Toyota Hilux prices frozen in Argentina as sales slow

The Toyota Hilux continues its dominance in the Argentine automotive market, securing its position as the country's top-selling vehicle. In May, it registered 2,309 units, and its year-to-date sales from January to May reached 12,500 units, according to the Association of Automotive Dealerships of the Argentine Republic (Acara).

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The automotive market continued in May with a clear year-on-year slowdown, demand remains cautious and very selective at the time of completing operations.

However, this sales volume represents a 16.2% decline compared to the first five months of the previous year, when 14,919 units were sold. This slowdown reflects a broader trend in the automotive sector, which has experienced a deceleration compared to initial expectations for the year.

In a move to support sales amidst this market contraction, Toyota has kept the prices for the Hilux unchanged for June. This marks the second consecutive month without price increases, a strategy implemented in a market characterized by cautious demand and increased competition. The overall market saw a 12.2% drop in sales from April to May, and a 25.6% decrease compared to May of the previous year.

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It has changed the composition of the market with the arrival of new brands and models that today attract the attention of the public and have generated a very wide and competitive offer.

Sebastián Beato, president of Acara, noted the market's continued year-on-year slowdown, with demand remaining cautious. He highlighted the impact of new brands and models entering the market, creating a highly competitive landscape. Beato also emphasized the ongoing challenges of high taxation, which accounts for over 50% of a vehicle's cost, and the need for lower financing and banking rates to stimulate sales.

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Other key issues, on which we will continue to work, are the tax burden, which remains more than 50% of the cost of a vehicle, financing rates, which we need to continue to fall, and banking costs, which greatly affect operations.