RESTRICTED  
  
WT/TPR/G/412  
11 August  2021 
(21-6151) Page: 1/36 
Trade Policy Review Body  Original:  Spanish  
 
  
TRADE POLICY REVIEW  
REPORT BY  
ARGENTINA  
Pursuant to the Agreement Establishing the Trade Policy Review Mechanism (Annex 3 of the 
Marrakesh Agreement Establishing the World Trade Organization), the policy statement by Argentina 
is attached.  
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Note: This report is subject to restricted circulation and press embargo until the end of the 
first session of the meeting of the Trade Policy Review Body on Argentina.  WT/TPR/G/412  • Argentina  
- 2 - 
  Contents  
1  INTRODUCTION  ................................ ................................ ................................ ...........  3 
2  ECONOMIC DEVELOPMENTS  ................................ ................................ .........................  3 
2.1  Macroeconomic performance  ................................ ................................ ........................  3 
2.2  Fiscal policy  ................................ ................................ ................................ ...............  5 
2.3  Employment and income policy  ................................ ................................ ....................  5 
2.4  Investment  ................................ ................................ ................................ ................  8 
2.5  Trends in foreign trade  ................................ ................................ ................................  9 
2.6  Debt ................................ ................................ ................................ ........................  11 
2.7  Economic challenges  ................................ ................................ ................................ .. 13 
3  SECTORAL PERFORMANCE  ................................ ................................ ..........................  14 
3.1  Agriculture  ................................ ................................ ................................ ...............  14 
3.2  Manufacturing  ................................ ................................ ................................ ...........  17 
3.3  Export growth  ................................ ................................ ................................ ...........  18 
3.4  Sustainable, inclusive and federal development strategy  ................................ .................  19 
3.5  Fostering creativity and innovation  ................................ ................................ ...............  19 
3.6  Promoting private investment and increasing productivity  ................................ ...............  20 
3.7  Narrowing gender gaps  ................................ ................................ ..............................  20 
3.8  Promoting federal development  ................................ ................................ ...................  20 
3.9  Micro, small and medium -sized enterprises (MSMEs)  ................................ ......................  21 
3.10  The challenge of COVID -19 ................................ ................................ .......................  23 
4  PARTICIPATION IN INTERNATIONAL ORGANIZATIONS AND FORUMS  .......................  24 
4.1  Argentina and the G20  ................................ ................................ ...............................  24 
4.1.1  Participation in the Trade and Investment Working Group (TIWG)  ................................ .. 24 
4.1.2  Global Forum on Steel E xcess Capacity (GFSEC)  ................................ ..........................  24 
4.2  Argentina and the WTO  ................................ ................................ ..............................  25 
4.2.1  Participation in regular committees  ................................ ................................ ............  25 
4.2.2  Dispute settlement  ................................ ................................ ................................ .. 25 
4.2.3  Negotiations  ................................ ................................ ................................ ..........  26 
4.2.4  Monitoring mechanism  ................................ ................................ .............................  26 
5  ARGENTINA AND REGIONAL INTEGRATION  ................................ ...............................  27 
5.1  MERCOSUR  ................................ ................................ ................................ ...............  27 
5.2  Latin American Integration Association (LAIA) and extra -regional agreements  ....................  30 
5.3  Agreements for the reciprocal promotion and protection of investments  ............................  30 
5.4  Extra-regional negotiations  ................................ ................................ .........................  31 
5.5  Global System of Trade Preferences (GSTP)  ................................ ................................ .. 31 
6  FACILITATING, SIMPLIFYING AND COMPUTERIZING CUSTOMS PROCEDURES 
AND FORMALITIES  ................................ ................................ ................................ .........  31 
7  CONCLUSIONS AND OUTLOOK  ................................ ................................ ....................  33 
ANNEX  1 ................................ ................................ ................................ ........................  34 
 
