ANNOUNCEMENT 10 Mar 2011In March 2011, the government of Argentina announced a change in the private sector requirements to balance imports and exports.
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La Naci?n Newspaper:
On March 10th, 2011, the Argentinean Ministry of Industry announced that imports of cars and inputs used by local car producers will be limited to the value of local production that they export. According to the Government, the restriction is aimed at reducing the increasing trade deficit in the sector. Imports originating in MERCOSUR and Mexico will be exempted from the restriction.
The measure was made known during a meeting of governmental officers with top representatives of the automotive industry, and will not be laid down in any regulation or written instrument, other than the meeting's press release.
In order to get the necessary import permits, each car producer will have to submit a sworn statement in which it will set forth its exports plans, and get the approval of the Ministry of Industry.
By April 2011, most car producer, including Volkswagen, Mercedes-Benz, Porsche, PSA Peugeot-Citröen and Alfa Romeo had concluded agreements with the Government, in which they committed to reduce their respective trade deficit by balancing exports and imports. Firms that do not have local car production undertook to export goods other than cars or auto parts. Such was the case of Alfa Romeo and Porsche, which pledged to export biofuel and wines, respectively.