Brazil: vehicle production falls 19.4% with paralysis of assemblers in April

Vehicle production in Brazil fell by 19.4% in April, according to a balance sheet released by the National Association of Automotive Vehicle Manufacturers (Anfavea) this afternoon (8).

There were 178,900 units produced in the month, against 221,800 in March.

The drop in production occurred due to 13 shutdowns promoted by assemblers with plants in Brazil because of the decrease in vehicle demand and the difficulty of access to credit.

The number of registrations was also lower in April, 19.2% compared to March, but 9.2% higher compared to the same month of 2022.

“Even with the credit difficulties and high interest rates, which especially affect sales on the housing market, we are currently supplying 633,000 units in 2023, 14% more than last year, when the crisis was only due to a lack of supply”, says Márcio de Lima Leite, president of Anfavea.

Anfavea pointed out that truck sales increased by 16.5% compared to April last year, “confirming the challenges of introducing the eighth phase of the emission control program, which brought domestic products in line with the most advanced global models, but with an inevitable increase in cost”.

On the other hand, in the accumulated year, the Brazilian automotive vehicle industry had an increase of 4.8% compared to the first four months of last year, with 714,900 units.