Argentina and Brazil outline agreement to invest in motor industry

Argentina and Brazil agreed to put a new commercial scheme into practice in two years time for the motor industry. Investment is to be made, following the decision approved by chancellors who make up the Common Market Council of the Mercosur.

Both governments then proposed to create a "Work Group to work on for the possible consideration of the Common Market Group, in its first meeting of the second quarter of 2012, an idea put forward by Common Motoring Law, with their sights on it coming into place from 1st January 2013".

Abiding by current legislation, Mercosur should expect total freedom of the motor exchange between the countries, but the differences between the two highest members has complicated the situation. This year, Argentina will achieve a new car production record, and motor companies in the industry estimate that 2011 will be even better for the sector.