Korean Media: Chinese Cars Surge 105.4%, Capture Half of Brazil's Imported Car Market!
On September 10, South Korean media outlet Global Economy published an article stating that Chinese automobiles now hold more than half of Brazil's imported car market.
Data from the Brazilian Automotive Manufacturers Association shows that from January to July this year, Brazil imported a total of 344,100 vehicles, a year-on-year increase of 25.7%. Observers believe the South Korean auto industry urgently needs to revise its strategy for the South American market.
From January to July this year, over 180,000 vehicles entered Brazil from China, accounting for 52.4% of the import car market. Compared to the same period last year, imports of Chinese-made vehicles surged by 105.4% by July.
Notably, environmentally friendly vehicles—including pure electric and hybrid cars—have seen particularly strong growth. During the same period, registrations of eco-friendly vehicles soared by 120.8% year-on-year. In July alone, sales of eco-friendly vehicles accounted for 23.5% of total vehicle sales. Pure electric vehicle sales reached 25,800 units in July, setting a historical high.
The influx of large volumes of environmentally friendly vehicles from China has significantly intensified price competition in Brazil’s automotive market. According to market research firm Bright Consulting, the average recommended retail price for new cars in Brazil this year is 166,900 reais (approximately 222,000 RMB), representing a nominal 1.4% increase compared to last year. However, considering Brazil’s official inflation rate of 3.18% during the same period, real prices have actually decreased by 1.5%.
Despite the massive volume of imported vehicles, Brazil’s domestic auto production still reached 1.62 million units by July this year, up 8.3% compared to the same period last year. Nevertheless, employment conditions within the local manufacturing sector remain grim. Igor Calvetti, president of the Brazilian Automotive Manufacturers Association, expressed concern, noting that the number of imported vehicles—approaching 350,000—exceeds the annual output of most individual domestic auto plants.
Calvetti emphasized that if these imported vehicles were produced locally, it would stimulate demand for components and create more jobs.
Meanwhile, Brazil’s auto exports continue to decline. As of July this year, cumulative export volume stood at 255,900 units, down 20.8% year-on-year. This is primarily due to a 35.4% drop in exports to Argentina, as well as declines across all other South American markets except Colombia.
Original article: toutiao.com/article/1875906561908745/
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