To facilitate inner-city transportation, there are a number of urban buses that make regular stops and charge cheap fares. However, bus stops are usually not well marked and do not have schedules printed, so you must figure out the routes beforehand. Taxis are also available for travel within Punta Arenas for relatively modest prices (about $1 US for a kilometer). Insist on using the meter for short-distance travel to avoid being scammed, but you may want to arrange for a fare on long trips to places outside the city. There are also shared taxis, called collectivos, which have lower fares but only go along set routes. Local travel agencies are not reliable and can sell you fake packages so just avoid them.

There are a few places to rent a car, though this part of Chile is not well developed enough yet for mass-scale tourism, so the prices may be a bit high. Most of the car rental companies are Chilean, though a few international agencies like Budget or Hertz have offices in Punta Arenas as well.

If you are using Punta Arenas as a home base for exploring the Magellanes region, consider using intercity buses to get from Punta Arenas to some of the less urban attractions in the area. Buses leave daily for cities like Ushuaia, Puerto Natales or the Torres del Paine National Park. There is no central bus station; buses depart and arrive at several locations throughout the city.