German automaker Mercedes Benz said this week that it would wind down car production in Brazil, shutting down its small factory dedicated to producing luxury vehicles in the city of Iraccemapolis, costing some 370 jobs.
The registry of new cars in Argentina soared 13.5% last year establishing a record of 955.203 vehicles, compared to 2012, and also above the 860.000 units of 2011, which was the standing record, according to the Argentine association of automobile dealers, ACARA.
Luxury car company Rolls-Royce is to enter the South American market for the first time. The company, which makes cars at Goodwood in West Sussex, hopes to open dealerships in Brazil and Chile in March.
German automaker BMW said this week it would probably build its first assembly plant in Brazil after strong demand for luxury cars generated stellar earnings for the global leader.
Argentine Minister for Industry, Debora Giorgi will meet in coming hours with Brazilian Ambassador, Enio Cordeiro, to schedule a series of meetings to address trade disputes between the two neighbouring countries and main Mercosur associates.
Argentina has stopped the import of high-class luxury cars and redoubled efforts to convince companies with no assembly plants in Mercosur to reduce imports and reach export agreements with Argentine auto parts industry.