As a result of the simplification in approvals for financing capital goods by the National Bank for Economic and Social Development (BNDES), truck sales began to react this month. However, this recovery began too late and should not prevent a drop in volumes in the heavy vehicle industry this year, according to estimates by the largest automakers.
Their projections indicate a decline in the range of 5% to 12% of truck sales in 2014, which would mean something between 136 thousand and 147 thousand units registered until December.
Even so, this is an ambitious target because, taking into account the 11% drop accumulated in the first quarter, the market will have to, from now on, advance at a pace close to 20% to reach that mark, recalls Ricardo Alouche , vice-president of sales at MAN, maker of Volkswagen brand trucks.
The sector's year started well below expectations due to the delay in the publication of the new Finame rules, the BNDES line that offers the lowest interest rates for the purchase of trucks – today, at 6% per year. Afterwards, there was a delay in the release of financing due to the increase in bureaucracy to obtain credit.
Last month, the BNDES once again simplified the process, by allowing pre-approval of credit already at the intermediary financing agent. With this, a large volume of orders that were dammed up begins to be released. According to Alouche, this month's sales are 50% higher than in March.
"Processes that were dammed up started to flow", says Alcides Cavalcanti, commercial director of Iveco, who, along with Alouche and other executives, participated yesterday in the sector forum organized by Automotive Business in São Paulo.
For truck industry directors, the simplification of Finame was a first step towards unlocking sales. Market recovery, however, still depends on a broad support program for fleet renewal, in addition to the relaxation of Finame financing rules.
With the breakdown of confidence in the direction of the economy, companies need new stimuli to renew the fleet, they say. Alouche, from MAN, suggests a reduction in the required down payment on BNDES financing, which is 20% of the vehicle's value.
Gilson Mansur, sales director for Mercedes-Benz, says that it will be necessary to find ways for the bank's credit to also reach self-employed truck drivers, and not just for large carriers.
Due to the sharp drop in sales and inventories that reach four months, truck assemblers are reducing production and adjusting the workforce with measures such as temporary removal of workers, voluntary layoff programs and anticipation of vacations. Sector executives say that, in addition to the BNDES bureaucracy, the reduction in the transport of industrial cargo compromises this year's results.
Source: Valor Econômico
By Eduardo Laguna | From Sao Paulo
