Argentina Drops Retread Import Ban

The Argentinian legislature recently relaxed its ban on imported used and retreaded tyres to allow the importation, under certain conditions, of retreads classified under NCM 4012.11, 4012.12, 4012.13 and 4012.19.

Argentina established a prohibition on the importation of used and retreaded tyres classified under NCM 4012.11, 4012.12, 4012.19 and 4012.20, with the exception of tyres used on airplanes, in August 2002. According to reports, the government of Uruguay subsequently challenged this prohibition with respect to remoulded tyres and a South American Common Market (MERCOSUR) dispute settlement panel determined that Argentina’s action was inconsistent with MERCOSUR requirements.

Specifically, the total amount of remoulded tyre imports authorised by the government from any particular country may not exceed the total amount of used tyres (NCM 4012.20) of the same kind exported by Argentina to that country. In other words, if mainland China were to import 100 used tyres from Argentina it would be entitled to export a maximum of 100 remoulded tyres of that same kind to Argentina.