Brazil car exports hit 7-year high in August, led by Argentina

Exports gave a boost to Brazil’s auto industry in August. The sector shipped 57,100 vehicles, the best result since June 2018, according to data released by Anfavea on Tuesday, Sept. 9.

The volume represents a 19.3% increase compared to July and a 49.3% jump from the same month in 2024. Argentina accounted for 59% of the purchases, consolidating its role as the main destination for Brazilian vehicles. From January to August, 313,300 units were exported, 12.1% more than in the first eight months of last year.

“The growth of our production in recent months is due to the stronger presence of our members in the foreign market,” said Anfavea president Igor Calvet. In August, output totaled 247,000 units, virtually stable compared with July (+3%) but down 4.8% from August last year. Year to date, production reached 1.743 million vehicles, an increase of 6% over 2024.

In the domestic market, conditions are stable but with changes in consumer behavior. In August, 225,400 vehicles were registered, with average daily sales at 10,700 units — the second month this year in which the pace fell short of 2024 levels. “This result is a warning sign for the last quarter, which needs to accelerate to match last year’s performance,” said Calvet.

Imported vehicles stood out, with sales up 12.1% so far this year. For the first time, China overtook Argentina as the main source of imported cars registered in Brazil. Meanwhile, sales of locally produced models dropped 9.3%, while imports rose 17.3%.

The Sustainable Car Program, a federal government initiative under the Mover (Green Mobility and Innovation) program that provides tax incentives, helped support sales. By offering a full exemption from the IPI tax on cars meeting specific criteria for efficiency, the program lifted sales of qualifying models by 26% in two months. Another positive factor came from electrified vehicles: 25% of hybrid and electric sales this year came from domestic production.

Among segments, trucks are under the most pressure. In August, for the first time in 2025, cumulative production fell compared to the previous year (-1%). The domestic truck market had already been shrinking since April, hit by high interest rates, rising defaults, and weaker economic activity. “Not even the rise in exports has been enough to sustain production levels, and job losses are already emerging in heavy vehicle plants,” Calvet said.

Source: Revista Veja

Sharing is caring!