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Tough choices needed now to revive Brazil’s auto industry

Brazil’s automotive industry could return to prominence in the long-term, but the years ahead could prove extremely painful. By Maximilian Coqui, Brad Hunter, Stephen Tapley and Carlos Thome of AlixPartners

With the removal of President Dilma Rousseff, Brazil is looking to the future, and hoping for governmental and macro-economic changes that will reinvigorate the country. Perhaps no sector is more excited about these changes than automotive, which has been hit particularly hard by the downturn. The industry has seen year-over-year drops in new vehicle registrations of 25% in 2015 and another 25% from January to July 2016.

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