The auto parts entrepreneur and head of the Association of Auto Parts Manufacturers (AFAC), Norberto Tarantohe asked the government to “drive away entrepreneurs the tax backpack“to be able to compete in a free market context.
“Imported auto parts come in with a 5% or 6% tariff, we are used to competing. But importing the tools we need to modernize our factories comes with tariffs of 24% or 25%. What we need is to lighten our tax burden and allow us to compete on equal terms. There you will see what the Argentine industrialist is,” challenged the 75-year-old entrepreneur owner of three engine gasket and gasket factories in San Juan, Cordoba and Buenos Aires.
Taranto was responsible for inaugurating the Automechanika fair, in La Rural, during a lunch that brought together a large number of entrepreneurs and government officials, led by the Secretary of Labor, Giulio Cordero, and the Secretary of Trade and Industry, Pablo Lavigne.
It was Lavigne who took charge of the response to Taranto’s complaint: in a short speech that she admitted she had not prepared (“Norberto convinced me to speak”, she said), the official confirmed the openness of the government of Javier Mileialthough he hinted that some tariff positions such as those that motivated the demand for car spare parts They won’t change overnight.
“We come from a stage glassy, in which they imposed conditions. It’s a closed economy that we come from,” said Lavigne, who underlined that the current government’s proposal “is to open up the economy, to give clear rules of the game.” The official also referred to the exchange rate flexibility that the government has just implemented by the Central Bank (allows SMEs to access official dollars within 30 days to pay for imports, instead of the four terms of up to 120 days). “It’s an extra step,” Lavigne said.
The truth is that the exhibition of auto parts and the presence of these officials (and others from the second and third branches of the trade) attracted a significant number of guests, not only from companies in the sector. Several CEOs of local automotive companies were present, such as Martin Zuppi (owner of Stellantis and ADEFA), Gustavo Salinas (Toyota), Pablo Sibilla (Renault), CEO of Ternium, Martino Berardithe owner of the Corven group, Leandro Iraola (independent partner, but also owner of 33% of the Argentine motorcycle market) and head of INTI, Daniele Afioneamong others.
Fernando Gorbarandirector of Messe Frankfurt, organizer of the exhibition, acted as a guide to Lavigne, who led along the 20,000 covered meters of stands (the exhibition occupies the three main pavilions of La Rural).
“It seems to me that it’s not just a walk in the park, what Fernando is doing is passing the message to Lavigne and the government, let them know there is an industry here“said one of the members of AFAC, the chamber headed by Taranto and which is the one that summoned the exhibitors. The automotive parts chamber brings together around 400 members, of which more than 200 have stands at the fair.
The meeting had begun hours before the inauguration: mid-morning, in a seminar organized by AFAC, KPMG partner Diego Calvetti illustrated the results of a global investigation conducted by the consultancy firm which showed that the sale of electric cars is losing momentum.
“Our latest survey of more than 1,000 executives in 30 countries shows the industry is becoming more sober about the outlook. After committing more than half a trillion dollars to the transition to electric vehicles, the industry is wondering when companies will see a return on profits”. investments,” said Calvetti.
Among auto component manufacturers, the translation came from one of the industry’s leading entrepreneurs: “If this happens in the First World, it means that here in Latin America “We have combustion engines and auto parts to sell to you for many years to come.”
Source: Clarin