  WT/TPR/G/412  • Argentina  
- 3 - 
  1  INTRODUCTION  
1.1.  This trade policy review of Argentina is taking place at a time when the world is feeling the 
enormous impact of COVID -19 on health -related matters, which has had economic, trade and social 
repercussions throughout much of the world . This situation has greatly affected the world's economic 
and trade performance, particularly that of developing countries . In the case of Argentina, this 
impact is particularly noticeable in the final stage of the period under analysis.  
1.2.  Since its last Trade Policy Review, the Argentine Republic has gone through two distinct phases, 
macroeconomically speaking . Between 2013 and 2017, there were years of growt h and years of 
decline, while 2018 saw the beginning of a recession, which lasted until the COVID -19 pandemic in 
2020.  
1.3.  The first part of the report will analyse economic developments, including macroeconomic, 
fiscal, employment, investment, foreign trade and debt developments.  
1.4.  Sectoral aspects, including the agricultural sector and manufacturing, as well as micro, small 
and medium -sized enterprises ( MSMEs ), are presented below . Matters related to the impact from 
COVID -19 are also included.  
1.5.  The third part of the report is devoted to foreign trade policy . In this section, Argentina's 
multilateral (G20 and WTO) and regional (MERCOSUR and LAIA) activities are described.  
1.6.  Lastly, the conclusions of the report are presented.  
2  ECONOMIC DEVELOPMENTS  
2.1  Macroeconom ic performance  
2.1.  Two distinct phases can be observed in Argentina's macroeconomic trend during the period 
2013-20. Between 2013 and 2017, there were years of growth and years of decline, while 2018 saw 
the beginning of a recession, which lasted until the COVID -19 pandemic in 2020.  
2.2.  During the first sub -period, gross domestic product (GDP) at constant prices rose in 2013 
(2.4%), 2015 (2.7 %) and 2017 (2.8 %), but fell in 2014 ( -2.5%) and in 2016 ( -2.1%). In other 
words, although GDP peaked in 2017, it was at r oughly the same levels as in 2013, with only 0.8 % 
overall growth.  
2.3.  As regards demand, in 2017 private consumption was up 2.5 % from 2013, while gross fixed 
capital formation was up 3.1 % from 2013 and only 2 % below its peak in 2011, reaching an 
investment rat e of 21.6 % in 2017 . As to supply, industry 's share of GDP measured in 2004 prices 
fell from 18.2 % in 2013 to 16.7 % in 2017 . A similar trend was observed in trade (13.7 % in 2013 
compared to 13.0 % in 2017) and construction (3.1 % in 2013 versus 3.0 % in 2017) . In contrast, 
sectors such as transport and communications (7.5 % versus 8.1 %), agriculture (6.6 % versus 7.1 %) 
and real estate, business and rental activities (9.9 % versus 10.2 %) gained share.  
2.4.  Then, in 2018, an economic recession began, with GDP contracting  three years in a row, 
something that had not occurred since 1999 -2002. GDP fell in 2018 ( -2.6%) and 2019 ( -2.1%), 
while it dropped -9.9% in 2020 in the wake of  the outbreak of the COVID -19 pandemic, which led 
to historic economic declines worldwide, to which Argentina was no exception . Although the drop in 
2020 is the largest since the beginning of the series in 2004, it is smaller than the decline recorded 
in 2002, when the economy contracted by 10.9 %, measured in  1993 price s. 
2.5.  As such, whi le the recession in 2018 and 2019 was the result of internal dynamics in the 
domestic economy (indebtedness, external restrictions, exchange rate  hikes, impact on income and 
aggregate demand), the drop in 2020 was the result of the adverse international co ntext caused by 
the health crisis . The biggest impact from the pandemic occurred during the second quarter of 2020, 
when GDP fell -19.0% on a year -on-year basis and -15.8% on a quarterly (seasonally adjusted) 
basis, when the number of restrictions on movem ents peaked in order to safeguard people's health 
in the light of the uncertainty surrounding the new virus, while the health system was putting 
measures in place . However, during the second half of 2020, with the gradual easing of restrictions WT/TPR/G/412  • Argentina  
- 4 - 
  and a serie s of measures taken by the Argentine Government to mitigate the economic and income 
effects on families and businesses, economic activity started to recover . GDP grew by 13.2 % on a 
quarterly basis (seasonally adjusted), in the third quarter and by 4.4 % in the fourth quarter, while 
its year -on-year decline dropped to -10.2% and -4.3% in the third and fourth quarters, respectively . 
Moreover, at the sectoral level, recoveries were observed in several sectors towards the end of the 
year. By the fourth quarter, some sectors, such as industry, construction, trade and financial 
intermediation, saw year-on-year growth . GDP peaked in the fourth quarter of the year at a level 
similar to that of the first quarter, prior to the outbreak of the pandemic ( -0.5%). 
2.6.  In the a nnual balance sheet, all components of demand were in decline at the end 2020, with 
private consumption down -13.8%, the largest drop since the beginning of the series in 2004, and 
gross fixed capital formation down -12.9%. In terms of supply, in 2020, activity was down in all 
sectors except electricity, gas and water (+1.4 %), while 12 out of 16 sectors, in addition to  taxes, 
recorded their greatest losses since the beginning of the series in 2004 . The sectors that were most 
affected by the restrictions on movement were hotels and restaurants ( -49.1%), other services  
(-38.4%) and construction ( -22.6%). 
2.7.  The economy ended  2020 with GDP down  -13.3% on 2013, with gross fixed capital formation 
falling -28.9% and private consumption, -19.9%. As a result, the investment rate dropped from 
20.3% of GDP in 2013 to 16.6 % in 2020, reaching its lowest level since 2005, while the priv ate 
consumption rate dipped from 73.0 % of GDP in 2013 to 67.4 % in 2020 . In 2020, only five 
(agriculture, electricity, gas and water, public administration, education and health) out of 16 supply 
sectors were above 2013 levels.  
GDP 
Annual average  % variati on 
Source:  Ministry of the Economy, based on INDEC.  
5.8%
-2.8%5.5%8.1%
3.9%
-3.4%-0.8%
-4.4%
-10.9%8.8%9.0%8.9%
8.0%9.0%
4.1%
-5.9%10.1%
6.0%
-1.0%2.4%
-2.5%2.7%
-2.1%2.8%
-2.6%-2.1%
-9.9%
-0.15-0.1-0.0500.050.10.15
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
2017
2018
2019
2020
Base 93 Base 04WT/TPR/G/412  • Argentina  
- 5 - 
  2.8.  As a result of the macroeconomic trends described above , combined with successive hikes in 
the exchange rate during the period, current GDP per capita in dollars declined from USD 14,514 in 
2013 - peaking at USD 14,903 in 2015 - to USD 10,133 in 2019 and USD 8,582 in 2020.  
2.2  Fiscal policy  
2.9.  The increase in tax revenue in 2020 and 2021, despite th e adverse effects of the COVID -19 
global pandemic, was the result of the political decision of the national government to strengthen 
the progressive nature of the national tax system through a series of reforms , beginning  with the 
enactment of Law No. 27.541 on social solidarity and reinvigorating  production in the context of the 
public emergency.  
2.10.  Between 2019 and 2020, tax revenue measured in terms of GDP rose from 23.93 % to 
25.49 %. In other words, tax revenue grew by 1.56 percentage points of GDP . This gr owth was 
mainly due to the increase in fiscal resources associated with progressive taxes.  
2.11.  Some 98% of the 1.56-point growth in terms of GDP can be explained by the impact of 
regulatory changes to the existing tax legislation through the Law on solidarity . The personal 
property tax reform (41 %), the creation of the PAIS tax (31 %) and the changes to income tax (27 %) 
were the main sources of the increase  in tax revenue in terms of GDP . The progressivity of the 
national public sector's fiscal resources was rei nforced by the enactment of Law No. 27.605 on 
exceptional, solidarity -based support to help mitigate the effects of the pandemic . This tax generated 
revenues of USD 148,505,000 during the first five months of 2021 . It is estimated that for the entire 
year it will raise 0.7% of GDP.  
2.12.  This return to tax progressivity is one of the main pillars of the government 's programme, 
which is based on the sustainability of public finances and economic recovery with equity, 
inclusiveness and dynamism.  
2.13.  Our vision of tax policy in the future includes a fair, inclusive and egalitarian tax system, with 
taxes linked to the people's taxable capacity, which is key to improving income and wealth 
distribution . It should ensure fiscal sustainability and make the economic and social development 
process viable, in accordance with the macroeconomic model ; contribute to federal tax equity 
through coordination among different levels of government, which is key to reducing regional 
disparities and promoting balanced dev elopment ; promote growth,  the productive development  of 
small and medium -sized enterprises (SMEs) , increased exports and formal job creation ; and 
encourage tax payer  compliance in order to establish a more formal economy with less tax evasion 
and avoidance . 
2.3  Employment and income policy  
2.14.  Labour market trends during the period 2013 -20 were similar to those analysed for economic  
activity . Initially, between 2013 and 2017, stagnation was observed in the creation of wage 
employment in the private sector . Registere d wage earners grew at an annual average rate of 0.5 %, 
increasing 2.7 % during this period (162,000 new jobs) . The sluggish growth contrasts with the 
momentum from previous years, when registered wage employment grew at an average annual rate 
of 2.7 % betwee n 2008 and 2012 ( a cumulative increase of 13.9%) and of 9.7 % between 2003 and 
2007 ( a cumulative increase of 58.5%). 
2.15.  However, other categories of employment maintained the rate of job creation between 2013 
and 2017, offsetting the private sector 's relative ly weak growth to generate formal employment . 
During the same period, registered self -employment (small taxpayers under the monotributo  
simplified tax regime and self -employed workers) grew at an average annual rate of 2.3 %, a 
cumulative increase of 12% (209,400 workers ). At the same time, the public sector helped to 
increase employment, with an average annual increase of 3.7 % and cumulative growth of 19.8 % 
(518,900 jobs).  WT/TPR/G/412  • Argentina  
- 6 - 
  2.16.  Between 2016 and 2017, the most comprehensive labour market indicators measured by  the 
Permanent Household Survey (EPH) remained relatively stable, with an unemployment rate of 
around 8.4%. In 2018, the unemployment rate rose to 9.2 % on average (with rates of 9 % or more 
recorded in all quarters of the year), and during the first half of  2019, the unemployment rate 
exceeded 10 %. 
2.17.  Beginning in 2018, labour variables saw a shift, with real wages falling followed by  
employment 2019 . Registered employment in the private sector barely grew 0.1 % in 2018 and 
fell -2.3% in 2019, with the private s ector shedding 143,100 salaried jobs that year . 
Self-employment (small taxpayers and self -employed workers) continued to expand, but its growth 
slowed to an annual average rate of 1.1 % in 2018 and 2019, and employment in the public sector 
shrank to an annu al average of 1.4 %. 
2.18.  Labour market indicators were deteriorating . In 2019, the unemployment rate was 9.8 % of 
the economically active population (EAP), peaking at 10.4 % during the first half of the year . The 
increased pressure on the labour market was trigge red by a decrease in real incomes, with wages 
in the registered sectors seeing a cumulative decrease of -19.5% in real terms over the previous 
two years (according to INDEC's wage index) . The activity rate reached a record high of 47.7 % 
during the second q uarter of 2019 (EPH) in response to the complicated situation in terms of 
employment and income . In these recessionary conditions, which preceded the pandemic -induced 
crisis in 2020, informal wage employment also increased, accounting for 35 % of wage earne rs 
(compared to 33.6 % in 2016).  
2.19.  During the first quarter of 2020, with the change in administration , some improvements were 
observed in labour indicators, which were then disrupted by the outbreak of the pandemic . During 
the second quarter, when there were more restrictions on movement , the employment rate fell to 
33.4% of the population, dropping -9.2 percentage points (pp) year-on-year. Most of the people 
who lost their jobs did not move to unemployment (i.e. they did not actively seek employment) but 
remained in labour inactivity, reflected in the drop in the  activity rate to 38.4 % (-9.3 pp 
year-on-year) . As a result, unemployment rose to 13.1 % of the EAP, 2.5 pp more than in 2019.  
2.20.  With the easing of lockdown measu res, the labour market was partially restored . This was 
reflected in the recovery of the activity rate, which went back up to 42.3 % in the third quarter and 
45% in the fourth, while the employment rate rose to 37.4 % and 40.1 %, respectively . As a result 
of this growth, the unemployment rate dropped to 11.7 % of the EAP in the third quarter and 11.0 % 
in the fourth.  
2.21.  The annual balance sheet for 2020 shows the strong impact of the crisis . The EAP fell -7.5%, 
with an activity rate averaging 43.2 % of the populatio n (-4.1 pp year-on-year), and the absolute 
number of unemployed contracted at an average annual rate of -9.2%, with an employment rate 
averaging 38.3 % of the population ( -4.4 pp year-on-year) . Registered wage earners were the least 
affected, decreasing -3.4% on average per year, while non -registered wage earners fell -21.5% on 
average per year . Self-employed categories, which experienced a sharp decline in the second quarter 
but recovered more qu ickly, dropped -7.5%. The unemployment rate averaged 11.5 % of the EPA, 
up 1.7 pp from 2019.  
2.22.  Owing  to the above -mentioned trends , combined with the impact of the pandemic, registered 
wage employment ended 2020 with 216,500 private wage earners fewer than in  2013 and 216,000 
more registered self -employed workers . As to general labour market indicators, the 2016 -20 period 
ended with the unemployment rate up 3.1 pp, the employment rate down -3.6 pp, and a high level 
of labour inactivity (the activity rate slipped -4.1 pp).  WT/TPR/G/412  • Argentina  
- 7 - 
  REGISTERED PRIVATE WAGE EMPLOYMENT  
Monthly  % variation (seasonally adjusted) and  thousand s of employed (original series, seasonally adjusted)  
 
