Fernanda Cruz       Reporter Agência Brasil

São Paulo – The reduced tax was set to expire at the end of the month and it seems consumers rushed to take advantage of the lower prices. As a result, automobile and light vehicle sales in Brazil were up 15.4% in August, compared to July, with 405,500 new license plates issued.

Flavio Meneghetti, the president of Fenabrave, the automakers trade association, said it was a historical record due to the government’s decision to reduce the tax on manufactured goods (“Imposto sobre Produtos Industrializados – IPI”). The IPI tax reduction was scheduled to end on August 31, but has been extended to the end of October.

Fenabrave is now forecasting total 2012 sales of 2.88 million vehicles.

Allen Bennett – translator/editor The News in English

Link - Vendas de veículos batem recorde histórico em agosto estimuladas pela expectativa de aumento no IPI