BMW to Jaguar Sales Up as Market Drops: Corporate Brazil
Brazil’s anemic auto market is getting a boost from affluent motorists snapping up Mercedes and BMW models as tax incentives put more luxurious rides within reach.
The premium segment, which grew 32 percent in the first quarter, is a bright spot amid total vehicle sales that fell 5 percent, according to two local auto associations. High duties on imports have kept snazzier models too expensive for all except the top tier of drivers.
Luxury brands have been adjusting to local market needs by focusing on entry-level cars like Mercedes Benz’s Class A 200 Turbo hatchback, which retails for about 111,000 reais ($49,471). With Toyota Corollas priced at about 93,000 reais and Honda Accords at 120,000 reais, Brazilians with deep pockets are trading up.