Mercosur partners Brazil and Argentina have renewed an existing car trade agreement for four more years until 2020, the two governments said late this weekend.
According to Brazilian and Argentinian government news agencies, the deal allows Brazil to export $1.50 in vehicle value for every $1.00 it imports from Argentina.
The two countries could expand the $1.50 vehicle value coefficient to $1.70 if the deal proves to be beneficial for the two nations by July 2019.
“We’re very satisfied for having reached a deal for the next [few] years, which allows us to sustain the conditions for a balanced development, which will boost investment in jobs in our country,” said Argentina’s minister of production, Francisco Cabrera.