Automotive production in Brazil reached 271,200 units (cars, light commercial vehicles, trucks, and buses) in August, against 253,900 units in July, according to the sector association Anfavea, reflecting the highest production levels on record since October, 2019.
Anfavea president Igor Calvet said the production figures are encouraging because they signal stronger domestic demand despite weaker exports. Still, two-thirds of the nearly 150,000 additional units produced this year were SKD (semi-knocked-down) or CKD (completely knocked-down) models, while only one-third were fully manufactured in Brazil.
Domestic vehicle sales declined by 1.6 percent to 275,100 units, while exports increased by 2.2 percent to 39,800 units.
Compared with August 2025, August 2026 production increased by 9.4 percent, domestic sales rose by 22.1 percent, and exports declined by 31.7 percent.
When comparing the eight months of 2026 with the same period in 2025, production increased by 8.5 percent to 1.9 million units, domestic sales increased by 18.4 percent to 1.975 million units and exports declined by 22.9 percent to 295,700 units.
Anfavea attributes the declining exports to lower demand from Argentina and competition from Chinese vehicles in most of its traditional destinations in Latin America.