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Almost Free Gasoline Coexists with an Aging Fleet, Idle Factories, and a Stagnant Automotive Market in a Country That Once Was a Regional Production Hub but Now Depends on Maintenance, Imports, and External Partnerships to Keep Vehicles in Circulation.
Venezuela combines a paradox that is hard to ignore: it has one of the lowest gasoline prices on the planet, but runs with an aging fleet and an automotive industry that operates on the edge.
By the end of December 2025, the price of gasoline per liter was quoted at US$ 0.035, according to Global Petrol Prices.
At this level, refueling 50 liters would cost around US$ 1.75, equivalent to just under R$ 10 at the commercial exchange rate in January 2026.
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Still, the price of fuel does not translate into access to new cars.
The Venezuelan fleet has an average age of 22.5 years, according to a study by Favenpa, an organization that gathers auto parts manufacturers in the country.
In Brazil, the average age of vehicles was 10 years and 10 months, according to a report by Sindipeças-Abipeças.
The result is evident on the streets and in the factories.
Maintaining what is already on the road has become a priority, while the sector operates with significant idleness.
Favenpa itself states that the national auto parts industry works at around 30% of installed capacity, which means that about 70% of the machines are idle.
Cheap Gasoline and Lack of Access to New Cars
The low price at the pump is often cited as a symbol of oil-rich Venezuela.
However, it does not solve the main bottleneck in the automotive market: a lack of income and regular supply of vehicles.
Recent reports indicate that the minimum wage has been fixed at 130 bolívares since 2022.
With the devaluation of the currency, this amount has come to represent less than half a dollar per month at certain times.
In this context, consumption is focused on basic needs.
Exchanging cars ceases to be a planning decision and becomes a privilege restricted to a minimal segment of the population.
With little renewal, demand shifts towards maintenance, adaptation, and repurposing of parts.
Favenpa also warns of a side effect of this scenario.
The older the fleet, the more difficult it becomes to ensure adequate replacement.
This is especially true in a fragmented market, with many different models in circulation and low volume of each.
In a statement reproduced by local media, the president of the entity, Omar Bautista, stated: “It’s incredible to have 200 models in this country with few units.”
According to him, this diversity complicates logistics and increases the cost of replacement.
From Industrial Strength to Shrinking Production
The contrast grows when the recent past is observed.
Vehicle production in Venezuela peaked in 2007, with 172,418 units manufactured, according to international automotive sector data.
Decades earlier, the country had established itself as a regional assembly hub.
The combination of oil revenues and proximity to the United States attracted major automakers.
The culture of large and powerful cars marked generations.
Robust models and strong engines dominated the streets during a time of abundant and inexpensive gasoline.
Over time, however, the industrial environment deteriorated.
Currency restrictions, difficulties in importing components, and economic instability directly impacted production.
As most assembly lines relied on parts from abroad, the supply chain was interrupted.
Auto Parts Gain Prominence in an Aging Market
With vehicle manufacturing nearly paralyzed, the auto parts sector has taken on a central role.
Today, it supplies workshops and owners focused on extending the lifespan of existing vehicles.
Business representatives describe the activity as geared towards basic items and essential repairs.
The high idleness illustrates this movement.
Operating at only 30% of capacity means keeping a large part of the manufacturing base unused.
At the same time, competition with imported products pressures local production.
Imports of auto parts similar to those manufactured in the country totaled US$ 228.5 million in a recent period, predominantly from China.
This flow reduces space for the national industry, even in the face of increased demand for maintenance.
Imports, China, and New Partners on the Radar
With the industry weakened, the market has come to rely on imports and initiatives for assembling kits.
In this model, sets of parts arrive disassembled from abroad and are only assembled locally.
Projects of this type involving Chinese automakers have been announced over the past decade.
More recently, Venezuela has expanded agreements with Iran in the automotive sector.
These initiatives have included announcements of vehicle exports and plans for industrial reactivation.
The government has also expressed interest in partnerships with Russia for local vehicle production.
The idea would be to serve the internal market and seek exports to Caribbean countries.
So far, however, these projects have not reached significant scale.
The most visible data remains the weight of an outdated and poorly renewed fleet.
Meanwhile, Brazil faces a different process, although also marked by gradual aging.
The Brazilian fleet continues to grow but with a constant increase in the average age of vehicles.
The central difference between the two countries is not in the price of gasoline.
It appears in the purchasing power of the population, the productive capacity, and economic predictability.
If fuel costs mere cents, the real cost for the Venezuelan driver lies in keeping a car with over two decades of use in circulation.
What Still Prevents Venezuela from Transforming Cheap Fuel and Industrial History into Real Access to Newer Vehicles?
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