The reduction in import tariffs on refrigerators, washing machines, tires, and plastic supplies was announced by presidential spokesperson Manuel Adorni on Twitter this week. The decree, published in the Official Bulletin on Monday, includes reductions in tariffs for herbicides, fertilizers, and foot-and-mouth vaccine.
The reduction in tariffs for refrigerators and washing machines from 35% to 20% aligns them with rates shared by Mercosur member countries. Tires experienced a reduction from 35% to 16%, specifically benefiting truck and bus covers. Plastic inputs saw a drop from 12.6% to 6%, with a focus on polypropylene, polyethylene, and PVC.
The government aims to lower import costs for businesses and ultimately reduce prices for consumers through the reduction of tariffs for herbicides and fertilizers. However, there are concerns about the immediate effects of the tariff reductions raised by local manufacturers. Importers’ willingness to pass on the tax reduction to consumers is a concern raised by local manufacturers who worry that they need to eliminate the Country Tax in order to compete on a level playing field with subsidized imports from China.
