The implementation of Non-Automatic Import Licensing in the Argentinian automotive industry. A study on their impacts on the imports and exports of automotive companies during 2011

PÉREZ ARTICA, RODRIGO; PEREZ ALMANSI, BRUNO; PÉREZ IBAÑEZ, JAVIER

Córdoba

Congreso; XXVIII Reunión Anual de la Red Pymes Mercosur; 2023

UNIVERSIDAD NACIONAL DE CÓRDOBA

We aim to analyze the impact of Non-Automatic Import Licenses (NAILs) implemented in late 2011 in Argentina on final vehicle assemblers and auto parts manufacturers operating in the country. The declared goal of that policy was to increase local integration of final vehicles, thus reducing the industry trade deficit. Therefore, we examine whether NAILs reduced imports of targeted auto parts. Additionally, we evaluate how they impacted firm overall imports and export performance. We find that, although imports were not severely affected, exports experienced a noticeable reduction, particularly those by auto parts manufacturers.