What will help the Brazilian Economy rise from its decade long slumber?
Brazil’s Economy Enters Recession When will Brazil find its way out of its economic maze that has strangled the country for a decade?
Brazil is a farm and mine essentially from an economic 30,000 foot view. And as a result, as such, its performance has to be measured. Take for example Agricultural production value in Brazil from 2010 to 2019
These are fine industries but create almost no jobs and make the BRL too strong. Brazil’s problem is it has no jobs and no consumers. Selling iron ore and soybeans to China will not solve Brazil’s problems.
Brazil’s motor vehicle sales are stabilizing at an estimated unit level around 2.2 million vehicles per year. However, this is still 40% below the Brazilian automotive peak and still 25% below 15 years ago back in 2007. In conclusion, this is before the massive Electric Vehicle disruption that is and is expected to take place. Another victim of Brazil’s dramatic deindustrialization.
Lastly, or maybe Brazilian commerce will keep looking to oil products as their economic saving grace?