International Market

Car exports expected to go from 17,500 to 50,000 per year

Brazil plans to treble its car exports to Colombia over the next three years. Sales, which are currently at 17,500 units per year, are expected to reach 50,000.

The information on the agreement reached between the two countries comes from the Ministry of Industry, Foreign Trade and Services, and was disclosed this Tuesday (11 April). Minister Marcos Pereira, who heads the portfolio, finalised the negotiations for the agreement with Colombia in Buenos Aires last week.

The minister was in Argentina for the World Economic Forum Latin America 2017. Pereira met with authorities from several countries, including the Minister of Commerce, Industry and Tourism of Colombia, Maria Claudia Lacouture. During that meeting, they finalised negotiations to increase car sales to Colombia.

“It is an important measure of great interest for automakers in Brazil, but above all a step further in the direction of regional integration, with several trade opportunities between our countries. It is a big win for both," said the minister.

Car sale quotas

The agreement with Colombia establishes quotas so that the two countries to export automobiles, vans and light commercial vehicles to each other duty-free - so far, exports were subject to payment of a 16% import duty.

The agreement establishes that Colombia can export the same amounts to Brazil without collecting taxes. The expectation is that Colombians should start selling cars in Brazil in about a year and a half.