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Automotive industry discusses ways to end crisis

For Fenabrave, weakened consumers' and inverstors' trust, rise in
Flávia Albuquerque reports from Agência Brasil
Published on 31/08/2015 - 19:03
São Paulo
Pátio da montadora
© Marcelo Camargo/Agência Brasil

Carros no pátio de uma montadora

According to the president of Anfavea, it is necessary to consider the rate of motorization low in Brazil, when compared with other countries, which means a high growth potential. Marcelo Camargo/Agência Brasil

After attending today (Aug. 31) in São Paulo the 1st Strategic Meeting of Automotive Industry Leaders, the president of the National Association for Auto Manufacturers (Anfavea), Luiz Moan, said that to overcome the current economic crisis we must first have "forward-thinking", and only then expect to have "medium- and short-term" results. According to him, it is necessary to consider the rate of motorization low in Brazil, when compared with other countries, which means a high growth potential.

"I believe that, in the second half of next year, the country will resume its level of higher and sustainable growth. The crisis of pessimism is a crime against the country and, if we don't get involved, we create a heavy and pessimistic atmosphere. Anfavea's suggestion is that the main leaders of the automotive industry should have regular meetings in order to keep this task so that it doesn't work only during crisis", he said.

President of the National Federation for the Distribution of Automotive Vehicle (Fenabrave) Alarico Assumpção said that the main challenges—in the organization's opinion—are the political and economic scenarios, the negative GDP, water and electricity crises, the shock in the investors' and consumers' confidence indexes, the rise in unemployment and debt, and high inflation. "In addition, there's contraction in the credit supply, cars being taken as villains of urban mobility. The country needs to undertake fiscal adjustment, and resume political and economic stability," he noted.

For the president of the Brazilian Association of Consortia (Abac) Paulo Roberto Rossi, a challenge to the automotive industry is the consumers' current difficulty in taking on financial commitments on medium and long term. "This is a time of shaken confidence. Concomitantly, we face the difficulty of the productive sector in using the consortium as a tool for sales in the future. It would be important to take the consortium as a commercial strategy for everyone involved in the automotive industry. "

In Rossi's view, Abac will continue to encourage financial education programs by spreading knowledge on consortium mode, focusing mainly on its basic characteristics: self-financing, lower costs, and financial planning. "

Director of the National Banks Federation (Febraban) Leandro Vilain said that the banks continue to show strong commitment to the industry, and that legislation has helped avoid delinquency. For him, it is necessary to intensify efforts to protect jobs in the sector, but it is also necessary to improve the localization mechanisms of the good taken back. "Today, the vehicle localization process is inefficient, which results in loss of the loan guarantee and rise in delinquency costs."

According to the president of the National Union of Auto Parts Manufacturers (Sindipeças) Paulo Butori, it is necessary to recognize that the crisis may unite associations. We're all in the same boat and we don't want to sink. "It's an opportunity to paddle together looking for a common solution, for the combination of small solutions to take this sector out of the current situation."


Translated by Amarílis Anchieta


Fonte: Automotive industry discusses ways to end crisis