Loading ...News - Brazil car sales rise 9 pct in Jan on tax breaks
Brazil: Car sales up
SAO PAULO, Jan 15 (Reuters) - New vehicle sales in Brazil rose on average 9 percent a day in the first two weeks of January from a month earlier as consumers took advantage of tax breaks to buy cars at lower costs, a top executive at Ford Motor Co’s local unit said on Thursday.
New car licenses totaled 78,200 in the first two weeks of the month, an average of 8,700 a day, said Ivan Nakano, marketing and retail manager of Ford (F.N) in Brazil. Brazilian automakers receive data on a daily basis from the federal government on new car registrations.
The early indicator for sales in January follows a 9.4 percent rise in car sales in December from November that marked the first gain in three months as tax incentives and discounts lured consumers back to dealerships.
“The data today shows the market isn’t deteriorating from the previous month,” Nakano told Reuters. “It’s rising and that gives us a positive outlook. The decline (in taxes) had a lot to do with that.”
Nakano said Ford’s market share in the first half of January totaled 12.7 percent and that the company kept daily output at 1,200 cars a day, the same level as in January 2008. Prices are at the same “deep discount levels” the company used in December.
“Worse than sacrificing my margins is not selling any cars,” he said. “We want to believe we are going through a crisis that one day will disappear.” (Reporting by Alberto Alerigi, Writing by Elzio Barreto; editing by Richard Chang)
Source: Reuters.
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