Popular car: part of the shares may remain for 2024 – 05/24/2023 – Market

Vice President Geraldo Alckmin (PSB) and Finance Minister Fernando Haddad (PT) presented this Wednesday (24) to President Luiz Inácio Lula da Silva (PT) a plan to boost the automobile industry.

However, Haddad had already stated earlier that some measures to be announced could only be made next year “due to fiscal rules”.

There is no definition of when the package will be released, but there is the possibility of it being announced this Thursday (25), on the National Day of Industry, said the Minister of Finance.

“It could be announced tomorrow, but I don’t know if they’ll have time to process everything,” replied Haddad when asked about the matter.

He did not anticipate which measures will be part of the package, designed by Alckmin, who is also Minister of Development, Industry and Foreign Trade.

President Lula’s request is that the package prioritize popular cars. A Sheet found out that the goal is to launch an incentive plan for the entire industrial chain, going beyond the scope of automakers.

The measures will include credit lines for the manufacturing sector, tax reductions, an increase in the nationalization index of manufactured goods and a vehicle financing program.

Conversations to define the measures were held directly between the government and companies in the sector.

The objective of the package is to reduce the initial values ​​of compact models with 1.0 engine to something between R$ 50,000 and R$ 60,000. Today, the cheapest car sold in Brazil is the Renault Kwid in the Zen version, which costs R$69,000.

On Tuesday (24), the government had its first major victory in Congress, with the approval of new fiscal rules. According to Haddad, the Treasury will now focus on tax reform, which he wants to see approved by the Chamber of Deputies in the first half of the year.