Selling U.S. Products & Services

International companies typically market their products through an Argentine agent, representative, or distributor. Working with a distributor has several advantages: distributors can provide strategic support for positioning brands in the market through promotion and advertisement, and they possess an understanding of the local culture and can assist with post-sales service. This value-added service is increasingly important for customers and contributes to a positive image of U.S. firms doing business abroad.

Argentine civil and commercial codes, which govern principal-agent relationships, differ from U.S. law. Consult with an Argentine lawyer prior to negotiating or entering into any type of agreement with an agent, representative, or distributor. A company may be subject to additional costs associated with the cancellation of an agency agreement due to Argentine labor laws. Given the complexity of the legal and commercial environment, contracts are generally negotiated in writing through the exchange of letters or via a basic instrument. The parties may not elect foreign laws to govern the agreement. Argentine courts will not enforce a contract executed abroad to avoid Argentine law.

U.S. companies should take time in selecting their Argentine agent, representative, or distributor. Time spent on qualifying a potential partner will save countless hours required to terminate an unsuccessful relationship. Business relationships and a good reputation are essential to an agent, representative, and/or distributor’s ability to reach potential customers of your product or service. Likewise, it is important for U.S. exporters to develop a close relationship with an agent, representative, distributor, or other business partner. The U.S. Commercial Service assists exporters in finding and evaluating partners in Argentina.

Contact the nearest U.S. Export Assistance Center, where Trade Specialists can provide you with guidance on entering the Argentine or other international markets. Please visit the U.S. Government Export Portal.

Distribution and Sales Channels

Sales channel selection should be based on the nature of the product and the company’s knowledge of the Argentine market. Generally, firms new to this market find it more effective to sell through a distributor. Large firms generally buy directly from overseas suppliers, while smaller firms prefer to buy through intermediaries. Industrial equipment is sold by sales agents or through trade fairs, while consumer goods are increasingly sold through large outlets such as supermarkets and hypermarkets.

Warehouse and distribution

Distribution in Argentina tends to be radial, with most routes converging in the Port of Buenos Aires. The hub-oriented distribution system used in the United States does not exist in Argentina.

Land Transportation

Argentina stretches 4,000 km (2,500 mi.) from north to south, an expanse of land crossed by only a few major highways. Argentina’s 208,350 km (129,462 mi.) road network carries 85 percent of domestic freight traffic. Argentina has over 35,000 km (21,000 mi.) of railroads, but quality and speed vary widely. In general, the rail network requires significant investment to bring it up to international standards of speed and reliability.

River and Maritime Transportation

Almost 75 percent of Argentina’s foreign trade is carried by ship, and about 80 percent of the import and export transactions are carried out through the ports of Buenos Aires and La Plata. The Parana and Uruguay rivers are well-dredged and maintained. These rivers link the Port of Buenos Aires to internal Argentine ports, as well as to Paraguay, Uruguay, and Brazil, with the system referred to as the “Hidrovía.”

Air Cargo

Terminal de Cargas Argentina (TCA) was created as a concessionary partnership established by the Government of Argentina for the operation of airfreight terminals at international airports. TCA is the logistics division of Aeropuertos Argentina 2000, Argentina’s dominant airport concessionaire, and provides full logistics and storage services to all foreign cargo agents. TCA’s primary business is bonded warehouse management at major Argentine international airports, where the company stores imported and exported cargo while their consignees perform relevant formalities with the Customs Administration or Dirección General de Aduanas (DGA). TCA’s headquarters are located at Ezeiza Airport, Argentina’s main international airport just outside the city of Buenos Aires. The company also has branches in Córdoba, Mendoza, Mar del Plata, and Jorge Newbery Airport (in the city of Buenos Aires).

Retail Network

There are two types of traditional sales channels in Argentina. One is through large-scale retailers with a defined, but limited, share of the market. The other is through the many specialized retailers that seek to protect their niches. The food retail market is loosely separated into three categories: traditional “mom and pop” stores scattered throughout local neighborhoods, self-service mini-markets and drugstores, and the supermarkets and hypermarkets. Consumers generally prefer hypermarkets and supermarkets for lower prices on weekly and monthly purchases.

Establishing an Office

Foreign companies may carry out any single transaction. To carry on a routine activity, however, a foreign company must establish a branch (sucursal) in Argentina. An individual must be appointed as the company’s legal representative, although assignment of capital to the branch is not necessary. Foreign investors may do business in Argentina as individuals or through corporations, branches of foreign corporations, limited liability companies, limited partnerships, general partnerships, and joint ventures. Foreign corporations often operate in Argentina through a separately incorporated subsidiary rather than through a branch, primarily to reduce their potential liability. If a branch is used, all of the foreign corporation’s assets, not only its Argentine assets, may be subject to potential liability. In contrast, if an Argentine or foreign subsidiary is used, the foreign corporation’s liability will generally be limited to the assets owned by that subsidiary. Corporate directors, however, may be held liable for unpaid tax obligations.

Corporations are set up with the approval of at least two legal or naturalized persons, whether Argentine or foreign. The corporation may not be a partner in a partnership. A corporation can usually be established in three to four weeks if capital is supplied only in cash. If supplied in kind, the corporation can be established in about two months. A minimum of two founders is required with no maximum limit. Company founders must report a domicile in Argentina. A minimum of two shareholders is required. No maximum is prescribed. Should a foreign company wish to act as shareholder of a local company, the company must be “qualified.” The cost of qualification proceedings is similar to the incorporation cost. U.S. firms considering establishing operations in Argentina should fully investigate the tax and legal aspects of establishing a business with Argentine legal counsel before making any final decisions.

For the latest Investment Climate Statement (ICS) which includes information on investment and business environments in foreign economies pertinent to establishing and operating an office and to hiring employees, visit the U.S. Department of State’s Investment Climate Statements website.

