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95 AutoData | October 2018 Disclousure/CNH Industrial global groups in the agricultural area and originally from the USA, projects growth for 2018 in South America due to the Brazilian economy resumption. The sales of tractors and grain combines are expected to grow by an average of 5%, and this growth ou- tlook will be maintained in 2019 - perhaps with an even greater recovery than in 2018, according to Miguel Neto. This analysis is shared byAGCO, which has six factories in Brazil for the produc- tion of agricultural machines in the Valtra and Massey Ferguson divisions. According to Alfredo Jobke, marketing director for South America, the company’s outlook for agricultural machinery and implements sales at the end of 2018 is close to the the general industry, growing 5% to 7% over last year. “Regarding 2019, we keep optimistic with the sector’s development, but for now it is still not possible to make estimates.” CONSTRUCTION ON STAND BY If the agricultural sector maintained its grounds during the height of the crisis the same can’t be said about construc- tion and infrastructure sectors, which have experienced a dramatic period, observes Miguel Neto: “We have more than 7 thousand sto- pped works in Brazil, which are expected to be resumed by the next government but probably at a slow pace”. Sales of loaders and backhoes this year were 63.5% higher than last year in the accumulated year until August, but growth takes place on a very low base – therewere 1.2 thousand units. The numbers production is also having a great moment. Commodities in general are having positive prices and there is a purchase movement of lands in Mato Grosso and Rio Grande do Sul, which should expand the cultivated areas.” In 2015, almost 56 thousand machines were produced, a volume that decreased to 54 thousand in 2016 and to 53 thousand in 2017. For domestic sales and exports in Brazil aswell, the projection is to grow7% in 2018, with a gain of 5.4% in shipments in value. According to Christian Gonzalez, direc- tor of CNH Industrial for Latin America, the agricultural base have been very strong for a long time, shielding the segment against political, economic and foreign exchange disturbances: “The elections in Brazil and the sud- den crisis in Argentina generate a series of uncertainties for the 2019 forecasts, but in general, we foresee a slightly positive scenario, although still cautious.” As for Case and NewHolland, divisions of CNH, the expected evolution is 5% to 10% in 2019. For Gonzalez “a better scenario would allow growth of up to 15%, but the political and economic variables suggest a somewhat more conservative scenario”. For Gonzalez, “a better scenario would allow an up to 15% growth, but the politic and macroeconomic variables suggest a little more conservative picture”. About the concerns, Argentina in the lead by far, since its market accounts for approximately 25% of the CNH Industrial’s business in Latin America. As for John Deere, one of the biggest