He Argentine car parts is currently experiencing one of the most critical moments of the last few decades: the combination of a strong influx of pieces China And Brazilthe loss of local suppliers’ participation in vehicle assembly and the lack of government signals to maintain production are pushing the sector into a scenario of accelerated decline. The numbers are overwhelming. Between January and September 2025, the sector’s trade balance marked a value Deficit of $7.4 billionaccording to the Association of Argentine Component Factories (AFAC). Imports increased 8.7%while exports barely increased 1.1%exacerbating a structural imbalance that is getting worse every year.
Córdoba, at the center of the impact
The province, which has a historic network of factories linked to primary and secondary suppliers, is fully feeling the reorganization of the production map. The further development of the system CKD – completely disassembled vehicles assembled in the country with minimal local input – reconfigures the value chain. Models like that Fiat Titano And Ram Dakotaassembled in Córdoba but supplied with kits from China, show a level of integration that local industrialists describe as “frosted”. In addition, there is the decision of Renault to set that up Nissan Frontier in the province a direct blow to dozens of suppliers. The project of the new pickup truck Niagara It won’t bring any relief either: most of its components will come from Brazil, they recognize in the value chain.
Energy: Users from more than 80 countries and gated communities in Córdoba will lose subsidies
A crisis that lowers the blinds
The situation is not abstract: it leads to concrete closures. SKFa historic Swedish factory based in Tortuguitas since 1917, closed its bearing production line and laid off employees 150 workers. In San Luis the American Dana announced the end of its transmission and suspension activities and left the company 50 employees unemployed. The auto parts industry is busy 50,000 peoplebut business owners warn that number could fall quickly.
“The supply is exploited by Chinese imports. And terminals are increasingly moving towards CKD. It is a combination that leads to the local supplier running out of oxygen,” summarized a businessman in the industry.
A government without productive anchors
The industry leaders agree on the diagnosis: there is a lack Industrial policy active. “The only thing there are are measures that facilitate imports, with the idea of lowering prices, but the real effect is the decline in the national share,” said an economist specializing in manufacturing.
Ramón Ramírez on the automotive industry: “Córdoba is in a rather complicated situation today”
Trade with Brazil deepens the divide. Between January and September, the bilateral deficit in auto parts rose to almost 2,000 million US dollarsA 9% more than in 2024. The situation is becoming more critical given the advance of Chinese investments in electromobility on Brazilian territory: Argentina was wiped off the map In addition, it imports electric vehicles without tariffs, with an estimated tax cost of $4 billion in five years. In the words of one consultant: “The problem is not with importing. The problem isn’t exporting.“.
A replacement market that is exploding
When it comes to spare parts, the competition is even more unequal. Imports increased between 50% and 130% in batteries, tires and shock absorbers. Segments like engines, Transfers And electrical parts record the greatest deficits. The Argentine factory structure is losing density: the so-called Systemiststhose able to pull a local chain behind them also opt for imported parts. “There is no integration at any point,” they admit in the industry.