SAO PAULO Nov 6 Brazil's motor vehicle
production in October slipped and sales slowed to their weakest
pace in eight months as rising inventories pointed to a year-end
slowdown at local factories.
Automobile output in Brazil fell 2.5 percent
and sales rose 6.6 percent from September, which
had two fewer working days, the national automakers' group
Anfavea said on Wednesday.
The pace of new registrations dropped to about 14,400 sales
per day, the weakest demand since March, according to Reuters
calculations. Anfavea said in a presentation posted to its Web
site that inventories at factories and dealerships rose 5
percent to about 40 days' worth of sales, the year's peak.
Stagnating demand for cars despite heavy tax incentives from
President Dilma Rousseff underscored signs that sales in Brazil
may well contract this year for the first time in a decade.
Registrations through October slipped 0.7 percent from the same
period of 2012.
Brazil is the world's fourth-biggest auto market, with
Italy's Fiat SpA, Germany's Volkswagen AG
and U.S.-based General Motors Co and Ford Motor Co
selling more than 70 percent of new cars in the market.
Fiat remained Brazil's top seller of cars and light trucks
in October, with about 61,600 new registrations. GM surged past
VW into a close second place, selling some 60,900 passenger
vehicles compared with the German automaker's roughly 56,400
cars and light trucks. Ford sold about 29,400 vehicles.
French car maker Renault SA kept its lead over a
surging Hyundai Motor Co with about 21,600 new
registrations compared with the Korean rival's roughly 19,500