Tuesday, 02 January 2024 12:17 GMT

Cars And Motorcycles Drive Growth As Truck Sales Stall In Brazil


(MENAFN- The Rio Times) Brazil's vehicle market is showing mixed signals in 2025, according to official data from the National Federation of Vehicle Distribution (Fenabrave).

In the first half of the year, Brazilians bought 1,131,000 cars and light commercial vehicles-a 5% increase compared to last year. June alone saw 202,200 units sold, which is almost the same as June 2024, but slightly less than in May.

Motorcycle sales are also strong, with forecasts pointing to a 10% rise by the end of the year, reaching 2.06 million units. This suggests many Brazilians still see personal mobility as important.

However, the story for trucks is much less positive. Only 53,420 trucks were registered from January to June, a 3.6% drop from last year. June sales fell to 8,374 units, down 13.3% from June 2024 and 5.8% from May.

Fenabrave now expects truck sales to fall 7% this year, revising its earlier forecast of growth. High interest rates are making it harder for companies to buy new trucks, which is putting pressure on the freight and logistics sectors.


Brazil's Vehicle Market Splits
The market for trailers and similar equipment is also struggling. The outlook has changed from a 5% increase to a 20% drop, with only 71,000 units expected to be delivered in 2025.

Bus sales are one of the few bright spots. June saw 2,359 buses registered, up 9.6% from last year, though slightly down from May. For the year so far, 14,116 buses have been sold, a 24.5% jump from 2024.

The forecast remains a 6% increase for the year, with 29,300 buses expected to be licensed. These trends show that while consumers are still buying cars and motorcycles, the sectors tied to moving goods-like trucks and trailers-are facing real difficulties.

High borrowing costs are making it tough for businesses to renew their fleets, which could slow down the movement of goods and affect the wider economy. The rise in bus sales may reflect investments in public transport, but it does not make up for the struggles in freight.

Brazil 's vehicle market in 2025 highlights both steady consumer demand and growing challenges for business transport. This matters because it affects jobs, investment, and how goods move across the country.

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