Announcement of trade and investment cooperation framework agreement between the two countries Argentina and the United States It causes a domino effect in the region. For Brazil, which is currently negotiating its own trade deal with Washington, the agreement between the Javier Millei and Donald Trump administrations act as a warning And it shows what kind of concessions Washington is seeking in the region in exchange for easing its own situation.
in brasilia,advertisement I was surprised and fell down.. A senior diplomatic official in Itamaraty confirmed that Buenos Aires said: I didn’t inform you Mercosur partners were informed of the terms of the agreement in advance.
” Argentina has not yet officially communicated anything to Mercosur. We need to know the details first,” a Brazilian official said when asked about the implications, recalling that the regional union had already accepted an expansion of the list of exceptions to the common external tariff in June this year.
whether there is an understanding between miley and trump The official sounded cautious as pressure mounts on Brazil to accelerate negotiations with the United States. “I don’t see a connection,” he said, but acknowledged when asked that because the terms of the agreement were unclear, “it is not yet possible to assess the impact, and we need to wait for the details.” nation.
The agreement announced by Argentina and the United States Thursday will feature an ambitious list of pledges, including phasing out taxes on North American products. Priority access to U.S. pharmaceuticals, machinery, technology, vehicles, and agricultural products. In addition to alignment with U.S. regulatory standards, ranging from medical devices certified by the U.S. Food and Drug Administration to environmental and labor standards.
As Washington, It pledged to eliminate tariffs on natural resources and unpatented medicine supplies, and to review national security measures affecting Argentina’s trade.
The agreement also advances areas the Trump administration considers strategic to compete with China, including critical minerals, digital trade and intellectual property.
Argentina plans to allow the transfer of data, including personal data, in a clear alignment with the US approach. Additionally, Buenos Aires agreed to step up its fight against counterfeiting and piracy, adopt global standards for medical vehicles and equipment, and promote U.S. agricultural exports such as live cattle, poultry, and dairy products.
An announcement came This comes at a time when Brazil is discussing a trade deal with Washington.The State Department confirmed Thursday after a meeting between Secretary of State Marco Rubio and President Lula da Silva’s Foreign Minister Mauro Vieira.
Brazil, the world’s largest coffee producer and exporter, has been facing a crisis since August 6th. Tariffs of up to 50% applied by President Trump, One of our major export products was directly affected. Nearly 700 products were excluded, including some sensitive items such as meat and coffee.
After meeting with Mr. Rubio, Vieira was cautiously optimistic: “Answers will come soon and they want to quickly resolve bilateral issues with Brazil,” he said.
The agreement with Argentina introduces a further element of regional competition. The U.S. government has announced that it is trying to expand its scope of action in Latin America on a country-by-country basis.
For Brazil, the message is twofold, experts say. nation.
However, it confirmed that the US government is simultaneously negotiating with several South American countries and that the Trump administration is seeking to strengthen its dominance in the region before closing the framework with Brazil. On the one hand, it shows that the White House is willing to offer tariff relief in exchange for concessions.
The announced measures aim to reduce the prices of: united states of americais an urgent political priority for Trump, but at the same time Latin American markets open to agricultural and industrial products Americans do not have to negotiate extensive agreements with blocs such as Mercosur.
He stressed that the deal could hurt sectors such as automobiles and Brazil’s industrial machinery. Leah VallsResearcher at the Brazilian Institute of Economic Research, Getulio Vargas Foundation (FGV-Ibre). If Argentina were to allow more access to U.S. products, Brazilian manufacturing would immediately lose space in the region’s major external market.
Brazil is closely monitoring developments in Buenos Aires. “The Argentine agreement is putting pressure on Brazil. Argentina is Brazil’s third largest export destination and its patterns are becoming more diversified. Brazil cannot be left behind,” Valls said. nation.
For Mercosur, on the other hand, the scenario became even more complex, revealing vulnerabilities within the bloc.
Signals that the United States will advance bilateral agreements within the bloc’s orbit weaken the joint bargaining position and establish the uncomfortable reality that fragmented concessions could reduce the group’s offensive power against other countries.
According to Mr. Barth, the foreign trade expert, “nobody talks about it.” “Common External Tariff”.
“Each country has different claims and is negotiating independently,” he concluded.
About The Author
