Most of the units sold in the month were already in stock after the government incentives were announced; the automakers cut 505 jobs in the period and maintained adjustments in factories
Despite the program of the federal government, which gave bonuses to reduce car prices in the country, the production of vehicles it had a decrease of 7.1% last month, compared to the volume of June 2022. In total, 189.2 thousand units were assembled, including passenger cars, light commercial vehicles, trucks and buses. The automakers also shed 505 jobs over the period – they now employ fewer than 100,000 people.
June output represents a 17% drop from May, as automakers bolstered their inventories in anticipation of consumers rushing to dealerships due to government-sponsored rebates of R$2,000 to R$8,000. Published this Friday 7 by Anfavea, the association that represents the sector, the balance shows that the automotive industry it produced 1.13 million vehicles in the first half, still up 3.7% from last year’s first six months.
Boosted by government rebates, vehicle sales rose 6.4% from June 2022 and 7.4% from May, adding 189.5 thousand units in all categories combined last month.
Most of the cars sold, however, were already in stock. Knowing that government-sanctioned bonuses would be consumed quickly, automakers halted production again in June as, despite the spike spurred by federal support, the market is still under pressure from rising interest rates.
This month, adjustments continue at the Renault and General Motors (GM) plants, which on Monday suspended a production shift in São José dos Pinhais (PR) and São José dos Campos (SP) respectively. Volkswagen will also stop production of the T-Cross SUV in Paraná next week and, starting Monday, will take ten days of collective vacation in São Bernardo do Campo, in the ABC region of São Paulo, where it assembles the models. New Virtus, New Polo and Nivus, as well as the Saveiro pickup.
From January to June, 998.6 thousand vehicles were sold in the country, 8.8% more than in the first half of last year. Anfavea’s balance sheet also shows a 22.6% drop in exports, compared to June with the same month last year. Shipments, of 36.6 thousand vehicles last month, were down 17.4% from May. In the first six months of the year, exports decreased by 7.7%, totaling 227.2 thousand units.
Source: Terra
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