IMPLEMENTATION LEVEL

National

AFFECTED FLOW

Inflow

ANNOUNCED AS TEMPORARY

No

NON-TRADE-RELATED RATIONALE

No

ELIGIBLE FIRMS

all

JUMBO

No

TARIFF PEAK

No
← back to the state act
Inception date: 05 Feb 2010 | Removal date: open ended
Still in force

Localisation incentive

 On February 5, 2010, the Argentine Government passed implementing legislation that put into effect the 'Local-Investment Incentives Regime for Motorcycles and Motorcycle Parts Manufacturing', originally established in 2009 by Law 26.457 and Decree 1857/2009.
 
Local producers of motorcycles and certain motorcycle-parts will receive under the regime two types of benefits: (1) reductions of duties levied on imported inputs, ranging from 20 to 60 percent of current import-duty rates; and (2) tax credits on locally-produced inputs purchases.
 
In order to be eligible for the benefits, applicants have to pledge investments for at least US$ 1 Million in real state, facilities, machinery and development of local suppliers. Further, in order to continue to be eligible for the benefit, they have to gradually reduce the foreign content of their output, with a view to reaching a 30% ceiling in foreign content by 2015.

AFFECTED COUNTRIES

MAP
TABLE
EXPORT

AFFECTED SECTORS AND PRODUCTS

499 Other transport equipment & parts
8711 Motorcycles (including mopeds) and cycles fitted with an auxiliary motor, with or without sidecars; sidecars.
871120 With reciprocating internal combustion piston engine of a cylinder capacity exceeding 50 cc but not exceeding 250 cc
871130 With reciprocating internal combustion piston engine of a cylinder capacity exceeding 250 cc but not exceeding 500 cc
871140 With reciprocating internal combustion piston engine of a cylinder capacity exceeding 500 cc but not exceeding 800 cc
871150 With reciprocating internal combustion piston engine of a cylinder capacity exceeding 800 cc
8714 Parts and accessories of vehicles of headings 87.11 to 87.13.
871410 Of motorcycles (including mopeds)
871491 Frames and forks, and parts thereof
871492 Wheel rims and spokes
871493 Hubs, other than coaster braking hubs and hub brakes, and free wheel sprocketwheels
871494 Brakes, including coaster braking hubs and hub brakes, and parts thereof
871495 Saddles
871496 Pedals and crankgear, and parts thereof
871499 Other

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