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There will be no tariffs on car exports between Mexico and Argentina for one year.

There will be no tariffs on car exports between Mexico and Argentina for one year.

Mexico City.- The Mexican and Argentine governments have published the maximum number of tariff-free exports of passenger and passenger cars, as well as ATVs, from March 19, 2025, to March 18, 2026.

The Ministry of Economy explained that Mexico will be able to export automobiles to Argentina for a maximum value of $773,125,000, and vice versa; Argentine producers will be able to send their automobiles and ATVs to the Mexican market for the same amount.

As part of the agreements reached by both countries, agreements that were included in the Eighth Additional Protocol to Appendix I, on Trade in the Automotive Sector between Argentina and Mexico" (Appendix I) of the Economic Complementation Agreement 55, which was signed on March 18, 2025.

Among the agreements is one that will be implemented "on a reciprocal and temporary basis" for a period of one year with zero tariffs on annual import quotas for automotive products.

Vehicles that can be exported under these conditions are included in Chapter 87, which include three-wheeled motorcycles, passenger cars, and other vehicles designed primarily for the transport of passengers.

On the one hand, the Official Gazette of the Federation of May 30 stated that the purpose is "to recognize and incentivize investments by vehicle manufacturing companies in Mexico, the value of their production and exports to Argentina, as well as to ensure the most appropriate distribution of quotas for vehicle exports to that country..."

Industry could return to free trade

Mexico and Argentina agreed to free trade in auto exports by March 19, 2019, according to a protocol linked to the Economic Complementation Agreement (ACE) 55 signed in 2015. This agreement established a system of increasing quotas with the expectation of returning to free trade by March 2019.

However, in 2019, Argentina refused to return to free trade and agreed with Mexico to continue a quota-based system for three more years, with annual increases in import limits—for example, 10% in the first year and a further 5% in the following two.

According to Comtrade, auto exports under Chapter 87 totaled $107,773,000 in 2021.

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