Argentina automotive market sees falling sales and inventory

The Argentine automotive market is experiencing a simultaneous decline in sales and vehicle inventory. According to data from the Association of Automobile Dealers of the Argentine Republic (Acara), vehicle registrations fell by 19.3% in August compared to the same month in 2025. Despite this drop in demand, the stock of unregistered vehicles decreased by 1% in August to 135,260 units, marking five consecutive months of declining inventory. This suggests that manufacturers and importers are actively adjusting supply by reducing domestic production or moderating imports to match lower demand.

Regarding long-term trends, the Argentine vehicle fleet is expected to remain heavily reliant on internal combustion engines. Projections indicate that by 2031, 95% of vehicles in circulation will still run exclusively on combustion. While the volume of electrified vehicles—including hybrids and pure electric models—is projected to multiply by 11.7 times between 2026 and 2031, the total fleet is expected to grow from 14.7 million to 17.2 million units. This transition is currently concentrated in metropolitan areas, with the City of Buenos Aires accounting for approximately 38% of the nation's plug-in vehicles.