Automotive sector is the largest customs taxpayer with contributions of RD$25,880 MM
The executive director of the new business entity Grupo Unido de la Industria Automotriz de la República Dominicana (GUIA-RD), Wendy Capellán, highlighted that the automotive sector ranked first among the 10 productive lines of business with the greatest tax collection impact on the General Directorate of Customs (DGA) in 2021, with contributions amounting to RD$25,880 million pesos, which represented 13.48% of the revenues of that official institution.
Speaking at the presentation of the new business association, Capellán said that the automotive sector as a whole contributed last year to the General Directorate of Internal Taxes (DGII) the sum of RD$18,179.2 million pesos, an amount that is sufficient to cover the executed budget of nine ministries.
In total, the overall direct contribution to the treasury was RD$44,060 million pesos in the year 2021, through both institutions.
The executive director of GUIA-RD cited among these ministries the Ministry of Economy, with a budget of RD$2,970 million; Tourism, with RD$5,989 million; Energy and Mines, with RD$1,363 million; Youth, with RD$661 million; Culture, with RD$2,587 million; Women, with RD$1,090 million; Labor, with RD$2,031 million; Sports and Recreation, with RD$2,833 million; and Public Administration, with RD$1,014 million.
“Aware of the contribution provided in the number of direct and indirect jobs, to the treasury in terms of tax collection, our entity is called to ensure the promotion of a climate of fair competition among all the actors that converge in this branch of economic activity, and that the legislation and provisions that regulate us can be reviewed,” Capellán emphasized.
He added that “due to the importance of this branch in our economy, we will be carrying out studies and preparing periodic statistical reports that explain the behavior of this sector, in order to promote initiatives that contribute to its dynamism, transparency and fairness in the compliance of the obligations of the economic actors involved, as well as to improve and make tax collections more efficient”.
He said that the new entity he directs, GUIA-RD, will promote the regulations to make electric mobility massive, which will facilitate the fulfillment of our commitment to reduce greenhouse gas emissions, aware that the Dominican Republic is a country highly dependent on tourism, and is ranked 11th as one of the nations most vulnerable to climate change, according to the Global Climate Risk Index.
Presentation of the GUIA-RD entity
Officials, businessmen, executives and media from the automotive industry attended the presentation ceremony of the United Group of the Automotive Industry of the Dominican Republic (GUIA-RD), the new association that will promote good practices and knowledge to promote the development of the sector and the welfare of mobility users in the country.
The activity took place at the Gran Salón of the Sheraton Hotel, headed by the directors of GUIA-RD, which groups the main concessionary companies that are exclusive representatives of important vehicle manufacturers in the Dominican Republic.
In addition to its executive director, Wendy Capellán, the event was addressed by the president of GUIA-RD, Aníbal Rodríguez, who explained the mission, vision, objectives and the role of the organization.
Also present were Miguel Barletta, president of Grupo Ámbar; Aníbal Rodríguez, president of Santo Domingo Motors; Fernando Villanueva, president of Grupo Viamar; Avelino Rodríguez, president of Magna Motors and José Gabriel Lama, member of the board of directors of Magna Motors.
Wendy Capellán highlighted that among the companies that are part of GUIA-RD are: Santo Domingo Motors, Grupo Viamar, Magna Motors, Magna Seguros, Eco Motors and Equimax, representing the brands: BMW, Cadillac, Chevrolet, Ford, Forland, Hyundai, Infiniti, JAC, KIA, King Long, Lincoln, Mazda, Mini, Nissan, Shineray, Suzuki, UD Truck, Bajaj, Kawasaki, Yamaha, among others.
He specified that GUIA-RD will seek to study, analyze and manage legislation related to the automotive industry in the Dominican Republic, making proposals as appropriate in order to place the Dominican Republic at the forefront of global technical regulations of the industry, environmental protection and user safety.
In addition, as a non-profit entity, it will coordinate efforts and strengthen ties of cooperation between its members, government agencies and organizations that interact with the automotive sector, and is in the best disposition to support the authorities in the creation of contingency plans to face the challenges that sometimes arise as a result of the interruption of global supply chains.
“GUIA-RD will be making the necessary proposals in order to place the country at the forefront of the global technical regulations of the industry, environmental protection and user safety,” said Capellán.
For his part, the president of GUIA-RD, Aníbal Rodríguez, explained that the vision of this entity is to be the reference and visionary association of the automotive market in the Dominican Republic, with the values of integrity, transparency, honesty, collaboration and commitment.
Regarding its objectives, he indicated that they are also to stimulate creativity, progress and professional training of the personnel working in the automotive industry and in the governmental institutions of the sector.
“We will support the development of institutions dedicated to the training of automotive industry personnel in the country, and we will promote compliance with the strictest standards of ethics, integrity and professional responsibility in all activities and development of the automotive industry in the Dominican Republic,” said Capellán.