Popular car loses share in sales
Folha de S. Paulo
Popular cars have been losing share in the sales in Brazil. The share of 1.0 automobiles reached 46.2% of the total in January, equaling the level registered in November 2008, shortly after the worsening of the global crisis, which resulted in the scarcity of credit. In 2010, for example, the percentage closed at 50.8%. In the historical series of Anfavea (manufacturers' association), initiated in 1991, the peak of participation of popular cars was registered in 2001 (71.1%).
For the president of the organization, Cledorvino Belini, "it is early" to attribute this reduction to the measures announced in December to slow the financing with deadlines superior to 24 months. "In another two or three months we can get to that conclusion", he said. The automotive industry consultant Andrew Beer, former president of Anfavea, draws attention to the fact that already in December that percentage had dropped to 48%. "There are many people on stand by, waiting to buy a new car."
Another reason raised by Belini is the largest share of imports in sales, leveraged by the devaluation of the dollar. In January, the vehicles - considering also light commercial vehicles, buses and trucks - accounted for 23.5% of the total registered, the highest level since December 1998 (31%). The 57,560 units sold represented a 33.9% growth compared to the same month last year. As regards the licensing of vehicles manufactured in Brazil, they had had an increase of 10%. It is worth to remember that most of these cars are brought from abroad by carmakers installed in Brazil, mainly from Argentina and Mexico due to trade agreements for exemption of the import tax. In Luiz Carlos Mello, coordinator of CEA (Center for Automotive Studies) opinion, the data also shows the gradual change in the Brazilian market. "The downward adjustment of 50% has to happen. The country is more mature and looking for a thicker product", he adds.
The vehicle production in Brazil broke a record in January, reaching the best performance for the month with the production of 261,800 units, an increase of 6.4% compared to January last year, but a decrease of 9.1% compared to December. As regards the exports, they totaled 53,600 vehicles in the period, with increases of 10.7% and 5.8% respectively. Yesterday, Belini again highlighted the sector's concern with the competitiveness of Brazilian products abroad. "The country cannot remain closed. It is not the fact that we import, it is the fact that we do not export enough."