Brazil's automotive industry trade association, ANFAVEA, is forecasting that the Brazilian vehicle market will continue to grow strongly during 2008.

2007 has already been a record year, with around 2.45m vehicles sold, and almost 3m vehicles assembled. For 2008, ANFAVEA is forecasting a further 17.5% growth in the market to 2.88m units, and 8.9% growth in vehicle production to 3.24m units.

According to Brazilian automotive industry analysts, Autodata, this estimate may already be on the low side. At the beginning of next year daily production is expected to be 11,700 units, which translates into 3.5m units production during the year.

Underlining the growth in 2008 are falling interest rates and economic growth.

Vehicle sales in November were up almost 30% compared to a year ago to 237,000 vehicles. This represents 11,800 new vehicles registered each day, compared to 11,100 during October.

Year-to-date sales for the first 11 months totaled 2,220,000 units, an increase of 28.9% compared to a year ago.