On Thursday afternoon, the United States and the Argentine government unveiled the framework of their trade agreement. The joint statement indicates that both nations will “open their markets to each other on key products.” The document, entitled “Framework for a United States-Argentina agreement on reciprocal trade and investment,” enumerated the 11 critical sectors that will be influenced by the agreement. Included in this list are tariffs, intellectual property, agricultural market access, labor considerations, and alignment on economic security, among other factors, and each category delineated the requisite conditions, with the majority of concessions resting on the responsibilities of Buenos Aires. The following are some of the requirements.
Tariffs Argentina is anticipated to “provide preferential market access for U.S. goods exports, including certain medicines, chemicals, machinery, information technologies products, medical devices, motor vehicles, and a wide range of agricultural products.” The nation should also eliminate the necessity of consular formalities for U.S. exports and gradually abolish the statistical tax on U.S. goods. In contrast, the United States has a singular stipulation: to eliminate the reciprocal tariffs on specific unavailable natural resources and non-patented items intended for pharmaceutical applications. Removal of non-tariff barriers The document indicates that both countries have pledged to “improved, reciprocal, bilateral market access conditions for trade in beef.” The statements appear to be at odds with U.S. Agriculture Secretary Brooke Rollins, who recently remarked that any purchases would “not be much” because of a “foot and mouth disease issue” purportedly impacting Argentine beef.
Argentina has opened its market to U.S. live cattle and will permit market access for U.S. poultry within one year. Furthermore, there will be no restrictions on market access for products that utilize specific cheese and meat terminology. According to the statement, Argentina will “simplify product registration processes for U.S. beef, beef products, beef offal, and pork products, and will not apply facility registration for imports of U.S. dairy products.” Labor Buenos Aires has also pledged to prohibit the importation of goods “produced by forced or compulsory labor,” potentially serving as a mechanism to restrict specific imports from China. Additional critical components Argentina will tackle “potential distortionary actions” of state-owned enterprises and “industrial subsidies that may have an impact on the bilateral trading relationship,” as stated in the announcement.
In terms of intellectual property, Argentina is set to enhance enforcement measures against “counterfeit and pirated goods, including in the online environment.” Both countries will “cooperate to facilitate investment and trade in critical minerals” and will work toward stabilizing the global soybean trade. For several months, U.S. President Donald Trump and his Argentine counterpart and ally, Javier Milei, have been discussing the potential for a trade agreement. Any deal entered into by Argentina must be approved by Congress, and the statement recognizes the necessity for endorsement, indicating that both administrations will “work expeditiously” to fulfill the “domestic formalities” essential for the agreement to take effect.