--Vehicle sales slump after record August, but industry group
Anfavea remains optimistic
--Truck sales showed signs of recovery at end of September
--New auto rules should help Brazil recover exports in coming
years, Anfavea says
(Adds Anfavea comments, beginning in the third paragraph.)
By Paulo Winterstein
SAO PAULO--Brazil auto sales slumped in September after
expectations for a tax break to end in August led many consumers to
move up their purchases, auto maker association Anfavea said
Thursday, even as it reaffirmed its view for sales to climb this
year.
Sales of cars, trucks and buses fell 7.6% from the year-earlier
month, reaching 288,108 units in September. The September sales
were down 31% from August, which had record sales of more than
420,000 vehicles.
"The decline is justified after the record month in August, as
there was some anticipation of purchases in August," Cledorvino
Belini, president of Anfavea, said. "This month sales should
rebound, although not to August levels."
So far this year, sales of vehicles are 4% higher than in the
same period in 2011, thanks to tax breaks put in place in May. The
tax breaks had been expected to end in August, but shortly before
their expected expiration the government extended the breaks until
the end of October.
According to Mr. Belini, September also compared less favorably
to August because it had four fewer business days. Still, the daily
sales average in September was of about 14,600 vehicles, down 17%
from the 17,600 vehicles sold per day in August. With the slower
sales, stockpiles after September returned to the historical
average of 33 days of sales, from the equivalent of 19 days of
sales in August.
Sales of cars and light-commercial vehicles in September fell
5.4% from the year-earlier period, while heavy-truck sales
continued to weigh down overall sales, with a 43% drop from a year
earlier.
Truck sales slumped due to stricter emissions standards imposed
at the start of the year, but Mr. Belini said there was a slight
improvement in sales at the end of September, signaling the start
of a turnaround.
Despite the September sales slump, Anfavea still expects sales
to climb 5% this year to as many as 3.8 million vehicles, and
output to expand 2% to 3.48 million units.
Vehicle output in September climbed 8.2% on the year, thanks to
strong sales in previous months winding down stockpiles at the
factory and on the showroom floor. However, output was down 14%
from August.
Through the end of September, output was 5.7% behind 2011
levels.
Exports also lagged behind 2011. September exports totaled $1.15
billion, 23% less than the 2011 month and 18% below August exports.
Through the end of the third quarter, exports were 5.7% weaker than
during the same period in 2011.
New auto rules announced Thursday, which demand more investment
in technology and energy efficiency, will help Brazil become more
competitive in its exports in coming years, Mr. Belini said.
Fiat SpA (FIATY, F.MI) once again was the market leader, selling
54,799 passenger cars. Volkswagen AG (VLKAY, VOW.XE) sold 51,977
cars, while General Motors Co. (GM) came in third with sales of
38,748 autos. Ford Motor Co. (F) sold 18,509, followed by Renault
SA (RNO.FR), with 14,216 in car sales.
Write to Paulo Winterstein at paulo.winterstein@dowjones.com