Source:  Ministry of the Economy, based on the Ministry of Labour, Employment and Social Security.  
2.23.  The social protection system continued to expand its coverage between 2013 and 2019.  
2.24.  In 2014, the PROGRESAR programme, targeting individuals aged 18 to 24 years, was created 
to provide scholarships to young people wishing to undertake or finish t heir studies or pursue higher 
education . By 2015, the programme had nearly 900,000 recipients and, while it subsequently 
underwent some changes that reduced its coverage, in 2019 it was revamped, thus restoring the 
relevance of this policy.  
2.25.  The coverage of  children and adolescents receiving family allowances from the contributory 
system expanded, while the coverage of persons receiving the universal child allowance (AUH) 
continued to increase . By 2019, the number of children and young persons  covered, toget her with 
recipients of the pregnancy allowance, totalled 8.8  million . 
2.26.  With regard to retirement and pensions, a new social security moratorium was introduced in 
2014. In 2016, through the Historical Reparation, the pensions of the upper brackets were impro ved, 
and the Universal Plan for Older Adults  (PUAM) was created to provide coverage to persons over the 
age of 65 without a pension or retirement.  
2.27.  Between 2013 and 2019, retirement benefits and pensions were adjusted in accordance with 
the existing law on portability , and family allowances and AUH were introduced in 2016.  
2.28.  With regard to workers in the social economy, work continued on the Argentina Trabaja  
programme and the gender -oriented version of it, Ellas Hacen , which later became the Hacemos 
Futuro  and Hacemos Futuro Juntas  programme . Then, in 2017, the supplementary social wage was 
introduced . Combined, the two programmes had almost 557,000 recipients by December  2019. 
-2.0%-1.5%-1.0%-0.5%0.0%0.5%1.0%1.5%
5,7005,7505,8005,8505,9005,9506,0006,0506,1006,1506,2006,2506,3006,350
Jan-12
Apr-12
Jul-12
Oct-12
Jan-13
Apr-13
Jul-13
Oct-13
Jan-14
Apr-14
Jul-14
Oct-14
Jan-15
Apr-15
Jul-15
Oct-15
Jan-16
Apr-16
Jul-16
Oct-16
Jan-17
Apr-17
Jul-17
Oct-17
Jan-18
Apr-18
Jul-18
Oct-18
Jan-19
Apr-19
Jul-19
Oct-19
Jan-20
Apr-20
Jul-20
Oct-20
Jan-21
Monthly, seasonally adjusted % variation (right scale)
Employed (original series)
Employed (seasonally adjusted series)WT/TPR/G/412  • Argentina  
- 8 - 
  2.29.  In 2020, the national government faced the pandemic with the main objective of mitigating 
the direct impact of the fall in economic activity first associated with the  preventative and mandatory 
lockdown (ASPO) period and then with preventative and mandatory social distancing  (DISPO) . The 
package of measures to support the income and employment of workers and families  included, 
notably,  the emergency family income (IFE), which consisted of a cash transfer of ARS 10,000 to 
alleviate lack of income and benefited 8.9  million  households ; the work and production emergency 
assistance programme (ATP), to support the work of the private sector ; the Alimentar  card, which 
guaranteed access to healthy food for more than 1.5  million  people ; and the Potenciar Trabajo  
programme, which was extended to cover more than 200,000 ben eficiaries . Special support was 
also granted to beneficiaries of the self-managed work programme and of Sostener Cultura  grants . 
2.30.  With regard to retirement  benefit s, pensions and family allowances during 2020, the amounts 
were increased on a quarterly basis  despite the suspension of the retirement portability formula in 
2017. The new law on portability entered into force in 2021.  
2.4  Investment  
2.31.  As with GDP, according to national accounts data, between 2013 and 2017 gross fixed capital 
formation (GFCF) alternate ly increased and declined . It grew in 2013 (2.3 %), in 2015 (3.5 %) and 
in 2017 (13.4 %) but shrank in 2014 (6.8 %) and 2016 (5.8 %). It then recorded three consecutive 
years of decline : -5.7% in 2018, -15.9% in 2019 and -12.9% in 2020.  
2.32.  In 2020, the bi ggest impact of the pandemic was in the second quarter with a year -on-year 
contraction of -38.2%, then recovering in the last quarter of the year with 15.8 % year-on-year 
growth . Thus, GFCF's share of GDP at 2004 prices dropped  from 20.3 % in 2013 to 16.6 % in 2020, 
after peak ing in 2017 (20.7 %). 
2.33.  Overall, in 2013 -17, investment grew by 3.1 %, driven by machinery and equipment, which 
rose by 13.7 % (a 5.6 percentage -point contribution ), partly offset by the drop of 4.5% in transport 
equipment ( -0.6 pp) and 4.2 % in construction ( -1.9 pp) . Meanwhile, during 2018 -20, investment 
fell by 26.8 %, with decrease s across the board  (machinery and equipment : -26.4% or -11.6 pp ; 
total construction : -25.8% or -11.4 pp ; transport equip ment: -34.2% or -3.7 pp).  
2.34.  Looking at the year 2020, the biggest contribution to the fall in the second quarter corresponds 
to total construction ( -24.2 pp), recording the biggest year -on-year decrease  since the beginning of 
the series in 2004 ( -49.2%). This is followed by machinery and equipment ( -12.0 p ercentage -point 
contribution ; -28.0% year-on-year) and transport equipment ( -1.9 pp and -25.4% year-on-year), 
with the imported component showing a greater decline ( -32.3% year-on-year) than the domestic 
component ( -20.9% year-on-year) . During this period, the investment rate fell to its lowest level 
since the beginning of the series, standing at 12.6 % of GDP . On the other hand, the recovery in the 
fourth quarter is primarily due to the growth in machinery and equipment, rising by 21.7 % 
year-on-year with a 9.0 p ercentage -point contribution , followed by transport equipment (4.0 pp and 
49.6% year-on-year) and total construction (2.7 pp and 5.5 % year-on-year) . In this quarter, the 
domestic component has outstripped  the imported component (38.0 % year-on-year and 16.5 % 
year-on-year, respectively)  and the contribution of the former is almost double that of the latter 
(8.6 pp and 4.4 pp, respectively) . The investment rate  has recover ed to 20.1 % of GDP.  
2.35.  In addition to national accounts data on gross fixed capital formation, the investment 
announcement database devised by the Economic Policy Secretariat of the Ministry of the Economy 
provides a sectoral overview of investment trends in recent year s focused on the installation of new 
plants or facilities ("greenfield" investment), increasing the use of installed capacity, and mergers 
and acquisitions . In 2016 -20, about 70 % of announcements related to hydrocarbons 
(USD 60 million , accounting for 31% of the total), mining ( USD 24.1 million; 1 3%), construction 
(USD 18.7 million; 1 0%), logistics and transport ( USD 13.6 million; 7 %) and telecommunications 
services ( USD 12 million; 6 %). 
2.36.  Meanwhile, i mports of productive assets (as an approximation of invest ment related to 
production) between 2013 and 2020 show that imports of special purpose equipment accounted for 
42% of foreign purchases of these goods, and transport equipment for 34 %, with the rest 
corresponding to machinery for general use.  WT/TPR/G/412  • Argentina  
- 9 - 
  Imports of pr oductive assets  
(Millions  of USD c.i.f) 
 
