How is the plan prepared by the government to sell more cars?

In the bowels of the government's industrial team, they were preparing a presentation for the announcement that the president

Mauricio Macri

will probably be tomorrow – it will be during this week – focused on promoting the
reach 0 km of car sales thanks to significant discounts on public prices directly at points of sale.

Discounts or bonuses, as they badured
THE NATION Official sources will be important: between $ 50,000 and $ 90,000, depending on the value of the chosen automobile.

The amount that will be used to order the rebates will be $ 750,000, depending on the selling price to the public (including taxes and fees). Up to this value (including the same thing), the final rebate will be $ 50,000 per unit. Of this amount and up to about $ 2 million – the last limit on which the internal tax is paid – the official bonus will be $ 90,000.

Up to $ 750,000, "the efforts" will be shared between the government and the sector, close to 50% and 50%, official sources said in an information item that details the newspaper today.
Ambito Financiero. Meanwhile, beyond this limit, the business sector will contribute more. It will be the president or the minister of production and labor,

Dante Sica

, which offer more details on the public fund that will provide the "subsidy" for tax adjustments required by the

MFIs

.

The discount will be for the purchase of

cars

0 km in cash or funded, but not for savings plans. At present, these projects constitute one of the main problems of the sector after the sharp increases in the price of cars induced by the currency crisis. The 0 kms have many dollar entries and the savings plans are adjusted by price. As they told the government, the rebates would be added to those already granted by the sector.

In the officialistic, they have not confirmed whether there would be further tax improvement so that the terminals can offer their cheaper products to the domestic market or the external market. More than 55% of the price of a car are taxes, depending on the chain of the sector. However, it is highly likely that there is no news on this subject, as the portfolio led by Sica has brought down a decline in repayments for intra-Mercosur exports with the aim of improving the sales competitiveness, mainly in Brazil.

Which products will have discounts? As they have indicated, it will be the automotive terminals themselves that will define the products that will receive bonuses, although we expect that there will be many, even all those produced locally. Only in this way will they have an impact on local production, which already adds suspensions to all factories.

A resolution or decree will not be necessary, but an agreement will be signed between the parties, as was the case with the food industry to create the

Essential products

, or with banks and retailers with
the new Now 12. This measure will be added to these at a time when the elections are approaching and consumption has not yet recovered, despite the fact that some important parities have begun to close over the last few years. last weeks.

The economic team did not dare to decide on the actual impact of such a plan, but it felt that there would be a "considerable increase" in sales. "It's a shock measure," they said. The Association of Automobile Industry Dealers of the Argentine Republic (Acara) announced yesterday that the cumulative sales of the first five months of the year showed a decrease of 51.1% over at the same period of 2018.

"Every effort is worthwhile to do this," they said.
THE NATION in a car terminal. "Today, there is no movement and we have bad numbers, we would also like to have tax incentives, but it's more complicated because we have to go through Congress, we let's give him as much visibility as possible to generate more sales, "they added.

"Although the figures compared to 2018 still do not reflect this trend, signs of reactivation are starting to appear, but we need to reinforce them by stimulating somewhat the demand for which we are working with a multi-stakeholder table," Ricardo said. Salome, President. from Acara, through a statement sent to the press.

"On Friday, we learned that you can now buy motor vehicles with Now 12, which is a concrete step forward to a different scenario in the second half," he concluded.