FX.co ★ Brazil Vehicle Production Falls in May

Vehicle production in Brazil experienced a 5.6% decrease in May 2025 compared to April, with the total number of units produced reaching 214,749. When compared to May 2024, however, production saw a 28.8% increase, although it's important to note that the annual figures are affected by the previous year's floods in Rio Grande do Sul. Cumulatively, production for the year has risen by 10.6%, amounting to 1.03 million units. According to Anfavea, exports surged to 51,500 units in May, nearly double the amount from the previous year, spurred by demand from a robust Argentine market. Nonetheless, the decline in production illustrates growing competition from imports and manufacturers' prudence regarding short-term sales prospects. Imports for May amounted to 39,700 units, bringing the total for the year to 190,000. In the domestic market, vehicle registrations increased by 8.1% in May, totaling 225,700 units, with an average daily sale of 10,700 vehicles.