 
 
2.37.  Special purpose equipment included electric motors, generators and transformers ; machinery 
for mining, quarrying and construction work, and other special purpose machinery (machine s and 
mechanical appliances having individual functions, injection and compression moulds, mixers and 
grinders, etc.) . It should be noted that, in 2020, foreign purchases  of medical equipment increased 
by 7% compared to the previous year, with the aim of strengt hening the capacity of the health 
system in the context of the pandemic . Imported transport equipment played an important role in 
imports of vehicles for the transport of goods (70 % of total imports of motor vehicles and 35 % of 
transport equipment in gener al). Machinery for general use included , among other things,  packing 
machines and appliances for the production of beverages, gas or liquid filters and purifiers, etc. ; 
pumps, compressors, valves and taps ; lifting and handling equipment ; and electric motor s, 
generators and transformers.  
2.5  Trends in foreign trade  
2.38.  Argentina's foreign trade contracted at an average annual rate of -6% between 2013 and 
2020, the result of an average annual decline in exports of -4.5% per year to USD 54.9 billion  and 
in imports of -7.7% to USD 42.3 billion . 
2.39.  In the case of exports, they had an initial period of contraction (2013 -15) followed by growth 
between 2016 and 2019, before closing 2020 with another drop owing to the pandemic -induced fall 
in international demand and production.  
2.40.  Declines were recorded for all export items, mainly manufactures of industrial origin (MOI) 
and fuels and energy, which fell by an annual average of -8.9% and -6%, respectively . Industrial 
exports declined in almost every year of the period under consideration with the exception of 2017 
and 2018, a situation similar to that of fuels and energy, which recorded increases only in 2017, 
2018 and 2019 . Exports of primary products and manufactured products of agricultural origin (MOA) 
also recorded de clines but at a slower pace ( -1.3% and -3% annual average, respectively) . Primary 
products grew only in 2016 and 2019, while manufacture d products  of agricultural origin increased 
in 2013, 2016, 2018 and 2019.  
10,382
9,903
9,1349,65012,277
10,400
7,659
4,733
02,0004,0006,0008,00010,00012,00014,000
2013 2014 2015 2016 2017 2018 2019 2020
Special purpose General use TransportWT/TPR/G/412  • Argentina  
- 10 - 
  Exports by item and imports by use  
Average ann ual and accumulated variation between 2013 and 20 20  
 2013  2014  2015  2016  2017  2018  2019  2020  2013 -20 
Exports  -5.0%  -9.9%  -17.0%  1.9%  1.3%  5.4%  5.4%  -15.7%  -4.5%  
Primary products  -6.7%  -20.0%  -6.4%  18.0%  -5.6%  -5.4%  25.0%  -7.5%  -1.3%  
MOA 0.8%  -2.2%  -11.9%  0.3%  -3.4%  1.7%  4.4%  -9.1%  -3.0%  
MOI -5.7%  -11.0%  -21.4%  -6.4%  11.7%  9.9%  -6.8%  -30.8%  -8.9%  
Fuel and energy  -20.3%  -11.1%  -54.6%  -9.4%  21.7%  69.6%  5.3%  -18.7%  -6.0%  
          
Imports  9.5%  -11.7%  -8.4%  -7.1%  19.7%  -2.2%  -25.0%  -13.8%  -7.7%  
Capital goods  -0.1%  1.7%  0.5%  0.7%  23.0%  -17.9%  -30.7%  -13.0%  -6.5%  
Intermediate goods  -1.5%  -3.8%  -3.5%  -14.5%  15.2%  14.7%  -16.2%  -2.1%  -2.1%  
Fuels and lubricants  36.5%  -8.4%  -39.1%  -29.3%  16.4%  14.6%  -32.2%  -40.6%  -19.9%  
Parts and accessories  10.9%  -17.6%  -2.9%  -11.4%  14.2%  -5.8%  -16.8%  -25.0%  -10.1%  
Consumer goods  3.6%  -10.1%  2.0%  8.5%  21.0%  -5.2%  -25.6%  -4.7%  -3.0%  
Vehicles  31.8%  -49.4%  -6.2%  33.3%  40.9%  -16.2%  -55.2%  -31.7%  -19.0%  
Other  -24.3%  8.7%  10.9%  -22.6%  39.3%  3.4%  -12.7%  32.0%  6.4%  
Source:  Ministry of the Economy, based on ICA -INDEC.  
2.41.  In the case of imports, contractions were recorded every year except in 2013 and 2017, when 
growth occurred . The period saw widespread falls across  all uses . The annual average decline  for 
fuel imports was -19.9%, for parts and accessories -10.1% and for vehicles -19%. Capital goods fell 
at an average annual rate of -6.5%, while imports of parts and accessories for this type of goods 
showed a drop of -10.1% per year.  
2.42.  Despite the foregoing , the trends differed among import uses, as capital goods grew between 
2013 and 2017, but then declined as from 2018 . Foreign purchases of consumer goods followed a 
similar pattern, with growth between 2013 and 2017 (except for 2014), before trending downward s 
from 2018.  
2.43.  Lastly, the trade balance increased substantially between 2013 and 2020, from 
USD 1,521 million  in 2013 to USD 12,530 million  in 2020, with a peak in 2019 of 
USD 15,992 million , the largest surplus since 2009, and in 2017 the largest trade deficit in history 
(USD -8,308 million ). 
Argentine foreign trade  
(in billion s of USD)  
 
Source:  Ministry of the Economy, based on ICA -INDEC.  
WT/TPR/G/412  • Argentina  
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  2.44.  In the case of services, the balance sheet is structurally in deficit (an annual average of 
USD -6,247  million  between 2013 and 2020, with a peak of USD -9,695  million  in 2017) , with  the 
travel, tourism and ticketing account making up a significant  portion , accounting on average for 
80% of the sector 's deficit . Between 2013 and 2020, the trade deficit narrowed from 
USD -5,329  million  in 2013 to USD -2,240  million  in 2020, although the latter recorded figure is 
affected by the impact of the pandemic on inter national trade in services, in particular those linked 
to tourism . In 2019, the balance in trade in services was USD -4,865  million , a level similar to that 
recorded in 2013.  
2.45.  Travel, tourism and ticketing accounted for nearly half of services exports betwe en 2013 and 
2020, with a stable performance between 2013 and 2019 (average annual growth of 0.3 %.) before 
plummeting  -59.5% in 2020.  
2.46.  In services imports, travel, tourism and ticket ing is very significant , account ing for 58.4 % of 
the total . Between 2013 and  2019, the average annual rate of growth was 1.1 %, while in 2020, as 
a result of the restrictions stemming  from the pandemic, imports for the sector shrank to the lowest 
level since 2005.  
2.47.  The remaining services also showed a deficit, although one that is trending  downwards , from 
USD -1,387  million  in 2013 to USD -699 million  in 2020 . The reduction is due to  the growth in 
exports of the remaining services (2.3 % annual average between 2013 an d 2019, mainly due to 
telecommunications, IT and information, and business, professional and technical services) and to 
the fall in imports ( -0.3% annual average between 2013 and 2019, mainly as a result of  lower 
outgoings linked to the use of intellectual  property).  
2.48.  Thus, the reduction of the deficit in trade in services, together with the uptick in  the surplus 
in trade in goods, led to the balance of goods and services moving from a deficit of USD -694 million  
in 2013 to a surplus of 12,391  million  in 202 0, which also improved the current account balance 
from a deficit of USD -13,124  million  in 2013 to a surplus of USD 3,313 million  in 2020.  
2.49.  An additional element contributing to the reduction in the current account deficit was primary 
income, which went from USD -13,165  million  in 2013 to USD -10,197  million  in 2020 . This was due 
to a smaller debit for the payment of profits and dividends ( USD 9,396 million  in 2013 compared 
with USD 2,731 million  in 2020), which more than offset the increase in interest pay ments from 
USD 5,952 million  in 2013 to USD 11,330 million  in 2020 . However, it should be noted that , for 
2020, interest payments were down significantly on 2019 ( USD 17,432 million ) thanks to  the 
renegotiation of the foreign debt with private creditors.  
2.6  Debt  
2.50.  Following the swaps of 2005 and 2010, Argentina was required to settle the outstanding debt 
with th ose funds holding 7 % of the eligible debt that did not accept the Argentine offer . These funds 
obtained a favourable United States court ruli ng whereby this debt could not be paid until the expiry 
of the rights -upon-future -offers ( RUFO ) clause of the 2005 and 2010 swaps, set for  December  2015. 
Meanwhile , a debt owed to the Paris Club was renegotiated in May 2014 for USD 9,690 million  to be 
paid in 5 years at a rate of 3 % or in 7 years at a higher rate .1 Should a minimum payment not be 
made, as occurred in 2018 and 2019, the debt would start to accrue a higher interest rate, reaching  
9%. In March  2016, pursuant to the adoption of  Law No. 27.249,  Laws Nos. 26.017, 26.547, 26.886 
and 26.984 were repealed, which had sought to  get the holdouts to settle  on equivalent terms to 
those who agreed to the 2005 and 2010 swaps . In April 2016, the government carried out a first 
international issue for some USD 16.5 billion  with the aim of dealing with the payments related to 
the ruling in favour of the "vulture funds" . The interest rates for securities issued were 6.25 % for 
3-year bonds and 7. 625% for 30-year bonds, which meant a spread of approximately 500 basis 
points over United States Treasury instruments at that time.  
 
