After modification of the luxury tax, market prices are rearranged

After modification of the luxury tax, market prices are rearranged
February 23, 2024 – 15:27

Before the increase in the minimum tax base for the tax on luxury vehicles, the price of used cars exceeded up to 30% at 0 km and the prices were validated due to the lack of stock of the new cars and the delay in the delivery.


He used car market begins to be ordered after the Government doubled the minimum tax base for the tax on luxury vehicleswhich gave greater margin to automakers to accommodate their prices.

With plants stopped and price lists absent, the sector suffered in January the worst sales record in the last 20 years. However, from now on they intend to begin to organize the market and balance it. “It’s going to be a year of reorganization”automotive specialists agree.

After a difficult January and with the modification luxury taxthere was a modification in the list prices with amounts differentiated and more space between versions.

Used cars vs. 0 km: the stock of new vehicles reappeared and the market is reorganized

Thanks to the reappearance of stock availability, The confusion that existed between the prices of used cars and 0 km was reversed, because there is no longer a 30% price difference between new and used. An example of this is the Fiat Cronoswhich this month was listed on $19,100,000, while the used one manufactured in 2022 is located, on average, in the $8,531,000, according to Data from the Automotive Chamber of Commerce (CCA).

The difference that existed between car prices 0 km and usedit was due, according to the secretary of the CCA, Alejandro Lamasbecause it continued “to be a refuge of value in the economy” and that “This type of product has managed to find a price that the market was willing to pay”.

Used cars: what to expect going forward

Although the possibility of the trend being corrected opens a small window of light towards the end of the tunnel, but this does not necessarily imply that sales will accompany. Without going further, In January, 116,135 cars were transferred12.7% below January 2023 and 4.8% less than December of that same year.

The same thing happened with the 0 km: they were patented 33,727 units and with these numbers they recorded a sales drop of 33% compared to January 2023.

Source: Ambito

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