Caputo announced a tax cut for the auto industry

The Minister of Economy, Luis Caputo, announced on Friday a reduction in tariffs and taxes for the automotive industry, in order to improve the competitiveness of the sector. In order to improve competitiveness and boost the growth of the automotive sector, we will launch a reduction in tariffs and taxes that will benefit this sector, which currently has 10% of total industrial production and generates more than 75,000 jobs,” said the head of the Ministry of Finance on his account on the social network X. Caputo also reported that the export duty exemption for incremental foreign sales – which had been in force since 2021 – will be maintained and the Stock Replenishment Regime (Repostock) will be systematized and digitized. “These measures will allow suppliers to sell parts to the terminals with a reduction in tariffs and taxes and generate a drop in the cost of domestic auto parts destined for export,” the official said. According to the Ministry of Economy, tariffs on metal molds used by the automotive industry will go from 35% to 12.6%, while plastic injection molds will go from 24% to 12.6%. Starting in June, the Model Configuration Licenses (LCM) tests will also be homologated with Brazil so that it is not necessary to duplicate those tests that are already recognized by the neighboring country and vice versa, according to official information. According to the latest data released by the Association of Automotive Factories (Adefa), vehicle production in the country was 43,159 units, 15.1% more than in February and 29.4% less than in the same month last year.

Original source in Spanish