1 Viewed at: https://clubdeparis.org/en/traitements/argentina -29-05-2014/en . WT/TPR/G/412  • Argentina  
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  2.51.  The previous administration then began to make intensive use of external credit in 2016 and 
2017, at rates of interest well above the international level . The current account deficit, which 
totalled USD 15,105 million  in 2016 and USD 31,151 million  in 2017 (INDEC), and the persistent 
fiscal deficit were mostly financed by borrowing in foreign currency on the local and international 
markets . The liberalization of the capital market facilitated a significant outflow of capital (portfolio 
investment liabilities increased by some USD 77 billion  in 2016 and 2017), leading to a loss of 
international reserves of USD 29 billion. A s of April 2018, in the context of a profound change in 
global expectations about the economic outlook for the country, the market began to classify as 
unsustainable the large volumes of public debt that Argentina had accumulated in the previous two 
years, and which w ere not accompanied by an increase in productive capacity in the net exporting 
sectors that would enable payment obligations to be met, respecting social sustainability . In 2018, 
Argentina ended up losing access to external credit, exacerbating  its positio n of unsustainability . In 
view of the disruption to the influx of financial capital, assistance was sought from the International 
Monetary Fund (IMF) . In June 2018, the IMF Executive Board approved a three -year Stand -By 
Arrangement (SBA) for Argentina amounting to USD 50 billion  (equivalent to SDR 35,379 million  or 
about 1,110 % of Argentina's quota in the IMF) .2 An immediate disbursement of USD 15 billion  was 
authorized ( SDR 10,614 million  or 333 % of Argentina 's quota ), with USD 7.5 billion  to be used for 
budget support . In October  2018, the IMF Executive Board concluded the first review under the SBA 
for Argentina, and approved the disbursement of USD 5.7 billion  (SDR 4.1 billion ), and also 
approved an augmentation of  the SBA to increase access to about USD 56.3 billion  (equivalent to 
SDR 40,710 million  or 1,277 % of the quota) .3 The authorities have requested the use of this IMF 
financing as budget support . The programme contained a schedule of payments that were not 
adjusted to the possibilities of the Argentine economy, concentrating SBA payments in 2022 and 
2023. The new government decided not to request from the IMF the USD 11 billion  remaining from 
the stand -by credit and to proceed with restructuring the debt.  
2.52.  As of December  2019, Argentina's public debt was in an unsustainable position . In four years, 
the gross debt stock measured in US dollars increased by 34 %, from USD 241 billion  in 
December  2015 to USD 323 billion  as at December  2019.4 This increase in indebtedness and the 
corresponding interest servicing was not matched by commensurate economic growth, owing to the 
adjustment policies, and as a result the proportion of gross debt to GDP increased from 52.6 % to 
90.2% over the same period . In addition, th e public sector had lost access to financing in the 
international capital market in 2018, and to financing on the local market in August  2019, as a result 
of the reprofiling of local debt services established by Decree No. 596/2019.  
2.53.  The recovery in debt su stainability was a prerequisite for the plan to stabilize the Argentine 
economy . The actions needed to initiate this process began in December  2019 with the enactment 
of Law No. 27.541 on social solidarity and reinvigorating production . On 21 January  2020, the 
Executive sent to Congress the bill to restore  external public debt  sustainability . The problem of debt 
unsustainability was addressed progressively  by seeking to restructure commitments with private 
creditors, the IMF and the Paris Club, in that orde r. The staff of the IMF undertook their own debt 
sustainability analysis, which concurred with the analysis carried out by the national government 
that Argentina 's debt trajectory  was unsustainable and supported the government's negotiating 
strategy.  
2.54.  The p rocess of restructuring the debt denominated in foreign currency sought from the outset 
to treat  bondholders subject to  domestic law and foreign law equally . Thus, once the negotiations 
with external bond holders were close to concluding a final agreement, progress was made in 
designing a proposal to restructure the national public debt using securities in US dollars issued 
under Argentine law . After an orderly process that lasted eight months, managed through 
constructive dialogue and reaching a broad national and international consensus  on the 
unsustainability of Argentine debt, a swap was achieved for 99.01 % of foreign -law, foreign -currency 
securities and, subsequently, 99.41 % of domestic -law, foreign -currency securities, which involved 
 
2 IMF (2018), IMF Executive Board approves USD 50 billion Stand -By Arrangement for Argentina , Press 
Release No. 18/245, 20 June 2018. Viewed at: https://www.imf.org/en/N ews/Articles/2018/06/20/pr18245 -
argentina -imf-executive -board -approves -us50-billion -stand -by-arrangement . 
3 IMF (2018), IMF Executive Board completes first review under Argentina's Stand -By Arrangement, 
approves USD 5.7 billion disbursement , Press Release No. 18/395, 26 October 2018. Viewed at: 
https://www.imf.org/en/News/Articles/2018/10/26/pr18395 -argentina -imf-executive -board -completes -first-
review -under -argentina -stand -arrangement . 
4 Ministry of the Economy, Finance Secretariat, National Public Credit Office. Viewed at: 
https://www.argentina.gob.ar/economia/finanzas/deudapublica/informes -trimestrales -de-la-deuda . WT/TPR/G/412  • Argentina  
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  the rest ructuring of a residual eligible amount of around USD 107 billion. T he restructuring carried 
out by the Argentine Government has thus been the second biggest sovereign restructuring in the 
world  and the largest in our history . As a result of restructuring,  maturities were extended with 
private creditors for the next few years, providing financial relief of USD 42 billion  until 2024 . In 
addition, the average coupon was cut from 7 % to 2.9 % per year, thereby reducing the weight of 
debt servicing in the medium and long term.  
2.55.  Following the restructuring of the debt in securities denominated in foreign currency, the 
government started discussions with the governments of the Paris Club member countries and with 
the IMF in order to renegotiate both debts in the pres sing context of the COVID -19 pandemic.  
2.7  Economic challenges  
2.56.  Following the effects of the pandemic, the economy continued to show signs of recovery in 
2021. One of the national government's most important objectives is to consolidate this growth with 
social inclusion, following a sustained course in the medium term.  
2.57.  To this end, it will be necessary to calm the economy, which implies an inclusive , federal and 
sovereign economy that is productively dynamic and macroeconomically stable . In other words , an 
economy that has already set its course , that has identified the productive structure it wants, and 
that guarantees job creation and income stability . In order to achieve this, low levels of inflation and 
greater certainty for enterprises and househol ds must be achieved, on the basis of coordinating the 
rules of the game between the public and private sectors . These conditions of stability will generate 
a healthy environment for Argentina 's economic and social development.  
2.58.  The pillars on which this obj ective is based are:  
a. economic recovery  with job creation and improved purchasing power as a 
necessary condition for economic growth;  
 
