Key Benefits:
Bs. As., 15/1/96
VISTO Issue No. 060-000009/96 of the Register of the MINISTERY OF ECONOMY AND ARTWS AND PUBLIC SERVICES, Law 21.932, the Nros Decrees. 2677 of 20 December 1991, 683 of 6 May 1994, 1,179 of 15 July 1994, 1,830 of 14 October 1994, 2,278 of 23 December 1994, 523 of 22 September 1995 and 595 of 18 October 1995 and Council Decision No. 29 of 17 December 1994 of the Common Market of the South, and
CONSIDERING:
That the rules mentioned in the VISTO set the conditions for the reordering and regulation of the automotive industry.
That in accordance with the Common Market Council Decision No. 29/94, Member States undertook to make changes to their respective regimes only with the objective of advancing the establishment of a common sector policy.
It is necessary to extend the scope of the provisions of Article 2 of Decree 2.278 of 23 December 1994 in order to give strict compliance with the commitments made under the Common Market of the South (MERCOSUR).
That this measure is intended to carry out the agreements reached within MERCOSUR, and that in no way modifies the guidelines established for the sector.
That the Directorate-General for Legal Affairs of the Ministry of Economic Affairs and PUBLICOS has taken the intervention that belongs to him.
That this Decree is issued in the use of the emerging powers of article 99, paragraph 1, of the NATIONAL CONSTITUTION and of Act No. 21.932.
Therefore,
THE PRESIDENT OF THE ARGENTINA NATION
RIGHT:
Article 1 el Replace the text of Article 4 of Decree No. 2677/91 with the following:"ARTICULO 4o. de Until December 31, 1995, the terminal companies included in this production system will be able to incorporate in the motors that produce imported autopies only up to the ACCENTA (40 %) and CUARENTA Y DOS FOR SCIENTO (42 %) of the value of the vehicles, for the case of Categories A and B respectively".
"From 1996, terminal companies will be able to incorporate into the Category A and B motors that produce a maximum of imported autopies according to the following schedule:
"CATEGORY A:
| "1996 | (40 %) |
| "1997 | _ |
| "1998 | TREINTA AND CINCO FOR SCIENTI (35 %)" |
| "1999 | TREINTA AND TWO FOR SCIENTY WITH CENTESImos (32.50 %) |
"CATEGORY B:
| "1996 | AND TWO FOR SCIENTY (42 %)" |
| "1997 | _ |
| "1998 | TREINTA AND CINCO FOR SCIENTI (35 %)" |
| "1999 | TREINTA AND TWO FOR SCIENTY WITH CENTESImos (32.50 %) |
Sale value of the vehicle to the dealer before taxes
Art. 3o , Amend the text of Article 5 of Decree 2677/91, a text replaced by Article 1 of Decree 523/95 as follows:"ARTICULO 5o. . Until December 31, 1995, the terminals will be able to average the imported content among the vehicles that produce within the same category. From 1996 to 31 December 1999, imported content indexes will govern for each particular model. "
"In the event of the launch of new models, the progressive integration of these models will be permitted over the period of THREE (3) years with a percentage of CINCUENTA BY CIENTO (50 %) on average in that period, having to reach the percentage established in Article 4 of Decree No. 2677/91 at the end of the same period. "
Art. 4o de Since 1996 exports to be computed in the calculation of the trade balance defined in Article 8 of the Decree No. 2677/91 may consist of:(a) Exports of finished or incomplete vehicles, autopies and matrices for automotive production, new without use, which are carried out by the terminal companies, their linked companies or international marketing companies that distribute goods produced by the previous ones, computing DOLARES ESTADOUNIDENSES ONE WITH VEINTE CENTESIMOS (U$S 1,20) for each effective export dollar.
(b) The exports of self-parts of self-partners with approved offset exchange program, new without use, that have yielded them to the terminal, their export credits computing DOLARES STADOUNIDENSES UNO WITH VEINTE CENTESIMOS (U$S 1,20) for each effective export dollar, according to the modality that for this purpose establishes the authority of application.
(c) The amounts of investments in capital goods manufactured in the country, new without use, which are permanently allocated to the production in the country, carried out by the terminals or by auto-party companies that are given them, according to the computation that follows:
| During the year 1996 | One with a CENTER (1.40) |
| During 1997 | One with the two of us. |
| During 1998 | NOVATE AND CENTER (0.95) |
| During 1999 | _ |
(d) Increases in foreign sales by capital-producing companies in 1993. This implies that, the companies mentioned above may yield to the terminal companies of the automotive industry, the right to use such increments as their own export under the conditions established by the Implementation Authority.
(e) The CIEN BY SCIENTO (100%) of acquisitions in matrices or presses to be used in the production of automotives carried out by them or by other autopartists that are yielded according to the modality established by the Implementation Authority.
(f) The increase in the autopie content manufactured in the country compared to the previous year. The Implementation Authority shall regulate the scope and modalities of this operation.
