The owner of a tire shop chain confessed that they were 'stealing with the price of the tires.'

The owner of a tire shop chain confessed that they were 'stealing with the price of the tires.'
Gomería Neumen's CEO, Roberto Méndez
porEditorial Team
Argentina

Roberto Méndez acknowledged the excessive prices that existed before the deregulation promoted by Milei's government

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In the context of the debate about prices in the Argentine market, the CEO of Gomería Neumen, Roberto Méndez, publicly acknowledged that before the deregulation promoted by the government of Javier Milei, tires were sold at excessive prices and with very high margins, favored by a protectionist model.

During an interview on the Ahora Play streaming channel, the businessman was categorical when he referred to the situation prior to the regulatory changes. “They were extremely expensive, one has to acknowledge it. I say that the multinationals were stealing and we, the business owners, were stealing, because we had a market that was not real. We never made as much money as when we were allowed to do what we were doing,” he stated, in a declaration that bluntly exposed the impact of the restrictions on final prices.

His words put the focus on the distorted functioning of the market during the years of greater obstacles to external competition under the Kirchnerist governments.

As he explained, the lack of a free market created conditions that allowed marking up prices far above usual parameters. “I view positively what Sturzenegger says when he says that he is going to force all companies to adapt to a normal profitability, which would be around 20%. At one point we were marking up with 60–70%,” he recounted, drawing a clear distinction between the previous stage and the current scenario.

Javier Milei.
Javier Milei.

Méndez, who asserted that he has worked for 42 years in the tire sector and that his company has 520 employees and 40 points of sale throughout the country, maintained that the new context forces companies to redefine commercial strategies.

The businessman's statements come in the midst of the deregulation policy promoted by the Milei government, which aims to foster competition and eliminate distortions caused by the protectionist model of Kirchnerism, which caused products in Argentina to be paid for at much higher prices than abroad, affecting citizens' purchasing power.

Javier Milei y Federico Sturzenegger.
Javier Milei y Federico Sturzenegger.

In that vein, President Javier Milei reacted publicly to the statements through his X account with a direct message: “DEDICATED TO THE CRIMINALS WHO TURN CHEAP NATIONALISM INTO A FLAG TO STEAL FROM DECENT ARGENTINES”.

Méndez's own words, acknowledging that “they were stealing with the price” in a “market that was not real,” exposed the magnitude of the margins that were handled under the Kirchnerist economic model, while showing the benefits of openness and competition as tools to prevent abuses and reduce prices.


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