Argentina welcomes Chinese vehicles

[MilHojas]

Argentina welcomes Chinese vehicles | Northwest Arkansas Democrat-Gazette

ZÁRATE, Argentina -- The vast field of over 5,800 electric and hybrid vehicles gleamed on the cargo deck of the BYD Changzhou, a Chinese container vessel unloading Wednesday at a river port in eastern Argentina.

www.nwaonline.com

 

[carride]

This is the result of the December increase of the quota for EV vehicles free of tariff. Anything costing less than U$D 16000 FOB (free on board). So now is a good time to buy a cheap EV. The full list of brands is linked in the government publication below

The call for entries includes fully electric vehicles (battery-powered only); hybrids (combustion engine and electric motor); mild hybrids (combustion engine and auxiliary electric motor); and plug-in hybrids (combustion engine and plug-in electric motor). A total of 71 models from 32 different brands will be accepted.

Of the 50,000 vehicles allocated, 19,280 will go to manufacturers and 30,720 to importers, who absorbed the units not requested by the automakers. This continues the flow of these vehicles that began in 2025 with the two tenders issued this year, and it is anticipated that 50,000 units from those tenders will have entered the country by next January.

Se asignaron 50 mil autos eléctricos e híbridos para la importación sin arancel para 2026

Ingresarán más de sesenta modelos de autos al país, todos con un valor en origen de hasta 16.000 dólares. Se recibieron solicitudes por más de 160 mil unidades, superando ampliamente lo previsto para este año.

www.argentina.gob.ar

Among the automakers with production facilities in the country, 19,280 units were allocated. In the case of FCA (Stellantis) : 1,900 quotas were made available, allowing the entry of the Fiat 600 and the Leapmotor C10 and B10, two hybrid SUVs of Chinese origin in which the group has a stake.

For Peugeot Citroën Argentina (Stellantis) : 1,700 units were granted for the new C3 and C4 , marking the return of the latter to the local market.

Ford was the biggest beneficiary: it will receive 10,000 quotas to import the Territory hybrid . As for GM : it will have 4,080 units distributed between the E260S (Spark EUV) and F510S models, with further details yet to be announced. Finally, Renault : it secured 1,600 quotas to bring in the Arkana , the C-segment crossover.

The remaining 30,720 units went to importers

Un 2026 eléctrico: el año que cambiará el mapa automotor argentino

La ampliación de los cupos sin aranceles acelera la llegada de marcas y modelos electrificados, con fuerte protagonismo chino, nuevas automotrices y una oferta inédita en volumen y tecnología para el mercado local.

www-ambito-com.translate.goog

 

[Ries]

Its really interesting that a big part of this is Ford, GM, and Stellantis. In most countries, it would be all Chinese, as the recent deal between Canada and China indicates. But the Big 3 all sem to have sup $16,000 evs, which is kind of amazing.

 

[SlowWalker]

Its really interesting that a big part of this is Ford, GM, and Stellantis. In most countries, it would be all Chinese, as the recent deal between Canada and China indicates. But the Big 3 all sem to have sup $16,000 evs, which is kind of amazing.

I would love to know the profit margins on these cars compared with what is sold in the North American markets.
I understand there are savings due to safety features etc. I think those features are necessary in the NA market given the size of vehicles on the road and speeds travelled in North America. But I think since the pandemic, they used the supply chain disruption to bump the price, and then since people were paying, they never brought it back down.

 

[carride]

Its really interesting that a big part of this is Ford, GM, and Stellantis. In most countries, it would be all Chinese, as the recent deal between Canada and China indicates. But the Big 3 all sem to have sup $16,000 evs, which is kind of amazing.

u$d16000 is what they call FOB price. I assume they are talking about the declared product cost that is used for the international standard of shipping a product under FOB rules, which I know nothing about. So that does not mean the price you will see it in the showroom. This quota scheme, unless they extend later, will give Ford and others an opportunity but once that ends China cars like BYD might have a better chance on price once/if tariffs and taxes apply again.

 

[SlowWalker]

Thats still a $16k car.
In North America, add on dealer fees, delivery etc, and what is the magic number?
Additionally, they never have the base models in stock, forcing you to buy higher trim packages.

I thought dealerships didn't even make much on the car also. They made the money on the financing and maintenance.
The manufacturer will make some on the car, but the small cars back in the day didn't have much profit, it was all in the trucks and SUVs. But then the price jumped.

 

[carride]

Thats still a $16k car.

Confusing to me when the article says Ford Territory hybrid is in the list, even when I know that SUV costs at least AR$ 50.000.000,00 cotizacion/territory

 

[Ries]

I dont see how the $16,000 price can apply to Ford Territory, for example, which currently is on Mercado Libre for more like $35,000. I wonder if the first $16,000 is duty free, as long as its electric or hybrid, and then they pay duty on the rest?
The Citroen C4, for example, has a 22,000 euro base price in europe. How do they get that down to 16,000 here?
seems like a bunch of the cars listed are over 16k.

 

[SlowWalker]

Confusing to me when the article says Ford Territory hybrid is in the list, even when I know that SUV costs at least AR$ 50.000.000,00 cotizacion/territory

Interesting. Only in the title did it mention the $16k limit price but not in the body of communication link.
I wonder if it is just transfer pricing between subsidiaries, and because of whatever the tariffs were it worked out better this way?

 

[SlowWalker]

It seems like the tariff to import was 35%. so Instead of paying 35% on all, they will include all the expenses and then just pay tax on the "profit" at 0-20% depending on price (last year they reduced taxes on autos to help reduce the price).