ANNOUNCEMENT 09 Apr 2013

In April 2013, the government of Brazil announced a changed incentive to localise business operations.

NUMBER OF INTERVENTIONS

1

  • 0 harmful
  • 1 neutral
  • 0 liberalising

SOURCE



Ag?ncia Brasileira de Desenvolvimento Industrial. "Plano Brasil Maior: Agendas Estrat?gicas Setoriais." April 2013, pp. 18-19: http://www.brasilmaior.mdic.gov.br/images/data/201304/d874d3cdbd3a7e5d9cf32a28a3b083b0.pdf


Inception date: No inception date

Localisation incentive

On April 9, 2013, the Ministry of Development of Brazil announced, as part of Brazil's Greater Plan (Plano Brasil Maior), 200 measures aimed at increasing the national content of manufactures, among other goals.
 
For the case of auto-parts, the Sectoral Strategic Agenda schedules the following goals:

  • 09/2013: implement certification system on national content
  • 01/2014: third-party auditing and monitoring of national content
  • 10/2014: create policy to increase local aggregate value of auto parts, motorcylce parts, and parts for agricultural and other transport machines
  • 12/2014: create NCM codes, i.e., Mercosur Common Nomenclature codes, for auto parts
  • 10/2014: Quantitative and qualitative analysis of Brazilian imports
  • 01/10/2014: Monitor origin and destination of Brazilian imports according to their NCM codes
  • 31/12/14: Elaborate additional technical regulations
  • 12/2014: Create bonus for certification of SMEs
  • 12/2014: Analyze domestic demand and supply
  • 12/2014: Create development program for suppliers in the regions of Rio Grande do Sul, Paraná, Săo Paulo, Minas Gerais, Rio de Janeiro, Bahia, Goiás, Pernambuco, and Santa Catarina
  • Already implemented: Including tooling costs in the exemption of payroll taxes
  • 12/2014: Create special credit line for fusions, acquisitions, and strategic partnerships
  • 12/2014: Create fiscal clearance program for SMEs
  • 12/2013: Look for alternatives to reduce the costs of steel, plastic, and energy as well as to stimulate competition between national and imported inputs
  • 12/2013: Analyze and recommend improvements to the taxation of the production chain