b. coordination of expectations , within the framework of a consistent 
macroeconomic programme that addresses the problem of i nflation as a 
phenomenon with multiple causes and where its reduction is central to economic 
policy;  
 
c. a more virtuous and vibrant export dynamic , with the coordination and 
commitment of strategic sectors, with export growth regarded as a necessary 
conditio n for sustaining economic growth;  
 
d. fiscal sustainability  as a key pillar of macroeconomic stability, redefining 
priorities for investing state resources;  
 
e. coordination of the rules of the game  as a collective task requiring the 
involvement of all sectors  and dialogue that produces understandings as the basis 
for a more robust model of agreements and consensus in order to create the 
conditions for the inclusive development path ; and 
 
f. debt sustainability as a state policy , so that unsustainable debt problems will 
not recur, with the development of the public debt market in pesos as a key process 
for the development of capital markets.  WT/TPR/G/412  • Argentina  
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  2.59.  With regard to the third point (c) on export promotion, a key factor in the development of 
trade policy, progress has already b een made in some areas of importance.  
2.60.  Decree  No. 234/2021 established the export investment promotion scheme, which provides 
incentives for domestic and foreign enterprises making investments in foreign currency exceeding 
USD 100 million. T hese incentives allow access to the foreign exchange market for up to 20 % of the 
foreign exchange earned from exports related to the investment project.  
2.61.  Resolution  No. 4/2021 (13/01/2021) of the Ministry of Production Development established 
the knowledge -based economy pr omotion scheme, which provides tax benefits to companies of 
which at least 50 % of turnover stems from knowledge -based services, which are entered in the 
National Register of Beneficiaries of the Knowledge Economy Promotion Regime (EDC Register) and 
which e ngage in the export of goods or services derived from knowledge -based activities . 
Specifically, on the external front, the export tax for knowledge -based services is reduced to 0 %. 
2.62.  Reductions in rates of export duty were introduced . Decree No. 785/2020 (2/10/20) 
established a maximum rate of 8 % for mining and energy exports, effective until 3 1 December  2021. 
For the industrial sector, Decree  No. 789/2020 (5/10/20) establishes differentiated export duties 
according to added value (3 % for processe d inputs and 0 % for final goods) . For the automotive 
industry, there was a reduction to 0 % of export taxes for incremental exports of final goods and a 
generalized reduction for intermediate goods.  
2.63.  Pursuant Decree No 892/2020 (16/11/20), the Argentine Natu ral Gas Production Promotion 
Plan (Gas Plan IV) was formalized, in order to increase investment in and production of this fuel in 
all gas-producing basins in the country, so as to reduce dependence on fuel imports and promote 
exports from the sector . For the latter, preferential conditions are envisaged for exports up to 
11 million  m³ per day , exclusively during the non -winter period, as well as access to the foreign 
exchange market for the repatriation of direct investments and their profits or for the pay ment of 
debt obligations.  
2.64.  A work programme was established with the Argentine Agro -Industrial Council to define the 
core areas of an agreement that will be reflected in a national agri -food strategy . Its key components 
are: to increase the productivity of the different agro -industrial chains ; to ensure the supply of the 
domestic market and protect against the impact on prices ; and to ensure further administrative 
simplification of export formalities, etc.  
3  SECTORAL PERFORMANCE  
3.1  Agriculture  
3.1.  The agro -industrial sector has played a highly important role in the Argentine economy for 
many years and, specifically, it is the main source of foreign currency, which is crucial to our 
economy . In 2020, agro -industrial exports accounted for 70 % of Argentina's to tal exports to the 
world . This represents an increase of 8.4 % in relation to the sector 's share of total exports in 2019 
and 15.0 % in relation to 2018.  WT/TPR/G/412  • Argentina  
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  Argentine agro -industrial exports . Share of GDP  
 
