Mexican Media Brands
Brazil, Argentina Adjust Trade Rules on Cars, Parts
Argentina and Brazil have modified bilateral trade rules governing cars and auto parts shipped between the two countries, Bloomberg News reports.
#economics
Share
Argentina and Brazil have modified bilateral trade rules governing cars and auto parts shipped between the two countries, Bloomberg News reports.
The partners agreed to extend their existing pact for a year. But they altered a trade ratio required to trigger tax exemptions for both countries. Argentina will be required to import only $1.50 worth of automotive goods from Brazil for every $1 it exports to that country. The previous ratio was 1.95:1.
Bloomberg notes that Brazil's cooling economy caused a 39% drop in its May imports of Argentina's locally made Ford, Renault and Volkswagen vehicles.
The countries intend to develop a new five-year pact to take effect in July 2015. The agreement will fix the relative share of each country's total auto imports that may be supplied by the other. Bloomberg says the deal would allow Brazil to account for 44% of Argentina's auto imports as long as Argentina's share of Brazil's auto imports is at least 11%.
RELATED CONTENT
-
Report Forecasts Huge Economic Upside for Self-Driving EVs
Widespread adoption of autonomous electric vehicles could provide $800 billion in annual social and economic benefits in the U.S. by 2050, according to a new report.
-
Fuel Economy Gains in July
What you’re looking at here is a sales-weighted fuel economy chart (the numbers in the white boxes represent miles per gallon) that was put together by two diligent researchers, Michael Sivak and Brandon Schoettle, of the University of Michigan Transportation Research Institute.
-
On Urban Transport, the Jeep Grand Wagoneer, Lamborghini and more
Why electric pods may be the future of urban transport, the amazing Jeep Grand Wagoneer, Lamborghini is a green pioneer, LMC on capacity utilization, an aluminum study gives the nod to. . .aluminum, and why McLaren is working with TUMI.