Argentina, US amend trade deal in bid to secure ratification

Argentina and the United States amended a trade agreement they signed in February. The change matters because the original text became harder to approve and implement. Argentina’s government said it lacked enough congressional votes, while a US Supreme Court ruling disrupted part of the agreement’s tariff language.

The updated protocol removes specific references to reciprocal tariffs affected by the court decision. Argentine Foreign Minister Pablo Quirno and US Trade Representative Jamieson Greer signed it. Quirno said the revised deal would make Argentine exports to the United States more predictable. He also said it would allow President Javier Milei’s government to send the agreement to Congress for final approval.

The amendment does not complete the process. Argentina’s legislature must still approve the deal. If it does, the agreement can move toward implementation under the revised terms. The United States said it would continue working with Argentina on ratification and implementation, while Quirno highlighted renewed most-favoured-nation tariff treatment for Argentine products.

Trade agreements can create binding commitments for a country, so Argentina’s government needs its legislature to approve this pact before it takes effect. The article describes congressional approval as the agreement’s final approval. That makes Congress the institution that must authorize Argentina’s participation under its domestic process.

The political problem is concrete. Advisers to President Javier Milei had told Donald Trump’s administration that they did not have enough votes to ratify the original agreement. After the amendment, Foreign Minister Pablo Quirno said the government could submit the revised deal to Congress. The changes were therefore designed partly to make ratification more achievable.

Approval is not guaranteed. The United States said it looked forward to working with Argentina on ratification and implementation, showing that both steps remain ahead. The article does not describe Argentina’s exact constitutional procedure beyond Congress’s required final approval. If lawmakers reject or delay the pact, the amended terms cannot fully operate.

Most-favoured-nation, or MFN, tariff treatment is a non-discrimination rule. It generally means a country charges one trading partner no higher tariff than it charges other partners receiving the same status. It does not automatically mean goods enter duty-free. The precise rate depends on the agreement and the product.

In this case, Pablo Quirno said the United States had reaffirmed MFN tariff treatment for Argentine products under the amended terms. That reassurance is important because tariffs directly affect the cost of Argentine goods entering the US market. A predictable rate helps exporters calculate prices, contracts, and expected returns before shipping.

The article does not list the exact tariff rates or products covered. It does establish that Quirno presented MFN treatment as part of the new protocol. If Argentina ratifies the agreement, exporters would have clearer expectations under those terms. If approval fails, the promised treatment would not provide the same agreement-based certainty.

The source does not state how large total trade between Argentina and the United States is. Based on established trade data, bilateral goods and services trade has generally been worth tens of billions of dollars annually, although the total changes by year and by whether services are included. That outside context should not be confused with a figure supplied by this article.

Argentine exports that could be affected include energy products, minerals such as lithium, agricultural goods, beef, wine, and other manufactured products. Tariff terms matter because they can change the cost of entering the US market. The amended agreement’s MFN language could therefore influence exporters’ pricing and planning.

The article itself names no affected products and gives no trade total. Its focus is legal and political: making exports more predictable and securing congressional approval. The practical effect will depend on the final tariff schedules, the agreement’s implementation, and whether Argentina’s Congress ratifies the revised text.

The court ruling created a mismatch between the agreement’s wording and the legal situation in the United States. Argentina and the United States reached their deal in February, but the Supreme Court later struck down Trump’s global tariffs. The agreement contained specific references to reciprocal tariffs that were subject to that ruling.

That meant the original text relied on tariff measures that were no longer legally secure. Argentina’s government also wanted to renegotiate the terms because of the decision. In response, the United States published an updated version that removed the specific references to the reciprocal tariffs. The protocol signed by Pablo Quirno and Jamieson Greer reflects that revision.

Removing the references does not itself ratify the agreement. It makes the text better match the post-ruling legal environment and may reduce uncertainty for Argentina’s legislature. The next step remains congressional approval in Argentina. The United States said it would continue working with Argentina on ratification and implementation.

If Argentina’s Congress ratifies the amended agreement, the pact can move toward implementation. The main stated benefit is greater predictability for Argentine exports to the United States. Quirno also said the United States reaffirmed most-favoured-nation tariff treatment under the agreed terms, giving exporters a clearer framework for selling into that market.

The mechanism is political and commercial. Congress would approve the revised text after the countries removed references to tariffs affected by the Supreme Court ruling. Once implemented, exporters could plan prices, shipments, and investment with more confidence, although the article does not provide detailed tariff rates or product schedules.

If Congress fails to ratify the deal, the agreement cannot receive final domestic approval in Argentina. The promised framework would therefore remain unavailable or uncertain. The article does not predict specific export losses. It does show that Milei’s advisers previously feared lacking enough votes, while both governments are now seeking ratification and implementation.

A tariff is a government charge on goods entering a country. Importers usually pay it at the border, then may pass the cost to wholesalers, retailers, or consumers. A tariff can make foreign goods more expensive than domestic alternatives. It can also generate government revenue and give local producers more protection from overseas competition.

For example, if the United States places a tariff on an Argentine product, the US buyer may face a higher landed cost. That can lead businesses to raise prices, accept smaller profits, switch suppliers, or buy less. If tariffs fall or become more predictable, Argentine exporters may find it easier to compete and plan shipments. The exact effect depends on the rate and product.

Tariffs therefore shape both prices and trade flows. High or uncertain tariffs can discourage commerce. Lower or stable tariffs can support it. In this article, tariff uncertainty affected the Argentina-US agreement, especially after the Supreme Court struck down Trump’s global tariffs and the countries revised related language.