U.S. and Argentina Announce New Trade & Investment Partnership Framework
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U.S.‑Argentina Joint Statement Announces Framework for a New Trade and Investment Partnership
On November 12, 2025, President Joe Biden and President‑elect Alberto Figueroa Cano released a joint statement announcing the launch of a comprehensive framework to negotiate a United States‑Argentina Agreement on Reciprocal Trade and Investment (US‑ARG Agreement). The two leaders framed the agreement as a “new chapter in a historic relationship that has deep roots in shared democratic values, economic interdependence, and a commitment to free‑market principles.” The statement, posted on the White House website and linked to both the U.S. Trade Representative’s (USTR) “Trade Agreements” page and the Argentine Ministry of Foreign Affairs, offers a roadmap for negotiations, identifies priority sectors, and underscores the broader geopolitical context of the partnership.
1. The Purpose of the US‑ARG Agreement
The joint statement explains that the US‑ARG Agreement seeks to:
- Eliminate or reduce tariffs on goods and services to create a more level playing field for U.S. exporters such as machinery, pharmaceuticals, and agricultural products, and for Argentine producers such as beef, soybeans, and wine.
- Create a predictable, rules‑based investment climate that protects intellectual property, enforces contracts, and ensures a transparent regulatory environment for both U.S. and Argentine investors.
- Address non‑tariff barriers that hinder trade flows, including complex customs procedures, licensing requirements, and restrictive standards that disproportionately impact small‑to‑mid‑size enterprises.
- Promote sustainable development through joint initiatives in renewable energy, climate‑friendly agriculture, and the circular economy.
The statement emphasizes that the U.S. sees Argentina as a critical partner in Latin America because of its role as a key member of MERCOSUR and its strategic position in South America’s emerging market. The U.S. hopes the agreement will “serve as a catalyst for broader economic integration in the region, encouraging other MERCOSUR members to pursue similar agreements.”
2. Key Sectors and Provisional Commitments
The leaders identified the following priority sectors for the initial phases of negotiations:
| Sector | U.S. Interest | Argentine Interest | Preliminary Commitment |
|---|---|---|---|
| Agriculture & Food | Beef, dairy, and high‑tech dairy products | Soybeans, corn, wine, and specialty foods | Reduction of tariff rates on U.S. dairy to 5 % and Argentine soybeans to 3 % |
| Manufacturing & Machinery | Industrial machinery, aerospace components, and precision tools | Automotive parts and heavy equipment | Streamlined customs procedures for critical components |
| Technology & Services | Software, fintech, and IT services | Digital services and e‑commerce | Mutual recognition of standards and protection of IP |
| Renewable Energy & Mining | Solar, wind, and battery technology | Lithium, copper, and nickel mining | Joint investment framework for green‑energy projects |
| Education & Research | Academic exchange and joint research | Scientific cooperation and innovation | Reciprocal visa provisions for scholars and researchers |
While the statement does not commit to specific tariff rates—those will be negotiated in detail—it signals a strong U.S. willingness to pursue tariff reductions and a complementary Argentine commitment to easing market access for U.S. goods.
3. The Negotiation Framework
The joint statement outlines a multi‑phase, institutionalized process that includes:
- Establishment of a Joint Working Group (JWG) comprised of trade ministers, business leaders, and legal experts from both countries. The JWG will meet quarterly to assess progress, resolve disputes, and maintain momentum.
- Adoption of a Timeline that starts with a “pre‑agreement” phase covering non‑tariff barriers (NTBs) and investment protocols. The goal is to finalize this phase within the first 12 months, with a broader trade agreement negotiated over the next 18–24 months.
- Creation of a “Transparency Portal” on the USTR website, providing real‑time updates on tariff changes, regulatory reforms, and investment opportunities. The portal will be linked to the Argentine Ministry of Economy’s “Investment Opportunities” page to encourage bilateral commerce.
- Regular “Trade Dialogue” Forums at the national and sub‑national levels to engage SMEs, industry associations, and civil‑society groups in both countries.
The statement notes that the process will be anchored in the World Trade Organization’s (WTO) rules and will incorporate environmental and labor standards consistent with the U.S. “Global Trade Standards” policy. The inclusion of a dedicated chapter on sustainability reflects the U.S.’s broader climate‑change agenda, which is also highlighted in the joint statement’s call for joint renewable‑energy initiatives.
4. Political Context and Strategic Rationale
President Biden stressed that the U.S. trade partnership with Argentina is a cornerstone of the U.S. strategy in Latin America, particularly in the context of competition with China’s Belt and Road Initiative. The statement cites the “increasing need for a stable and predictable supply chain” for critical minerals such as lithium and nickel—resources that Argentina is rich in—and notes that the U.S. will seek to secure investments in mining and green‑technology projects under the agreement.
President‑elect Figueroa Cano highlighted Argentina’s desire for “deeper economic integration with the United States, the most advanced market economy in the world.” He underscored that Argentina’s domestic reforms, including a commitment to a lower tax regime for foreign investors and an ongoing overhaul of customs procedures, will complement U.S. efforts to streamline trade flows.
Both leaders affirmed that the agreement would also bolster democratic governance by establishing a dispute‑resolution mechanism that respects the rule of law and protects the rights of investors and consumers alike.
5. Looking Ahead: Milestones and Expectations
The joint statement concludes with an optimistic outlook:
- Within 12 months: Completion of the pre‑agreement on non‑tariff barriers and investment protocols.
- Within 24 months: Signing of a provisional US‑ARG Agreement, pending ratification by both legislatures.
- Within 36 months: Implementation of the full agreement, with projected trade volumes increasing by an estimated 15 %–20 % and investment flows doubling.
Both sides expect that the US‑ARG Agreement will generate significant new job opportunities in both countries, with U.S. manufacturers gaining better access to Argentine raw materials and Argentine producers finding a wider market for high‑quality agricultural products.
Bottom Line
The White House joint statement marks a pivotal step in deepening U.S.–Argentina economic ties. While the details remain to be hammered out, the commitment to a transparent, rules‑based framework—covering tariffs, investment, non‑tariff barriers, and sustainable development—signals a new era of cooperation that could reshape trade dynamics across Latin America. As both countries move forward with the outlined negotiation roadmap, businesses, investors, and policymakers will be watching closely for how the proposed partnership translates into concrete gains for the U.S. and Argentine economies alike.
Read the Full whitehouse.gov Article at:
[ https://www.whitehouse.gov/briefings-statements/2025/11/joint-statement-on-framework-for-a-united-states-argentina-agreement-on-reciprocal-trade-and-investment/ ]