Note:  The 9.9 % year-on-year drop in GDP for 2020 as a  whole reflected the year -on-year decline in all 
components of demand : private consumption shrank by 13.1 %, gross fixed capital formation fell 
13.0%, and exports declined by 17.7 %. Imports decreased by 18.1 % compared with 2019.  
Source:  World Bank  
3.2.  Measured against our country 's total GDP, the share of agro -industrial exports amounts to 
9.4%. This percentage remained unchanged in 2020 compared to 2019.  
3.3.  The main agricultural exports in 2020 (measured by value) were : soybean meal, maize (except 
for sowing), cru de soybean oil, soya beans, whether or not broken, wheat (other than durum and 
seed), barley, bovine meat, fine wine, biodiesel, shelled groundnuts, shrimps and prawns . The main 
destinations were the EU, China, Brazil, Viet Nam, India, Chile and the USA.  
3.4.  Since the outbreak of the COVID -19 pandemic, the agri -food sector was declared essential, 
and so workers in this sector worked continuously to ensure the supply of food in Argentina or in 
our trading partners . In order to avoid interruptions in agri -food ch ains, health protocols were 
devised in conjunction with stakeholders in each of the areas involved in order to reduce uncertainty 
and prevent risks . Coordination was also undertaken between the national government, the 
provinces and production entities in order to ensure that exports were maintained.  
3.5.  A total of 15 specific protocols were implemented for different production activities aimed at 
providing safety guidelines for workers and consumers vis -à-vis the pandemic, in the COVID -19 
mitigation phase, guaranteeing the supply of products to Argentine households.  
3.6.  The "COVID -19 line", which serves as a communication tool for improving the supply and 
circulation of foodstuffs, was also launched . This provides essential health information to transport  
companies, thus ensuring smooth logistics in agriculture . In addition, actions were coordinated with 
the countries of the region in the context of the Food and Agriculture Organization of the United 
Nations (FAO), the Inter -American Institute for Cooperat ion on Agriculture (IICA) and the Southern 
Agricultural and Livestock Council (CAS) in order to ensure the uninterrupted movement of foodstuffs 
and inputs at the regional level, including the adoption of various ministerial declarations on the 
matter with concrete guidelines.  
WT/TPR/G/412  • Argentina  
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  3.7.  Beyond the pandemic, the efforts of the current administration at the Ministry of Agriculture, 
Livestock and Fisheries have focused on boosting food production in a sustainable manner with 
greater social inclusion, the emphasis being o n increasing the value added at origin and 
strengthening regional economies through policies aimed at developing and improving 
competitiveness, fostering technological modernization, conversion, complementarity and 
innovation, and promoting the integration  of agricultural production factors and their transformation . 
At the same time, the aim is to encourage the development of small -scale producers, in an effort to 
contribute to poverty reduction and the progressive distribution of income through social and 
regional equity ; the efficient and responsible use of natural resources ; and the economic 
development of our country.  
3.8.  The active participation of the State, through consistent macroeconomic policies, aims to secure 
the recovery of the domestic market, impr ove national food security, provide incentives for 
productive investment to meet growing food demand, both domestic and international, and to 
industrialize rural areas.  
3.9.  For example, access to credit for micro entrepreneurs in family farming has been facili tated. 
Through these programmes, small producers can access quotas adapted to the productive cycles of 
each worker with the objective of ensuring regional equity . Initiatives continue to be pursued, such 
as the programme for the economic inclusion of famil y farmers in northern Argentina (PROCANOR), 
the goat value chain development programme (PRODECCA) and the programme for socio -economic 
inclusion in rural areas (PISEAR), which benefit  thousand s of small -scale farming families.  
3.10.  The following have also been launched : the national programme to promote local 
employment, integration and procuremen t (PROTAAL), which pursues the consolidation, 
development and growth of family farming clusters and the creation of new associative production 
units in family farming f or the creation of new jobs ; the critical and direct assistance programme 
(PACyD), which proposes a special assistance mechanism in the event of bad weather, social crises, 
geographical isolation, accidents and other exceptional losses ; and the national pr ogramme for land 
titling and rural integration (PRONTAR), which contributes to the regularization of ownership of land 
traditionally occupied by family farmers, peasant farmers, indigenous peoples and artisanal fishers.  
3.11.  Similarly, the following projects co ntinue to be implemented : the provincial agricultural 
services programme (PROSAP), which uses the development of infrastructure and rural services to 
benefit  thousand s of individuals and agricultural SMEs in Córdoba, Entre Ríos, Formosa, Mendoza, 
Neuquén, Río Negro and San Juan ; the forest sustainability and competitiveness programme, which 
supports forestry and industrial forestry SMEs in Chaco, Corrientes, Entre Ríos, Misiones and Río 
Negro ; and the programme for aquaculture development and sustainable fi sheries (PRODESPA), 
which is geared to the fisheries sector and aquaculture producers.  
3.12.  Argentina is also developing an agri -environmental policy that exploits the sector's strengths 
to provide responses to agri -environmental challenges and problems (instit utional, technological, 
organizational and communication strengths) . Argentina is internationally recognized not only for 
the safety and quality of the agro -industrial products that it exports but also for the way it produces 
them. Satellite products, new techniques for genetic improvement, the development of "agtech" and 
the bioeconomy (including aspects of bioenergy, biotechnology and production of bioproducts) are 
just some of the innovations that are helping us to adapt to climate change and make more e fficient 
use of natural resources.  
3.13.  Sustainability is understood as the balance among the three pillars (environmental, economic 
and social) and actions in this area seek to include all actors in the chain in order to "leave no one 
behind" (Just Transition) , adapted to national realities and the pace of each productive sector . 
Moreover, work to improve productive systems should not lose sight of the fact that the main 
contribution of agriculture to the Sustainable Development Goals is through SDG1 (no povert y) and 
SDG2 (zero hunger).  
3.14.  Argentina is strongly committed to agricultural sustainability and this is the direction of its 
current policies . However, as has been noted in different international forums on this matter, the 
policies' format and pace must be adapted to each country's reality and historical responsibility . The 
responsibilities are common but differentiated ; countries that developed on the basis of intensive 
natural resource use policies have the historical responsibility to provide appropriate solutions.  WT/TPR/G/412  • Argentina  
- 17 - 
  3.15.  With regard to external negotiations, we would point out that Argentina has been actively 
participating in the WTO negotiations and discussions on the main challenges facing the sector in 
different forums, both multilateral (including the G20, F AO and OECD) and regional (for example, 
IICA, CAS and the Western Hemisphere Agricultural Group (AG5)) . In the context of the WTO in 
particular, a more equitable, fair and undistorted trading system has been fostered by seeking the 
elimination of distortin g subsidies and encouraging the adoption of science -based measures.  
3.16.  During the last few years, Argentina has also pursued an active policy of bilateral negotiations 
to open up the sanitary/phytosanitary sphere, with the objective of facilitating the entry of its 
products abroad . Over the past five years (2016 -20), a total of 301 markets have been opened, with 
over 50 new markets opened in 2020 . Our aim is to align this policy of opening markets for the 
benefit of strategic sectors with our agro -industrial d evelopment policy.  
3.17.  Lastly, from the institutional standpoint, the agricultural portfolio was given ministerial status 
with the creation of the Ministry of Agriculture, Livestock and Fisheries in 2019, which allowed 
agricultural issues to be dealt with at t he highest political level . In addition, the Secretariat of Family, 
Peasant and Indigenous Agriculture was re -established.  
3.18.  The strengthening and professionalization of decentralized bodies reporting to the Ministry 
has also been a core idea of the current administration : (i) the National Agriculture and Food Quality 
and Health Service (SENASA), which is responsible for implementing national animal and plant health 
and food safety policies, as well as verifying compliance with the regulations in force ; (ii) the National 
Agricultural Technology Institute (INTA), which is responsible for contributing to the sustainable 
development of the agricultural, agri -food and agro -industrial sector through research, promoting 
innovation and knowledge transfer for the grow th of the country ; (iii) the National Fisheries Research 
and Development Institute (INIDEP), the agency responsible for advising on the rational use of 
fisheries resources with the objective of preserving the marine ecosystem for future generations ; 
(iv) the National Grape -Growing and Wine Production Institute (INV), whose mission is to guide and 
monitor the wine industry efficiently, moving towards the development of genuine, 
fit-for-human -consumption products that meet international qua lity standards, supporting the 
development of the wine value chain to strengthen the recognition of Argentine wines worldwide ; 
and (v) the National Seed Institute (INASE), which is responsible for promoting the efficient 
production and marketing of seeds, ensuring the identity and quality of the seed acquired by 
agricultural producers and protecting the ownership of phytogenetic creations.  
3.2  Manufacturing  
3.19.  As Argentina is an intermediate developed country, its fortunes depend on its ability to use 
knowledge and industrial transformation more intensively . The health tragedy of COVID -19 
represents an unprecedented situation that is having a profound impact on the economy and 
production, with a record decline in the global economy that has also affecte d Argentina.  
3.20.  The pandemic came at a time when the country was starting to recover after two years of 
deep recession (2017 -19), culminating in a sharp deterioration of production and social indicators : 
a decline in economic activity, real wages and investme nt, the loss of  thousand s of jobs, business 
closures and a virtual cessation of payments owing to the unsustainability of external debt.  
3.21.  Despite this complex background, and the damage that the pandemic has caused in many 
productive sectors, the government  has taken various steps to lay the foundations for the 
subsequent recovery, underpinned by consensus -building as the key element to a new economic 
and social agreement, through ongoing dialogue with the productive sectors, labour and innovation . 
Since the n, Argentina has been working on ambitious public policies, with a federal vision, developed 
in conjunction with the private sector, workers and the provinces.  
3.22.  Industry is an essential factor in improving the balance of foreign exchange, and experience 
shows that when it is damaged and neglected, the trade deficit worsens, leading to devaluations 
that impoverish the vast majority of people . Argentina considers that industry, as well as agriculture, 
mining, hydrocarbons, construction, tourism and knowledge -based services, has a strategic role in 
development and is a priority . However, since industry is also different from what it was in the 20th 
century, it presents new challenges, which reinforces the need for an industrial policy.  WT/TPR/G/412  • Argentina  
- 18 - 
  3.23.  The industrial sector has received considerable support from the government during the 
COVID -19 crisis, with industrial enterprises receiving 18 % of the total supplementary wages paid by 