Exports may include elements imported by existing temporary admission mechanisms, in which case the value of temporary import for compensation will not be computed in exports. .
Art. 5o la Replace the definition of subset or national set established in Annex I to Decree No. 2677/91, which reads as follows:""-Subset or national set: It will be considered totally national, when the value of imported self-pies incorporated is maximum that in each period is indicated below:"
| "1996 | (40 %) |
| "1997 | _ |
| "1998 | TREINTA AND CINCO FOR SCIENTI (35 %)" |
| "1999 | TREINTA AND TWO FOR SCIENTY WITH CENTESImos (32.50 %) |
"The measurement of the imported content will be carried out according to the following methodology:"
"S Imported autopies value incorporated into the subset or set x 100Value of sale of the autopie to the terminal before taxes"
"The subset or joint produced locally under a national manufacturing regime authorized by the Implementation Authority shall also be considered as a whole national, which in all cases must foresee to reach the above percentage in a maximum period of THRE (3) years."
Art. 6th ENTO2% The imports of self-equipments (excluding spare parts) carried out by the independent auto-party companies that possess a compensatory exchange program approved by the Implementing Authority, to the extent that they are new goods and that are compensated in the same amount by exports of national self-equipment, new without use, made by them or by other independent auto-party companies that are ceded, will pay a DENTO Art. 7o . Exports and imports for the purposes of Article 6 of this Decree shall be computed at F.O.B. Art. 8o . For the purposes of the compensation set out in Article 6o, the exports of self-pies will not be computed to be transformed or not on the outside, and to return to the country in the form of finished product or parts, to be consumed or not in the productive product. Exports may also include elements imported by the existing temporary admission mechanisms, in which case the values for temporary imports will not be computed in exports. Art. 9th s Please note that additionally, they may be considered as exports for the purposes of Article 6:(a) The amounts of investments in capital goods manufactured in the country, new without use, which are spent permanently on production in the country, carried out by the auto-party companies according to the compute indicated below:
| "1996 | One with a CENTER (1.40) |
| "1997 | One with VEINTE WE CUT (1,20) |
| "1998 | NOVATE AND CENTER (0.95) |
| "1999 | _ |
(b) CIEN BY SCIENTO (100 %) of acquisitions in matrices or presses to be used in the production of autopies.
Art. 10. ). For the purposes of Article 6 or autopie exports will be computed by multiplying their F.O.B. value by the factor UNO WITH VEINTE CENTESIMOS (1,20). Art. 11. The imports of autopies shall be considered as offset by exports, for the purposes of the provisions of Article 6 as long as the latter fall within the usual production range of the requesting company, whether manufactured by them or by their suppliers, and in turn meet the minimum local integration requirements set out in Annex I to Decree 2677/91 as amended by Article 5 of this Decree. Art. 12. . Starting on 1 January 1995 imports of autopies originating from MERCOSUR member countries that make auto-party companies, destined for their production or those of the terminal automotive companies (excluding spare parts), to the extent that they are new goods and that are compensated according to the provisions of Article 6 of this Decree, shall be amended to the extent of the national order, to the extent that they are concerned with the maximum amount of the bilateral order. Art. 13. . The amount of the imports of the independent auto-party companies that adopt the compensatory exchange modality established in Article 6 of this Decree shall not be computed for the calculation of the trade balance of the terminal companies established in the country as provided for in Article 12 of Decree 2677/91, text amended by Article 2 of Decree 1179/94. Art. 14. . Companies interested in joining the compensatory exchange programme set out in Article 6 shall submit their applications for placement in accordance with the requirements established by the Implementation Authority. Art. 15. . Companies interested in applying for national manufacturing and integration programmes in accordance with Article 5 of the present decree should include in their applications industrial investments and developments to be made in the country, ensuring the technical and economic feasibility of achieving progressive integration, as well as the other requirements established by the Implementation Authority. Art. 16. . The beneficiary companies of the programs set out in Article 5 of this decree that do not comply with the content requirement of national parts shall pay a fine equivalent to the CIEN by CIENTO (100%) of the non-compliance recorded at the levels of integration. Art. 17. . Independent auto-party companies that yield their export credits in accordance with Article 4 of this Decree may not use them simultaneously for the purposes of Article 6 of this Decree. Art. 18. . Independent auto-party companies possessing an Industrial Specialization Programme under Decree 2641 of 29 December 1992 and its complementary or clarification standards may not award to that programme any exports that are intended for the benefit of Articles 4 and 6 of this Decree. Art. 19. . Independent auto-party companies should facilitate inspections or verifications ordered by the Implementing Authority and provide it as an affidavit within the time frames that it sets out any information required on any matter related to the rules of the automotive regime. Art. 20. El The present decree will begin to govern from the day after its publication in the Official Gazette. Art. 21. .: Communicate, publish, give to the National Bureau of the Official Registry and archvese. . MENEM. . José A. Caro Figueroa. . Carlos V. Corach.