Argentina | Automotive Outlook 2025

Summary

The automotive industry has shown signs of recovery following the recent recession, with announcements of tax and tariff reductions favoring consumers and projecting an increase in vehicle sales in 2025, driven by enhanced income and improved credit access.

Key points

• Key points:
• Following the government's stabilization plan implemented in 2024, the economy has shown faster-than-expected recovery, though improvements differ across sectors.
• The leadership exhibited by the automotive industry in 2022 and 2023 came to a sudden halt in 2024, but has shown rapid improvement.
• In both the new and used vehicle segments, sales in 2024 exceeded those of 2023. The early recovery of real incomes, the resurgence of financing options, and an expanded vehicle offerings contributed to this positive outcome.
• The government's decision to reduce internal taxes and eliminate customs duties on automobiles and motor vehicles was beneficial to consumers and enhanced the competitiveness of the sector.
• It is estimated that sales of vehicles in the domestic market will exceed 500,000 units by 2025, driven by rising real income and a broadening credit sector.

Geographies

Topics

Tags