Little Relief For Local Carmakers

There has been little in the way of good news for Venezuelan carmakers of late and the industry faces a new round of challenges in 2010. The first bad news came in January 2010 when the government announced the devaluation of the bolívar from VEB2.15/US$ to VEB4.30/US$. BMI believes that the policy will add to the existing burden on carmakers by increasing production costs, given that most carmakers rely heavily on imports for their parts supply.

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