The Biennial Sao Paulo Car Show is underway in Sao Paulo displaying big and expansive cars, while the recession is making it harder for car makers to sell even their cheaper models.
CCTV’s Paulo Cabral reports from Sao Paulo.
SAO PAULO CAR SHOW
Many people come to the Sao Paulo Car Show just to see their dream high-end sports cars, big pick up trucks and top SUV’s that are virtually inaccessible to the vast majority of Brazilians.
“This a very distant dream for me. So really the only way of coming this close to one of this cars in here in the show,” said Gabriel Silva, who works as an office manager.
But as the recession deepens and credit becomes scarce, even buying a more modest vehicle is turning into a distant dream for many.
“The recession has hit us hard here in Brazil in all sectors. All we can do now is hope that thing will get better soon,” said Fernando Ribeiro Filho, a civil engineer.
“The big problem is that the job market is very week now. Car makers are still trying to do things to make it easier for people to buy their products but too many people are unemployed,” said Leandro Dias, a mechanical fitter.
According to the Car Dealerships Association, sales fell more then 17 percent in October of 2016 in comparison to the previous year. In the year leading up to October, the drop was even steeper–over 22 percent.
While there is little hope for a rebound in car sales and production this year, industry leaders at the Sao Paulo Car Show say they are laying the groundwork for a recovery they hope to see begin in 2017.
“They are presenting technologies, new designs and everything so this is an essential part of their strategy to launch new cars. Everyone wants to buy a new car and if they have conditions they will do it so this is the time to inspire our clients,” said Leandro Lara, the Sao Paulo Car Show director.
The Brazilian branch of Ford brought some of its top vehicles to do just that – inspire customers.
“We do see a deterioration of the base segments of the industry by reducing year over year but we also believe as automakers we do have a responsibility to find ways to promote affordability, to make sure they will be able to buy what they want to buy,” said Mauricio Greco, the General Marketing Manager of Ford Brazil.
In times of recession the dispute for the customer’s money becomes even harder. Car makers are doing all they can to make sure they will have a good share of it.