The automotive sector reaches record sales from five years ago

The decline in sales is seen in the courtyards full of new and used cars along the Juan Tanca Marengo, Carlos Julio Arosemena and Pedro Menendez Gilbert avenues, in northern Guayaquil. And in the factories of the country where vehicles are assembled a lower production is currently registered. Those involved in the automotive industry point to the same direction: there are less supply and demand for cars. “If five years ago five cars got out from this yard in one week, today we must be content to sell only one,” says the manager of a concessionaire referring to the situation.

This is an anticipated crisis of the current contraction of the gross domestic product that began in 2015 in the country. The automotive sector cannot sell the record figure registered in 2011 when 139 893 light and heavy vehicles were sold. This year, for example, the sale of about 60,000 is expected, a 57% less.

The sale of buses and trucks fell by 54% between January and September this year compared to the same period of 2015. The sale of cars fell, however, by 29%, from 57,058 to 40,345 units in the same periods, according to the Association of Automotive Companies of Ecuador (Aeade).

The causes range from tax burdens, safeguards, restrictions on imports and new safety regulations that have led, among other consequences, the increased cost of cars, those involved in this sector of the economy agree on this.