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Aftermarket in Brazil

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Submitted By mikcloud
Words 1388
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| Brazilian Aftermarket |

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Demographics
Brazil is the largest country in South America that specializes in agriculture mining, and the manufacturing service, however, the Brazilian Aftermarket is one that is on the rise. Brazil is the 5th largest country in the world that is home to 205 million people, with the majority of the people living along the coast. The median age is 30.7 with 43.7% of the population being in the 25-54 year range. More than half of Brazil’s population, 53% is considered to be the middle class, however, poverty levels still remain high.
The United States, on the other hand, is the third most populous country with 322 million people. Depending on the location, and class model used, the middle class can constitute anywhere from 25%-66% of American households. The median age is also a little higher than that of Brazil’s at 36.8 years (The World Factbook , 2015).
The Market
Brazil has a very large market with many positive advantages. The nation’s highly protected economy offers limited opportunities for significantly increased exports. The United States shipped $1.1 Billion in auto parts exports to Brazil in 2014. The International Trade Administration ranked Brazil as the 23 best market for original equipment parts and 27 for aftermarket products through 2020. For most firms seeking access to the Brazilian Market, it is through the supply chains of vehicle assemblers or large parts firms that are already producing in the market.
Brazil is the fourth largest auto market in the world, the largest automotive market in South America with $3.8 million in vehicle sales in 2013. U.S. auto parts exports to Brazil exceeded $1.06 billion, with total Brazilian Auto Parts imports reaching $16 billion.
Brazil is currently the United States 9th largest good trading partner with $72 billion in total goods trading during 2013. Goods

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