The outlook for the major global economies improved in 1Q23 compared to year-end expectations. However, the continued war in the Ukraine, the inability to provide new stimuli due to high levels of country debts following Covid, limited supplies of energy and other commodities, and tighter access to funding due to inflation have kept activity levels down. In recent weeks. In Brazil, GDP grew by 2.9% in 2022, following from 5.0% of growth in 2021, and a 3.3% drop in 2020. From the perspective of supply, industry and services grew, while agriculture and ranching slowed down. Services were the largest contributor to annual GDP growth, in particular transportation.
E-commerce, which has driven the demand for warehouse segment in the past 3 years, slowed down in 2022, growing only 1.6% and totaling R$ 262.7 billion. However, results for the first quarter of this year suggest that this market remains active in São Paulo. Demand indicators have remained strong since 2022, and construction activity remains intense.Download Sao Paulo Industrial /Logistics Market Report Q1 2023