Car Rental Companies in Brazil Lose Revenue, Lack Vehicles As Manufacturers Lag

According to the Brazilian Association of Car Rental Companies (ABLA), the car rental companies association, delays amount to almost six months for some models.

RIO DE JANEIRO, BRAZIL - Faced with the restructuring of production chains, automakers are failing to cope with the market upturn, particularly in terms of direct sales, in which fleet owners are major customers. In this scenario, rental companies are being impacted by vehicle delivery delays. The companies are experiencing a drop in revenue and may lack cars to rent at the end of the year, the busiest period for the sector.

"This delay will affect car rental companies' profitability this year. If all goes well, the market should only stabilize in the first quarter of 2021,″ says Paulo Miguel, ABLA . . .

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