2025.09.0914:56:20UTC+00Brazil Vehicle Market Slows While Imports Surge

In August 2025, new car sales in Brazil experienced a 7.3% decline from the previous month, totaling 225,400 units. This downturn is attributed to diminished consumer demand driven by high interest rates and increasing defaults. Specifically, sales of passenger cars dropped by 5.2% to 172,300 units. In the light commercial vehicle sector, sales decreased by 12.4% to 42,400 units, and truck sales saw a significant decrease of 15.9%, registering just 8,900 units sold. The truck market has been particularly affected due to tighter credit conditions and a slowdown in economic activity, marking its contraction since April. Additionally, bus sales plummeted by 27.8%, totaling 1,720 units. The average daily sales figure of 10,700 was the second-lowest recorded in 2025, compared to figures from 2024. The cumulative registrations for the year to date increased by a modest 2.8%, reaching 1.668 million units, indicative of stagnant overall growth. Interestingly, vehicle imports have increased by 12.1%, with China surpassing Argentina in August to become Brazil’s largest vehicle supplier for the first time in history.