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The Brazilian government has no intention to extend a tax break to auto makers again this month after doing so in March, Finance Minister Guido Mantega said Monday.

"The (tax break) ends this month. If you are thinking about buying a car, now is the time because prices are still reduced," he said to journalists after an interview with Globo News in Brasilia, the nation's capital.

Brazilian car sales have been on the upswing since January thanks to a temporary industrial production tax exemption. The move resulted in new car prices around 7.5% lower than normal. The tax break was extended in late March from its April 1 deadline and now will expire on June 30, Mantega said.

Industry leaders like Jackson Schneider of the Brazilian Motor Vehicles Manufacturing Association, or Anfavea, said the sector already expects a steep decline in sales once the tax break expires.

Last week, General Motors do Brasil chief executive, Jaime Ardila, hinted that industry executives would lobby the government in favor of a more gradual tax increase as the country is technically in a recession.

Brazil sold 1.15 million cars from January to May 31, down 0.1% from the year ago period. Car sales have managed to perform better than expected because of the tax break. Last year was a record breaking year for Brazilian car sales, selling close to 3 million vehicles.

-By Kenneth Rapoza, Dow Jones Newswires, 5511-2847-4541, kenneth.rapoza@dowjones.com