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Brazil and Argentina conclude vehicle approval agreement

Brazil and Argentina concluded the negotiation of an agreement to mutually recognize vehicle safety standards, the ministries of Economy, Infrastructure and Foreign Affairs announced tonight (30). The agreement will be signed in July by authorities from both countries.

Through vehicle approval, the highest traffic authorities attest to the vehicles’ compliance with safety standards and authorize circulation in the country. With the agreement, Brazil will recognize the approval of a vehicle model produced in Argentina, with the neighboring country doing the same with vehicles assembled in Brazil.

The agreement, the statement said, will facilitate vehicle trade between Brazil and Argentina, reducing costs and deadlines. “Mutual recognition of vehicle approvals favors the development of the automotive sector in both countries and the increase in trade flows, in addition to providing more predictability and legal certainty for investments”, highlighted the note.

With the approval, the Brazilian government will recognize the License for Model Configuration issued by the Ministry of Productive Development of Argentina. The neighboring country will recognize the Certificate of Adequacy to the Traffic Legislation, issued by the National Traffic Department, of the Brazilian Ministry of Infrastructure.

At first, the agreement will cover around 80% of the safety items of light passenger and light cargo vehicles (M1 and N1 categories, respectively). The expansion of items and the inclusion of new categories of vehicles, such as buses and trucks, are planned. The two governments intend to extend the agreement to auto parts.

“The agreement meets the interests of the productive sectors of the two countries, which have already highlighted on other occasions the benefits of an even closer approximation between Brazil and Argentina, highlighting the creation of opportunities for gains in competitiveness and the optimization of costs and investment, in a sector that has a significant participation in bilateral trade”, concluded the joint note.

 

Source: Agência Brasil

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07.04.2022

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