Venezuela now has car import restrictions
Support your own. This is what the new restrictions on importing cars for Venezuela is all about. The republic under the government of President Hugo Chavez has implemented restrictions on importing cars for the country in support of automobiles that are manufactured in Venezuela.
Only 219, 000 imported automobiles, which include motorbikes, are allowed by the country’s Industry and Commerce Ministry this year. The Venezuelan Automobile Chamber, on the other hand, forecasts a minimum of 50 percent increase in local production of cars while a 20 percent decrease in car sales is expected.
This is a step taken by the government in order to alleviate the industry of assembling vehicles in this South American country. Moreover, the success of such would push for a better economy and more employments for the people of the republic.
“The quota of imports is being reduced so that plants produce more vehicles in Venezuela, generating employment … growth and technology,” said Finance Minister Rafael Isea.
At present, there is only a 50 percent capacity for manufacturing automobiles in the country. The reason behind this is that automobile companies would rather assemble auto parts and vehicles outside Venezuela or just import ready-made ones because it is more affordable.
In 2007, there was an 81 percent increase or 336,000 units bought from foreign brands. Among the car makers that have plants in this country are American companies General Motors and Ford and sole Japanese automaker Toyota. Local car companies, however, still manage to co-exist with these big wigs. It is unfortunate that locally-made brands only equaled to 1.3 percent of the total sales last year.
Source: Chron.
Posted by in 07:19:39
