Sales of cars and light trucks in Brazil surged 15.3% in July from June to a record for the month as dealers and automakers extended discounts to counter the end of tax breaks on the industry, auto dealer group Fenabrave said.
Sales totaled about 285,299 vehicles last month, compared with about 247,500 in June, the Sao Paulo-based group said in a statement cited by Reuters. They rose 4% from 273,600 vehicles in July 2009.
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During July, dealerships held more so-called Feiroes to try to revive sluggish demand for vehicles. At these fairs, cars are offered at a discount and potential customers arrange financing for their purchases. Sales slowed since the start of the second quarter after the government removed tax incentives first implemented in the first half of 2009.
July had one more working day than June, which also helped boost sales, two sources told Reuters ahead of the Fenabrave release.
Fiat sold about 70,000 vehicles in July, more than any other automaker in Brazil, according to the sources. Volkswagen sold about 60,200, while GM sold 54,700.
Ford sold 28,700 vehicles in the month, the sources added.
