With production plants returning to operations after stoppages in April, automotive production (cars, trucks and buses) in Brazil reached 227,900 units in May, 27.4 percent more than in April and 10.7 percent more than in May 2022.
Domestic sales reached 176,500 units in May, 9.8 percent more than in April and 5.6 percent less than in May 2022.
Exports in May also increased, reaching 44,300 units, 30.4 percent more than in April and 3.7 percent less than in May 2022.
According to Marcio de Lima Leite, president of the auto sector association Anfavea, the increased production reflects the announcement by the authorities of a plan to increase the sales of new vehicles, as most of the producers have increased their stocks of vehicles for sale due to the expectations derived from the announcement of the plan.
The plan includes tax credits to producers of up to $100 million for the sale of light vehicles and up to $200 million for the sale of trucks and buses.
During the first five months of the year, automotive production reached 942,800 units, a 6.2 percent increase on yearly basis, while domestic sales increased by 9.3 percent to 809,000 units and exports declined by 4.2 percent to 190,600 units.