Brazilian Motorcycles Market continue to fly in the 2019, following the 2018, when it was the fastest growing market within the World’s top 25 global. With the +8.8% scored in May, the industry kept growing in double-digit. Under the Honda dominion, Suzuki booms 166% and Triumph kept growing.
Brazil’s economy contracted in the first quarter of the year for the first time since the severe recession in 2015-2016. A breakdown by components revealed broad-based weakness in the economy, with uncertainty at home and abroad strangling fixed investment. In addition, exports plunged on lower mining sales amid troubles at Vale, the slowdown in global trade and collapse in demand from key trading partner Argentina. Available data for the second quarter points to lingering softness: Industrial production barely grew in April and both consumer and business confidence fell in May.
Growth is seen staying tepid this year, plagued by a challenging environment both at home and abroad. While improved sentiment and accommodative monetary policy should help fuel a modest acceleration, reform uncertainty and subdued external demand will limit the uptick.
The start of the 2019 was almost positive and the market is projected to easily outpace the 1 million units in the full year. So far, sales increased 13.5% in January, 27.6% in February and 7.2% in March with a first quarter figures at 270.898 units, up a robust 15.8%.
The Q2 started with unchanged mood with April sales were reported at 90.267, up 14.9%, and May sales at 95.695 (+8.8%) with year to date figures at 456.603 (+14.0%) and a favorable outlook for the rest of the year, with full year sales projected up 11.3%.
Brazilian 2-wheeler market is the largest in Latin America and one of the Top 10 in the World. Hit by the economic crisis in the 2014, the market has felt down rapidly from the 1.59 million units achieved in the 2013 to a negative peak of 814.440 in the 2017.
During the 2018 finally the market had approached a positive pathway, fueled by growing internal demand. and according to data released by the Brazilian Minister of Transportation, in the full year 2018, total motorcycles, scooters and ATV sales have been 957.617, a robust 17.6% from the previous year, the best year on year score among the Top 25 markets in the World.
Best selling Brands
Since 40 years this market is literally dominated by the Japanese Honda which ended the 2018 with over 80% of market share, with 775.617 sales. Moto Honda da Amazonia Ltda. (HDA), started operation 43 years ago, on November 10, 1976, opening the local plant to produce the CG 125 model with an initial capacity of 2.200 units per year. Actually operates an annual production near 1 million units and has produced near 25 million units since the start.
In the first five months of the 2019 Honda sales outpaced the market with 375.516 sales (+13.6%) and an impressive 82.1% of market share.
The second best brand was Yamaha selling “only” 60.039 units (+8.4%) ahead of Suzuki with 5.434 sales (+139%) and followed by the best premium brand, BMW with 3.864 units (+5.5%).