Automotive

Mercedes-Benz extends pause of its activities in Brazil to May 4

Apr, 03, 2020 Posted by Sylvia Schandert

Week 202015

On Friday (03/04), Mercedes-Benz announced it decided to extend the pause in its activities in Brazil by about a week.  Activities have been halted since March 23 because of the quarantine measures adopted to stop the advancement of coronavirus in Brazil.  Now, instead of resuming activities on April 22, the new date for this is May 4.

In the statement, the automaker states that it will start negotiations with unions to find “labor-management alternatives to adjust costs to the current reality” of the market. The day before the announcement, the car dealers association, Fenabrave, reported a 15% drop in sales of new trucks in Brazil in March compared to the same period in 2019. Sales of buses dropped even further by 34% over the same period comparison.

Source: Reuters

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