Venezuela's once-booming auto market is hit by a new auto law that is driving down imports and overall sales.
BY CHRONICLE STAFF
After record sales last year, Venezuela's auto market is seeing a strong decline this year thanks to new government measures aimed at restricting imports.
"The situation in Venezuela is extremely challenging," says Eduardo Mayoral, managing director for Chrysler Latina, which oversees the company's Latin America operations. "The tremendous bureaucracy and new regulations in the automotive industry in Venezuela...have made business very difficult."
Chrysler's sales in Venezuela, its top market in South America, fell by 43 percent in the first four months of the year, he says.
IMPORTS, OVERALL SALES DROP
All in all, 109,031 cars were sold in Venezuela during the first four months this year, according to Venezuela's Automotive Chamber (Cavenez). That represents a 16.7 percent decline from last year. Imports were down 28.8 percent to 62,188.
Even sales of family-type cars that have been benefiting from government tax incentives under the so called Venemovil program...
Keywords: Ford, GM, Toyota