São Paulo – Vehicle exports from Brazil slid by 17% in May from April, the National Motor Vehicle Manufacturers Association (Anfavea) reported. Year-on-year in May, exports dropped by 17.3%. Year-to-date through May, exports were up 1.6%. Foreign sales of an estimated 15,000 units did not come through as a result of a trucker strike.
“Many cars were left in the factories, unable to reach the seaports. We believe in a recovery, since the contracts are still in place. But there is always a concern,” Anfavea president Antonio Carlos Botelho Megale said. He also said exchange rate issues and the interest rate hike in Argentina, which takes in 76% of vehicle exports from Brazil, are also worrisome.
Vehicle output in Brazil was down 20.2% in May from April, as the strike caused output to decrease by 70,000 to 80,000 units. According to Anfavea, this should be compensated over the next two months.
Translated by Gabriel Pomerancblum
