Argentina Allow Hyundai and Kia Imports for Peanuts � Literally�

Argentina�s exports for imports saga continues, with South Korean carmaker Hyundai agreeing to export peanuts, wine, biodiesel and soy flour to offset the US$91 million (�64 million) it added to Argentina�s growing trade deficit in 2010. Partner company / subsidiary Kia has agreed export white goods and plastics for their contribution.
The South American nation�s US$6 billion (�4.19 billion) trade deficit has already led to one Porsche distributor agreeing to export wine and olive products, while similar deals have been struck with carmakers Chery, GM, Peugeot-Citroen, Alfa Romeo, Mercedes-Benz, Volkswagen, Fiat and Ford.
Soaring consumer demand for foreign goods, which is up some 38% year-to-date for the January to April period, has resulted in these highly protectionist policies with the Argentine government flat out refusing imports from parties that don�t agree. An undisclosed source in the motor industry told the Financial Times:
�In December, they told us and all the other car importers to reduce imports by 20 per cent compared with 2010. [When they want to enforce things] they simply give a call to customs and say, from now on, don�t let any vehicles come in.�
Hyundai is expected to earn a surplus of US$55 million (�38 million) in 2012, thanks to the US$157 million (�110 million) deal it�s made with Argentina�s federal government in Buenos Aires.
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