Argentina vehicle exports rise 28% in July despite production drop

Argentina vehicle exports rose sharply in July, offering a bright spot for the country’s automotive industry as production and domestic wholesale sales continued to fall.

Automakers operating in Argentina produced 31,189 vehicles in July, down 15.8% from June and 16% from the same month in 2025, according to data released by the Argentine Association of Automotive Manufacturers, known as ADEFA.

The decline reflected a weaker industrial backdrop, with automakers adjusting production levels to domestic demand and inventory conditions across the dealer network.

From January to July, Argentina produced 235,847 vehicles, 18% fewer than in the same period last year.

Exports support the sector

Unlike production, exports posted a strong performance in July. Automakers shipped 23,377 vehicles abroad during the month, up 4.5% from June and 28.3% higher than in July 2025.

In the first seven months of the year, Argentina vehicle exports totaled 150,270 units, a 1.6% increase from the 147,879 vehicles exported in the same period of 2025.

The figures show that exports remain the main support for Argentina’s automotive industry at a time when local demand is still under pressure.

Wholesale sales to dealers fall

The domestic market remained the weakest part of the sector. In July, automakers delivered 34,178 vehicles to dealer networks, down 22.4% from June and 31.9% from July 2025.

From January to July, wholesale sales totaled 262,307 units, a 24.9% decline from the same period last year.

ADEFA President Rodrigo Pérez Graziano said July’s figures reflected a period of adjustment for the industry.

“Production is adjusting its pace to inventory levels in the chain and to the dynamics of the domestic market. In this scenario, the real engine of the sector continues to be the export channel, which posted year-on-year growth of 28.3% in July and is consolidating itself as the support for activity in the year-to-date figures,” he said.

Pérez Graziano also called for further measures to improve the competitiveness of Argentina’s automotive industry and increase exports.

He said the national government’s reduction of export duties was positive, but argued that provinces and municipalities also need to reduce local tax burdens.

“To gain global scale with our products, we need to deepen the competitiveness agenda. The accumulation of fees and taxes creates an ‘Argentina cost’ that undermines export competitiveness,” he said.

For trade and logistics operators, the July figures show a split picture in Argentina’s automotive sector. Domestic activity remains weak, but stronger exports could help sustain vehicle flows, automotive logistics and cross-border supply chains in the coming months.

Source: TN

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