Brazil’s machinery and equipment sector grows 18% in February
RIO DE JANEIRO, BRAZIL – With revenues of R$13.8 billion, the machinery and equipment sector posted growth of 18% in February compared to the same month in 2020, according to the balance released yesterday March 31st, by the Brazilian Association of Machinery and Equipment (ABIMAQ).
In the first two months of 2021, the increase was 27.4% compared to the first two months of last year.
According to ABIMAQ’s executive president José Velloso, the machinery industry had shown a steady growth trend since April last year. “Some months growing more, others less, but always growing,” he emphasized during the presentation of the data.
Velloso ponders, however, that this expansion happens from a low level. “We are still 22% below what was the average from 2010 to 2013,” he compares. “In the last five years, the investment rate in Brazil is meager,” he adds.
Projection
This year, the association projects that the capital goods sector will register an increase of 13%. According to the executive president of ABIMAQ, this growth should be driven by sectors that have shown great activity in recent months. “You have infrastructure sectors that are doing well, especially road construction,” he exemplified.
Among the sectors that are heated, Velloso also mentioned sanitation and energy. “The sanitation framework is recent, and we have a considerable optimism there,” he added, about the new legislation that regulates water and sewage services, opening more space to private initiative, approved last year.
Exports and employment
Machine exports fell 24.3% in February compared to the same month in 2020, totaling US$599.5 million. For the executive president of ABIMAQ, sales abroad are hindered by the disarray caused by the pandemic, which reduced trade routes and has even hindered the distribution of containers.
The number of jobs in the capital goods industry grew 10.6% in February in relation to the same month last year, with 337,700 people employed.
Source: Agência Brasil
More: Brazil news in English, every day from The Rio Times.
This article was produced by The Rio Times’ automated AI newsroom. Editorial responsibility: Matthias Camenzind, Publisher and Editor-in-Chief. The Rio Times also runs Ask Rio Times, which answers from 100,000+ of our own articles, the daily Latin America Power Map, and prediction-market odds on elections and markets.. How we use AI · Report an error
Brazil runoff, Sunday, October 25: Brazil runoff date. Latest: Brazil runoff polls, Flávio 51%, Lula 49%.