A dramatic decline in car sales is threatening a number of companies? livelihood, according to Enrique Fern?ndez of ACONAVE, the vehicle importers association. The steep decrease in sales ? amounting to 80% less than the equivalent period last year ? is being largely attributed to the 10% tax surcharge on imports imposed by the government this year. The slump is affecting popular family cars at the lower end of the market, with prices under RD$300,000 and bought by middle-income customers. Luxury models and SUVs remain steady, because their client base has not been touched by the current economic crisis. The devaluation of the peso is another main factor. A family car that used to sell for RD$190,000 now costs as much as RD$300,000, according to Fern?ndez, who is quoted in Hoy?s financial section. He concluded that an extension of the 10% surcharge beyond the original 3 months could prove ?catastrophic? for the sector.
Nevertheless, the President yesterday assured Dominicans that they should have greater faith in the future, ?because there is not only light at the end of the tunnel, there is a great light that shines and lights up the brains, minds and hearts many poor people in this country.?