Financing to buy 0Km cars fell 28% in July and grew in used cars

The financing for purchasing zero-kilometer cars dropped 28% in July while used car financing saw growth. The automotive financing market showed a mixed performance during July, with a notable shift between new and used vehicle segments. According to data released by the Argentine Association of Automobile Dealers (ACARA), there were 33,169 registered operations in July, representing a 16.4% penetration rate over the total number of transactions in the automotive sector. New vehicle financing operations declined by 4.0% compared to June, reversing the sharp increase of 23.5% recorded in the previous month. In contrast, used car financing maintained its upward trend, rising 8.8% monthly after a 21.4% gain in June. This divergence highlights the contrasting dynamics within the market. Imported vehicles continue to dominate, accounting for nearly seven out of every ten registrations. Despite this mid-year adjustment, the annual accumulated figures reflect a consolidated market structure. Seventy-one percent of all pawn loans went toward zero-kilometer vehicles, while the remaining 29% were directed towards used units. In July alone, 22,350 operations were registered for zero-kilometer vehicles, marking a 4.0% decline from June and a 28.0% drop year-on-year. However, ACARA noted that the penetration of financing in the volume of sales of zero-kilometer vehicles remained high, reaching 49.6% of total zero-kilometer registrations. This means almost half of these vehicles are purchased through some form of pawn loan. Regarding the channels through which buyers access credit for zero-kilometer vehicles, the annual cumulative data reveals a clear dominance of financial companies linked directly to automobile dealerships. Financial brands affiliated with dealers emerged as the leading creditors, capturing 44% of the pawn loan market, surpassing traditional savings plans (41%) and relegating banks to just 13%. Among brands, Peugeot led in financing, with 73% of its registrations being financed, followed by Citroën at 71% and Fiat at 69%. Most dealers increased their credit penetration compared to 2025. Notable increases were observed in Nissan (+14 percentage points) and Peugeot (+9 percentage points). Conversely, Chery experienced a contraction of 38%, dropping to 21%. The used car segment recorded 10,819 pawn loan operations in July, marking an 8.8% monthly increase. Although this represents a slowdown compared to the recovery pace seen in June, the penetration of credits relative to total used vehicle transfers continued to rise, increasing from 6.4% in June to 6.9% in July. One of the most striking findings from ACARA's report is the structural transformation in the creditor landscape within the used car market. Traditional banking institutions have lost a prominent role, decreasing from 63% in 2025 to 35% in 2026. This share was entirely absorbed by non-banking channels, which gained competitiveness and territorial presence.