tuesday that the new VE Series II model would be exported to the South American country under the name Chevrolet Omega.

Holden chairman and managing director Mike Devereux said that an initial production of 600 special editions of the series would be reserved for Brazil, adding that the figures should spike up very soon with anticipated fresh orders to be made soon.

Mr Devereux noted that the agreement between Holden and Brazil was sealed amidst the car industry's ongoing recovery from global recession but he expressed confidence that following the downturn, the sector as a whole "is emerging both stronger and wiser than ever."

Holden said that the new model would be available by December this year and would be marketed in the Brazilian market as a luxury and performance vehicle with the added premium of running on bio-ethanol, which is a mixture of organic ethanol and conventional petrol.

The company added that the VE Commodore series would be the first Australian-assembled car to run on E85 bio-ethanol, which is mainly produced from wheat, sugar and sorghum and widely regarded as environmentally friendly with promises of reducing carbon emission by up to 40 percent.

Mr Devereux said that Holden's initiative of using an ethanol-based fuel is a testament of the company's commitment to the eventual shift to alternative fuels a she added more studies were being conducted on the possibility of converting household wastes into usable fuel.

Holden energy and environment director Richard Marshall is upbeat that bio-ethanol points to the future of Australian fuel consumption as he stressed that "it is a cleaner burning, renewable fuel and long term, we think it has the ability to displace up to 30 per cent of Australia's petrol use."