Brazil automakers set record sales, output in June
SAO PAULO, July 4 (Reuters) - Brazilian automobile manufacturers produced and sold a record number of new vehicles in the first half of 2008, with flex-fuel cars leading the surge, the auto manufacturers' association, Anfavea, said on Friday.
Increased disposable income among Brazil's middle class and poor have been driving an economic boom.
Domestic sales rose by 30 percent over the first six months of 2007 to 1.41 million units. In June alone, sales rose 5.8 percent from May and jumped 28.8 percent from the month a year ago to 256,000 units, the association said.
Production of new cars rose 21.3 percent in the first half over a year ago to 1.68 million units, while June output rose 4.8 percent from May and 23 percent from the same month a year ago to 303,800 units.
Anfavea said it expects strong results from the automotive sector to keep sales and output in record territory through the end of 2008.
FLEX-FUEL
The sale of light cars with flex-fuel motors, which can run on any combination of gasoline or ethanol, has been the driving force behind the strong performance in the sector. Those sales accounted for 87.5 percent of all new car sales in June, compared with 87.6 percent in May and 86.2 percent in June, 2007.
Automakers sold 212,533 flex-fuel vehicles in June compared with 201,359 units in May and 162,737 units in June last year.
Over the first six months of this year, flex-fuel sales reached 1.17 million units, Anfavea said without comparative reference to 2007.
FARM MACHINERY
Sales of farm machinery such as combines and harvesters grew 9.2 percent in June over May and 50.5 percent over June 2007 to 5,100 units.
Over the first half of the year, sales were up 52.4 percent above the same six months of 2007, reaching 25,400 units.
Production of heavy agricultural machinery was up 13.5 percent over May and up 27.8 percent over the same month a year ago, at 7,300 units. In the first six months, output reached 39,900 units, up 38.8 percent on year. (Reporting by Vanessa Stelzer; Writing by Reese Ewing; Editing by Jonathan Oatis)
