Ford says that the depressed Brazilian market has sparked into life following an infusion of government credit.
The credit infusion helped increase sales of new cars in Brazil starting in the last week of November, an executive from the local Ford do Brasil told the Estado newswire.
“We have been seeing an improvement in sales between the last week of November and first week of December, thanks to the government credit lines kicking in,” Ford’s local chief executive, Marcos de Oliveira, said.
Federal and Sao Paulo state-owned banks injected BR8bn (US$3.3bn) into the auto loan market to stave off two consecutive months of sales declines due to credit availability problems.
An indication of how bad things have got in Brazil is that Ford’s rival GM reported that its sales in Brazil fell by 35% in November.
Car production in Brazil plunged 34.4% in November.