Brazil's auto market picks up 19% year-on-year in June

According to Reuters, in June this year, light vehicle sales in Brazil increased by 19% year-on-year to 340,300 units, a 24% increase from the previous quarter.

In June, Brazil's daily new car sales reached 17,000 units, the highest record since November last year. The auto company with the largest sales volume in the month was still Fiat; in the first six months of this year, the sales volume of light vehicles in Brazil reached 1.6 million units. The same period last year was basically flat.

Recently, the Brazilian auto market demand has gradually returned to a rising trend. To further stimulate consumer demand, the government has introduced a series of measures, including tax incentives, trade protection, and lowering of interest rates on loans.

According to statistics from the Brazilian Automobile Dealers Association Fenabrave, in May this year, Brazil’s car sales fell by nearly 10% from the same period in 2011, mainly due to the increase in the default rate of auto loans and the credit shortage in the industry.