New Promotional Regime for Importing Motorcycle Parts for Manufacturing
The measure seeks to facilitate the import of vehicle parts to be assembled and manufactured in Argentina, thus integrating the entire local motorcycle-parts chain and strengthening its export profile.
Decree 460/2023, published in the Official Gazette on September 6, 2023, established a 0% tax rate on import duties for local manufacturers manufacturing motorcycles and similar vehicles.
This benefit will be in force as of January 1, 2024, and until December 31, 2028. It will apply to imports of incomplete and disassembled vehicles used in vehicle manufacturing processes with a Minimum Local Added Value. Applicants must prove their identity as manufacturers in Argentina through the World Manufacturer Identifier (WMI).
Applicants’ output must meet an average Minimum Local Added Value of 10% in 2024. This percentage will increase 1% yearly. A Minimum Local Added Value is also established for each model, according to its engine capacity. The Minimum Local Added Value results from weighting the value of national goods with the value of all materials used for manufacturing.
In cases of non-compliance, Customs may claim exempted duties plus interests. The Authority may also suspend the import duties exemption for future imports.
This insight is a brief comment on legal news in Argentina; it does not purport to be an exhaustive analysis or to provide legal advice.