Argentina's March auto output jumps 68% on month, 34% on year

Dow Jones Newswires (Buenos Aires) - Argentina's automotive industry turned up the heat in March as production surged amid rising demand for vehicles of all types.

Vehicle production soared nearly 68% from February and rose nearly 34% from March 2010, the Argentine Automobile Manufacturers Association, or Adefa, reported Tuesday.

A spokesman for Adefa couldn't be reached for comment.

Car makers produced 70,487 cars in March, up sharply from 42,051 in February and 52,669 a year earlier.

Year-on-year car exports reached 38,994 units, up from 32,765 the previous month and 25,091 a year ago.

Almost 83% of Argentina's car exports went to Brazil, while around 6.6% went to Europe and 3.2% to neighboring Uruguay.

Sales to local car dealerships rose 25% to 70,583 units in March from 56,457 the previous month. Sales were up 29% from a year earlier.

"Once again it's evident that exports play a major role in the local automotive industry, which imposes on the entire sector the need to continue improving competitiveness," Adefa President Anibal Borderes said in a statement.