Car industry grows in 2017 after 4 years of decline

Car industry grows in 2017 after 4 years of decline

Chamber Articles Category: Industry News Post Date: 01/10/18 Source: BrazilGovNews By: BrazilGovNews
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With the end of the recession and the improvements in the economic environment, the Brazilian automotive industry resumed growth after four years of decline. In 2017, automobile production increased 25.2%, with a 9.2% growth in total sales in the sector.

The data disclosed on Friday (5 December) by the National Association of Manufacturers of Automotive Vehicles (Anfavea) reveals improvements in both the overall economic scenario and business confidence in the Brazilian economy.

Brazil produced 2.7 million vehicles in 2017, while domestic sales totalled just over 2.240 million units - exceeding even the estimates of Anfavea (which represents the country's automakers).

The result is due to better economic conditions in Brazil in the wake of economic reforms. With falling inflation and interest rates, increased legal certainty and greater access to credit, families are consuming more and companies are becoming more confident, increasing output.

Exports:

This scenario was also observed in Brazil's trading partners, as automotive exports hit record highs: the country sold 762,000 units abroad, a 46.5% increase compared to 2016. (also exceeding Anfavea's official estimates, which previously pointed at 745,000 units shipped abroad). Read Full Article