Auto Sales in Brazil Show Slight Recovery in August
By Lise Alves, Senior Contributing Reporter
SÃO PAULO, BRAZIL – Automobile sales in Brazil increased by 1.4 percent in August compared to the previous month and the slow improvement has executives from vehicle associations forecasting a more positive scenario for next year. However the forecast for 2016 remains at nearly twenty percent decline.
“August was the best month of the year for new vehicle licensing. Although still at a low level, it is important to note that we have once again registered stability in the average daily sales,” said ANFAVEA (National Automaker Manufacturers Association) president Antonio Megale during the press conference to announce the August results.
According to ANFAVEA 183,900 units were sold in August, the highest number of sales so far this year, although the pace of growth decreased compared to July (which grew by 5.6 percent).
For the year accumulated sales continue in negative territory, with a decrease of 11.3 percent compared to the first eight months of 2015. The association maintains its forecast of a decline of 19 percent in auto sales for 2016.
ANFAVEA also maintained its production forecast for this year a retraction of 5.5 percent from that of 2015 with 2.29 million units being produced. In August, there was a 6.4 percent decline in production to 177,700 units in comparison to July.
Nonetheless, the executive says that with the country’s political situation being slowly resolved, the industrial sector should face better times next year.
“It’s time for the turnaround. Brazil needs to take this chance to make the necessary reforms and enter the path of renewed growth. This is a time to prepare for the future,” concluded Megale.
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