Franchising

The local franchising industry has evolved into a challenging and highly competitive environment for international franchisors seeking local partners. The pre-pandemic market size in 2019 was approximately $6.6 billion, with an annual growth rate of approximately 10 percent. There was no growth from 2020 to 2021 during the COVID-19 pandemic. There are approximately 400 franchise brands in the market, 90 percent of which are of Argentine origin and approximately 10 percent of which are international brands. The low level of foreign penetration in the sector is partially due to strict regulations for transfer of funds. The Civil and Commercial Code of the Nation (CCCN) came into force in 2015 and established a legal framework for franchising agreements. The CCCN covers franchise agreements in Chapter 19, Articles 1,512 through 1,524.

The most popular sectors for international franchisors are fast food, foreign language training, dry cleaning, hotels, and rental car services. Starbucks entered the Argentine market in 2008, opening 136 stores since its arrival. Other significant U.S. market players include Kodak Express, McDonald’s, Burger King, Wendy’s, Cartridge World, Kentucky Fried Chicken, and Subway. Real estate franchises have also entered the market, including Re-Max, Keller-Williams, Coldwell Banker, and Century 21.

Local franchises have been particularly successful in apparel, food, ice cream, “empanada” delicacies, fitness and health clubs, and education. Apparel franchising, however, has suffered in recent years due to import restrictions.  Coffee shops and stores include local brands such as Havanna and Bonafide competing with Starbucks. Franchise contracts are generally protected under the CCCN, which is still rather vague. The scope of service, commercial trade name, market expertise, and shared production elements are covered by contractual obligations of both the franchisor and the franchisee. Elements of the contract include the license, methods and systems of operation, proprietary information transferred to a franchisee, inputs supply, sales methods, and quality standards. The franchisor has ultimate control of the contract elements.

Franchising models have been successfully used in Argentina but the obligations of the franchisor must be clearly established in the contract to avoid potential liabilities related to the operator such as defaulting, declaring bankruptcy, etc. The CCCN gives a legal framework for franchising agreements, although enforcement of these laws is still in the beginning stages. Therefore, legal counsel should be sought prior to entering the Argentine marketplace and appointing a franchisee.

Express Delivery

The “courier” regime is available in Argentina, allowing both individuals and companies to import goods for commercial and personal use. Logistics services under this regime are provided by international courier companies, such as FedEx, UPS, and DHL.

In January 2025, the Argentine Customs Collection and Control Agency (ARCA) introduced a new measure designed to facilitate international trade operations via courier delivery services and reduce the costs associated with direct import and export logistics activities. According to General Resolution 5631/2025, the following provisions apply:

• The maximum FOB value for imported goods is set at $3,000 (previously $1,000),
• Importers are allowed to bring in up to three units of the same product per shipment.
• A restriction of five shipments per individual per year is in place.
• The maximum weight per package is 50 kgs.

Additionally, in December 2024, ARCA introduced a new policy granting importers a VAT exemption. According to this policy, only 21 percent VAT will be charged on the first $400 of the shipment’s value, while VAT plus other import duties will apply to the remaining value of the shipment. International courier delivery services are very active and have significant operations in Argentina. Shipping times to Argentina will depend on the type of courier service used. Expedited shipping can arrive within two to five working days, whereas some economy services may take three weeks or more. It also depends on what part of Argentina you are shipping to, as packages going to a city will arrive more quickly than those going to a rural area.

The Argentine postal code system, known as CPA, is used to specify delivery addresses. It consists of a letter representing the province, followed by four digits denoting the town or city, and three additional letters indicating the section of the city where the address is located.

Door-to-Door Regime

ARCA offers a web-based, door-to-door system that allows individuals to purchase products from abroad and have them delivered to any designated address via Correo Argentino, the national postal system.  The CIF value of the imported goods cannot be higher than $3,000, the weight limit must be up to 20 kg. per package, and the goods must be for personal use only.

Customers must register online through the Correo Argentino web portal and will receive email notifications upon the arrival of their packages. They are required to declare the content of the shipment and pay any applicable mail handling fees and customs duties via the same portal. For further details and instructions, please refer to ARCA’s website.

Joint Ventures/Licensing

Argentine legislation permits the establishment of temporary associations, equivalent to joint ventures, known as UT (unión transitoria). This is an association of two or more individuals or companies that contribute assets to develop or perform a particular transaction in Argentina or outside the country using Argentina as its base of operations. UTs are not considered companies or legal entities in their own right. Participants may be resident businesspeople, locally constituted entities, or non-resident companies that have established a separate branch or other type of Argentine presence.

A contract must be signed and registered with the Public Commercial Registry at the Office of the Inspector General of Justice (Inspección General de Justicia) in the City of Buenos Aires, or in the provincial office of the Inspector General of Justice. The contract must contain the objective, duration, name, and specific information regarding the partners’ responsibilities and financial contribution, among other clauses.  It must also provide for the appointment of a legal representative in charge of management.

Due Diligence

Companies interested in Argentina should always conduct due diligence before entering into business ventures or other commercial arrangements. The U.S. Commercial Service in Argentina provides U.S. firms with information that can assist them in vetting a specific Argentine company to help determine its suitability as a potential business partner. We can investigate the capabilities, legitimacy, and financial strength of an Argentine company and provide useful information gleaned from government, industry and financial contacts, local press, and other sources. In addition, through its International Company Profile (ICP) service, the U.S. Commercial Service in Argentina will provide a background report based on site visits and interviews with key personnel of Argentine firms with whom U.S. firms wish to begin or maintain a business relationship. Our assistance provides valuable information in your company’s due diligence process to help assist you in finding a legitimate partner.