Brazil Aug Vehicle Sales Up 51% From
July At 133,900 Units
Dow Jones Newswires
SAO PAULO -- Brazilian vehicle sales rose in August to stage its best
monthly performance so far in 1998, the industry's association said Friday.
Total sales of domestically produced cars, trucks and buses for August
totaled 133,900 units, up 51% from 88,400 units in July, the National
Association of Automobile Manufacturers (Anfavea) said.
The August sales figure was, however, 12% lower than in August 1997,
when 151,800 units were sold.
In the first eight months of 1998, vehicle sales totaled 869,900 units, down
25% from 1.14 million units the same period last year, Anfavea said.
Increased sales meant a rise in production in August, according to Anfavea
figures.
Total production of vehicles increased 4.6% in August from July to
144,400 units. On a monthly basis, however, output is down 25% from
192,400 units produced in August 1997.
Production in the first eight months totaled 1.16 million units for a 17%
drop from the 1.4 million manufactured in the same period of last year.
The automotive industry had hoped to equal in 1998 the 2-million-unit
output of 1997. But domestic demand remains surpressed by higher
interest and tax rates on car purchases adopted at the height of the Asian
crisis.
Sales of imported vehicles rose to 31,500 in August from 26,000 units in
July, an increase of 21%. Imported vehicles' sales in the last eight months
were at 229,600 units, up 15% from last year's January to August sales of
200,000.
On the other hand, exports of Brazil's vehicles dropped a sharp 9.15% to
31,000 units in August from July's 34,200.
Jose Carlos da Silveira Pinheiro Neto, Anfavea's president, said the
industry is concerned that the current global financial turmoil is affecting the
imports of Brazilian in traditional markets in Latin America. He mentioned
the threat of currency devaluation in neighboring countries while the
Brazilian Real is tied to the dollar.
Pinheiro Neto said he had "no idea" of how the vehicles market would
behave in September given that August was such an unpredictable month.
On a cummulative basis, exports in the first eight months of 1998 rose
11.25% to a total of 276,400 units from 248,400 units in the same period
of 1997.
One-liter engine compact cars sales were up to 85,800 units in August
from 50,000 in July. Compact cars also made up 76% of the vehicle sales
market in August, compared to 72% of total sales in July.
Alcohol fueled car sales jumped to 167 units in August from 45 units in
July. Volkswagen do Brasil and Fiat SPA recently resumed their
production of alcohol fueled vehicles, following a series of government
measures aimed at promoting these cars. |
