Argentina Country Commercial Guide
Learn about the market conditions, opportunities, regulations, and business conditions in argentina, prepared by at U.S. Embassies worldwide by Commerce Department, State Department and other U.S. agencies’ professionals
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Trade Barriers
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When doing business in Argentina, U.S. companies may encounter key trade barriers that could affect their ability to operate in the market. These barriers include:

High Inflation and Currency Instability: Argentina has experienced a volatile economic environment for over two decades, characterized by persistent inflation and currency instability. These factors complicate the forecasting of costs and revenues, posing significant risks for businesses unfamiliar with markets subject to such volatility. Without adequate risk mitigation strategies, companies may face challenges in maintaining financial stability.

High Tax Burden: Argentina’s complex tax and import systems include elevated tariffs on specific categories of goods, which can substantially increase the cost of doing business. These high tariffs, which can be up to 35 percent, coupled with a challenging regulatory environment, can affect the competitiveness of foreign companies, especially when compared to domestic entities that may benefit from more favorable treatment or local support.

Labor Market Rigidity: The Argentine labor market is heavily regulated, with influential labor unions playing a key role in shaping wages, benefits, and working conditions. While these regulations protect workers, they can also result in higher operational costs and limited flexibility for employers. This can present challenges for companies attempting to adapt quickly to changing market conditions or business needs.

Corruption and Transparency Issues: Businesses may face irregular practices, corruption, and a lack of transparency. These issues, apart from creating an unpredictable business environment, could add both financial and reputational risks for companies operating in the country. In the latest Transparency International Corruption Perceptions Index (CPI), Argentina ranked 99 out of 180 countries in 2024.

Weak Intellectual Property Rights Protections: Argentina’s enforcement of intellectual property rights is inconsistent, which may discourage foreign direct investment, as companies may lose confidence in the legal framework. In 2024, Argentina ranked 76th out of 133 countries evaluated in the World Intellectual Property Organization’s Global Innovation Index (GII), falling three places in the ranking compared to 2023