Must have high vehicle market of up to 11% in 2019, says Fiat

The Brazilian market of vehicles should grow between 8% and 11% in 2019, the President of Fiat Chrysler for Latin America, Antonio Filosa. The projection takes into account that the GDP will expand between 2.2% and 2.5%, that inflation will follow under control and that the prime rate will remain near the current level of 6.5%. "All of this raises possibility of credit for businesses, growth of the economy as a whole and greater employability," said the Executive at the automaker's event, held in São Paulo. If the Fiat Chrysler's projection is confirmed, the vehicle market will slow down the expansion about 2018, which must end with an increase of 15%. Second Filosa, the market next year will be marked once again by the growth of the sport utility segment, known by the acronym SUV. This segment was the most advanced during the economic crisis, because it is intended for an audience of higher purchasing power and thus more ability to get credit. Sales of SUVs, which accounted for 8% of the 2012 car market today are 24% of the total. The vehicle market, which grew in 2017 and 2018 due to the demand for corporate clients, must be pulled in 2019 by common consumer, expects the President of Fiat Chrysler. "Families have more elastic responses to economic cycles. In crises, postpone the purchase. In the expansion, are more open. During the last four or five years, they have repressed this purchase. For 2019, we think there will be an acceleration, "he explained. Filosa said also that the group must announce investments in factories of Betim, Minas Gerais, and in Goiana, Pernambuco. The values, not revealed, are part of the plan to invest R $14 billion in Brazil between 2018 and 2022. The investment program was announced in June this year. The factory of Minas Gerais, the oldest of the group, has been operating with two shifts of production, with 1,600 cars per day. An increase in production is expected for next year, due to the release of a new version of the Fiat brand vehicle not revealed. The Pernambuco factory operates at maximum capacity, in three shifts, with 1,900 cars per day.