Argentina's car makers, a key pillar of the industrial sector, saw production cool in October from the record levels seen in recent months as demand from neighboring Brazil dropped off.
Vehicle production in October totaled 73,237, down 8.4% on the month, but still up 11.2% on the year, according to the auto makers association, Adefa. Production during the first ten months of the year totaled 700.795, up 21.9% on the year.
The industry is looking forward to a record year for vehicle production and sales. Earlier this year Adefa forecast record 2011 production of 840.000 vehicles which would handily beat the previous high mark set last year of 716,540 vehicles.
However a signal of a slowdown in Brazil which takes over 80% of Argentina's vehicle exports has Argentine car makers nervous.
Argentina's October vehicle exports reached 42.455, down 4.3% on the month. However exports during the first ten months of the year were still up 20.2% on the year.
Auto sales in Brazil in October were down 10% on the month and fell 8.3% on the year, according to auto dealer association Fenabrave.
Through the first 10 months of the year, sales in Brazil were up 5.1% to 2.8 million, in line with estimates for 2011 sales growth of about 5%.