New discount for cars takes effect today with publication of provisional measure by the government
The provisional measure published today by the government aims to create discount ranges for popular vehicles, taking into account criteria of economic and environmental sustainability and nationality.
MP 1,175 proposes price reductions on new vehicles ranging from R$2,000 to R$8,000 - Foto Reproduction / Artstudio_pro/Depositphotos
It was disclosed in the Official Diary of the Union (DOU) this Tuesday (06) to the Provisional Measure which establishes a discount program for vehicles, including cars, buses and trucks, based on criteria of economic and environmental sustainability and nationality. The program came into force this morning. Automakers are already announcing incentive packages for the purchase of brand new vehicles.
Provisional Measure
A Provisional Measure 1.175/2023, establishes a discount mechanism in the prices of more sustainable vehicles, sponsored by the government, with the objective of facilitating their acquisition by both individuals and companies. O President Luiz Inacio Lula da Silva signed the text, which aims to encourage the renewal of the fleet by reducing the prices of cars, trucks, buses and vans. The program will allocate a total of R$ 1.5 billion in tax credits, of which R$ 500 million will be used to stimulate the exchange for less polluting cars, R$ 700 million for trucks and R$ 300 million for buses and vans.
How will it work?
With the aim of making the reduction in vehicle prices a reality, the government will provide automakers with tax credits that will allow the application of sponsored discounts. These discounts will be directly deducted from the final amount of vehicles, ranging from R$2,000 to R$8,000 for cars, from R$33,600 to R$80,300 for trucks, and from R$38,000 to R$99,400 for buses and vans. The determination of sponsored discounts will take into account criteria such as the energy efficiency of the vehicle, the price of the goods and the proportion of components of national origin. In the case of trucks and buses, the buyer will need to dispose of a licensed vehicle with more than 20 years of manufacture and send it for recycling.
"We are going to remove the vehicles with safety, pollution and technological problems to put another one of the latest generation from the environmental point of view", said the Minister of Finance, Fernando Haddad, when announcing the MP with the vice president and minister of Development, Industry, Commerce and Services, Geraldo Alckmin.
The program will last for four months, being temporary. During the first 15 days after publication of the Provisional Measure (MP), discounted car sales will be reserved exclusively for individuals. However, this period may be extended for up to 60 days, in case of high demand. Only after this period will legal entities be able to acquire cars. The MP, which is already in force, will have to be analyzed by the Plenary Sessions of the Chamber of Deputies and the Senate.
