year after year. This tax is variable depending on the car's value, number of cylinders, type of transmission, air conditioning and further features, adding up to a payment of up to 10% of the car's total value. A second tax exists as well when purchasing a new vehicle called Impuesto sobre Automóviles Nuevos or ISAN ("Tax on new cars"), also depending on a vehicle's specifications and cost. Unlike the Tenencia, this tax is paid only once. Federal law requires all listed car prices in media or dealerships to have the standard 16% VAT tax and ISAN included in the listed price. Since many Mexican drivers default on paying this tax, the Government started taking countermeasures. However, due to this being perceived as uncontrollable, politicians started making proposals to abolish this tax, remarkably Felipe Calderón. Tenencia has, as of 2011, only been abolished in Querétaro. On 4 March 2011, President Calderón announced Tenencia will be completely abolished by 2012 in all states, but not in the Federal District which comprises most of Mexico City. Rebirth (1994–2006) The growth of Mexico's economy during the late '90s stimulated car sales in Mexico and, eventually, most of the retired carmakers re-established themselves in the country. Makers such as Honda and Porsche arrived for the first time during the last years of the 20th Century, and others such as Peugeot and Mercedes-Benz gave Mexico a "second chance", both re-establishing in 1997. Annual passenger vehicle sales in Mexico reached the one million milestone in 2005. The increasing sales figures encouraged carmakers to offer cars with alternative fuels like the Honda Civic Hybrid and the Volkswagen Jetta TDI. Such cars hadn't been available in Mexico since the first diesel-powered Volkswagen Caribe in the late 70's and early 80's (see paragraphs for each maker: Honda and Volkswagen); still few carmakers have released their diesel-powered versions in the Mexican market due to stricter government emissions laws than those of the European Union Euro IV standard. This results in a petrol only car market in which drivers cannot reap the potential benefits of diesel automobiles. Diesel cars are not suited/permitted for every day driving in Mexico City; brand new diesel vehicles face the "Hoy no Circula" restrictions. Current market (2007–present) Mexican studio Mastretta Cars first announced the creation of their MXT through Automóvil Panamericano magazine in May 2007. The vehicle is the first Mexican sports car ever built, and features