Brazil, once the emerging belle of the economic ball has become in 2012 a nation falling from grace. The latest PMI numbers (see eNews for story at www.nacm.org) show some notable damage through the summer in the manufacturing sector.
One bright spot for Brazil was expected to be its role as host for both the Olympics and the World Cup this decade. There’s still a potentially significant economic bump to be had there, though delays and red tape have pushed back the start of some key projects to date. A big question will be how much the whole “global economy” ethos could cut into the suddenly needed gains on the part domestic outfits there.
“It has been made clear that Brazil will count on private companies and foreign operations far more than in the past, and it has been stated publicly that at least one-third of the work will be privatized,” said, NACM Economics Chris Kuehl, PhD. “As this infrastructure build gets underway, the Brazilian manufacturer will see some opportunity, but so will other companies in other nations.”
- Brian Shappell, CBA, NACM staff writer