Brad Haynes and Alberto Alerigi – Reuters, 06/15/2012
(Reuters) – Ford Motor Co (F.N) expects the Brazilian auto market to set a new sales record by the end of the year despite a sluggish start, as recent tax breaks and record-low interest rates jumpstart stagnant business at dealerships.
Rogerio Golfarb, Ford’s head of corporate affairs in South America, said in an interview on Thursday afternoon that the market would see “a really strong pickup in the second half of the year due to government measures.”
After sales more than doubled since 2005 amid a recent economic boom, Brazil’s car industry has struggled this year along with Latin America’s biggest economy. To spur consumer demand, Brazil’s government in recent months has cut taxes on select products, including cars, and encouraged the central bank to lower interest rates to historic lows.