the State through the work and production emergency assistance programme (ATP) and 31 % of 
loans at preferential rates with state guarantees implemented to assist SMEs . Furthermore, in the 
context of the health crisis, industry took on new challenges : it was a pioneer in implementing 
protocols effectively to prevent the spread of the virus and produc ed respirators, masks, tests, 
medical clothing and technological solutions efficiently and quickly . Far from being part of the 
problem, industry showed that it was part of the solution.  
3.24.  Industrial systems are becoming increasingly technology - and knowledge -intensive, and 
strategies to boost industrialization therefore currently present unprecedented challenges . In this 
regard, Argentina considers that there are two key elements for productive development : namely, 
innovation and complementarity . The first re fers to the ongoing need to innovate and modernize the 
fabric of production ; the second refers to the need to reinforce structures and the development of 
supply chains by diversifying production, incorporating more MSMEs, cooperatives and regions, and 
enhancing environments that are conducive to complementarity and innovation.  
3.25.  From this basis, horizontal and sectoral strategies emerge . Horizontal strategies are crucial to 
strengthening the productive framework as a whole and improving its competitiveness, w ith 
particular emphasis on tools to expand financing and reduce its cost and barriers to access, and to 
improve productivity, particularly on the basis of what is known as Industry 4.0 (digitization and 
automation) . Sectoral strategies seek to stimulate mo re actively structural change, creating new 
sectors of activity with a major component involving innovation, exports and regional development.  
3.26.  Moreover, the 21st century industrial policy is responding to new challenges, such as the 
gender agenda, to recti fy the predominantly male presence in industry (75 % of its workers are men 
and only 11 % of directors of industrial enterprises are women, a figure which drops to 5 % in major 
industries) and wage gaps (26 % compared to the 14 % economy -wide average for the ho urly wage) . 
In this regard, Argentina considers manufacturing to be a key tool for both economic and social 
development.  
3.27.  Under the new government administration since December  2019, Argentina's production 
development strategy has been underpinned by a set of components considered essential for the 
post-pandemic recovery, so as to ensure that the country achieves economic and social development 
that secures decent living conditions for its people.  
3.3  Export growth  
3.28.  After a surge in exports in the 2000s, which pr ovided Argentina with the foreign exchange 
needed to finance accelerated growth such as that recorded for the 2002 -11 period, exports 
contracted from 2011 . While there was modest growth in recent years, the result of larger harvests, 
the maturing of investments in the Vaca Muerta hydrocarbon reserves and the success of the meat 
exporters value chain, there was no return to the peak achieved in 2011, either in terms of quantities 
or values.  
3.29.  Revitalizing exports, reducing capital flight and creating the  conditions for the peso to be used 
as a vehicle for savings, are all necessary to ensure that the conditions for strengthening the 
industrialization process are improved . Prioritizing exports entails defining policies to open up 
external markets and creat e new productive sectors with export potential (the software, audiovisual 
production, biotechnology, bioinformatics, genetic engineering, nanotechnology, nanoscience, 
satellite industry, aerospace, nuclear energy, agro -industrial/forestry exporters value c hains, 
fisheries, aquaculture and wine sectors) with particular emphasis on the implementation of training 
and technical assistance activities to enable MSMEs to become part of this push for exports.  
3.30.  3Moreover, infrastructure development is regarded by Arg entina as another key element for 
promoting exports, since it reduces logistical costs and boosts competitiveness . In this regard, 
projects such as the Paraná -Paraguay Waterway or infrastructure development programmes (such 
as road, rail and energy infrast ructure projects) launched by the various relevant agencies are of 
great importance.  WT/TPR/G/412  • Argentina  
- 19 - 
  3.4  Sustainable, inclusive and federal development strategy  
3.31.  For Argentina, all productive sectors have something to contribute to development and 
workers are key players in an y production process . SMEs are the backbone of multiple production 
chains, cooperatives play a very important role as creators of jobs at many stages of the production 
chain and have contributed (as worker -controlled factories have done) to preserving prod uctive 
capacity in adverse economic times, and entrepreneurs are essential for driving creativity and 
innovation . Large enterprises are also fundamental to generating investment, exports, innovation 
and high -quality jobs (in terms of both formality and rem uneration) . The key is for large enterprises 
to interact more closely with the MSME sector, as this is where the best synergies are produced . 
Medium -sized enterprises, for their part, are very active players, which also have above -average 
working condition s and huge potential to become major entities.  
3.5  Fostering creativity and innovation  
3.32.  Argentina aims to incorporate higher levels of innovation, creativity and productivity into its 
productive structure, which in turn will increase its export capacity on the basis of high -quality jobs 
and rising wages . The development of increasingly technological complex activitie s is therefore seen 
as key, to enable higher labour productivity and promote investment in research and development, 
by successfully handling comple x technological ventures and enhancing their links to the productive 
fabric and foreign trade.  
3.33.  In this regard, the government's objective is to boost the development of new technologies 
in the productive fabric, as well as the integration of human resource s with capacities and skills 
geared to the requirements of the new knowledge -based economy paradigm . This is done by 
designing targeted strategies to bring innovation closer to MSMEs and also to large enterprises.  
3.34.  Argentina's actions focus on the following  elements:  
• Open innovation , on the basis that connection and collaboration networks, particularly 
among public and private enterprises, universities, technological centres and other 
entities, are vital for the implementation of projects with high value add ed in areas related 
to the knowledge economy . In this regard, actions concentrate on training activities related 
to aspects of open innovation (focusing on the knowledge economy and productive 
development) that facilitate their implementation in the planni ng and realization of a 
project and support for innovative initiatives, and that combine the use of various 
knowledge economy activities . The collaborative and joint implementation of projects is 
also encouraged, which implies that those involved contribut e to their execution by 
providing and complementing their specific know -how in order to produce an outcome 
superior to that which would be achieved working alone.  
• Regional strengthening of the knowledge economy , which contributes to the 
federalization of b eneficiaries and, consequently, of productive capacities in this industry . 
This is done through policies focused on both productive aspects and building human 
capital, together with enterprise maturity in the sector, and from this basis work on growth 
and improvement in each case . Also, interest groups involving sector stakeholders are 
being strengthened, with the focus on contributing to improvements in regional 
competitiveness and the creation of local ecosystems, through the development of local 
human re source training programmes linked to productive demands and national 
programmes coordinated with sectoral representatives to address talent gaps in strategic 
sectors.  
• Implementation of long -term policies , through the recently enacted Law on the 
knowledge e conomy ( No. 27.506), for the incorporation, implementation and intensive 
adoption in productive activities of knowledge derived from advances in science and 
technology, in order to improve the production of goods and services ; and also through 
the Law on t he promotion of modern biotechnology ( No. 26.270), in force since 2007, 
which is understood as any technological application that, on the basis of rational 
knowledge and scientific principles from biology, biochemistry, microbiology, 
bioinformatics, molecu lar biology and genetic engineering, uses living organisms or parts 
derived from them in the production of goods and services, or for the substantial 
improvement of production processes and/or products.  WT/TPR/G/412  • Argentina  
- 20 - 
  3.6  Promoting private investment and increasing productiv ity 
3.35.  Argentina promotes a State that encourages private investment and increased productivity as 
essential tools for reducing poverty and inequality . Increasing private investment is a prerequisite 
for increasing demand, macroeconomic predictability, access  to productive credit, building new 
capacities and opening up external markets . In addition, the financial inclusion of MSMEs and 
cooperatives is essential to encourage productive investment and increase productivity.  
3.36.  Furthermore, one of the major elements  for improving productivity is the Industrial 
Competitiveness Plan 4.0, which has three components : creating the National Technological 
Assistance System 4.0 ; promoting the adoption of 4.0 technologies ; and raising awareness of and 
training in 4.0 technolo gies, on the basis of the dissemination of and introduction to new technologies 
through concrete plans for enterprises, training in 4.0 trades and training of 4.0 technology experts.  
3.37.  A second major element is support for technology -intensive sectors such as biotechnology, 
nanotechnology, IT, the automotive sector and the satellite industry, with a focus on the promotion 
of research and development, which also promote links between scientists and the productive system 
and the spillover effects of produ ctivity on the industrial fabric . In the digital sector, the 
comprehensive programme for training human capital for productive development has been 
implemented, with the objective, first, of satisfying unmet demand that hampers the development 
of one of the most productive and innovative sectors in Argentina and, second, of enhancing the 
employability of young people, individuals over 45 years of age and persons from vulnerable groups . 
This is complemented by a number of projects to link industry demand t o digital transformation 
solutions and the creation of research, development and innovation projects.  
3.38.   A third element, which is considered essential for boosting investment and productivity, is 
the expansion of productive credit . The creation of the devel opment banking system is a central 
feature of this process and seeks to provide support to the sectors that are major drivers of the 
country's development in technology and exports.  
3.7  Narrowing gender gaps  
3.39.  Historically, productive policies have not been grea tly concerned with addressing gender 
inequalities in the productive structure . In Argentina, women are paid an hourly wage 13 % lower 
than that of men, when controlled for socio -demographic variables such as level of education and 
age. Gender gaps are parti cularly pronounced in sectors of high productivity and export sectors . In 
manufacturing, whose relative productivity exceeds the average, women account for barely 30 % of 
the workforce . This figure falls to 10 % for the proportion of women in decision -making  roles in 
industrial enterprises and is barely 5 % in major companies, which are those that generally have 
greater productivity and export capacity . In primary activities (many of which involve exports) the 
female participation rate is only 17 %, while in ex port services such as software it is just 32 %. 
3.40.  A productive system that fails to use women's talents loses opportunities for growth, 
innovation and improved productivity . Hence, the Government of Argentina understands that 
productive policies must necessar ily include incentives to increase equal opportunities in the labour 
market and to reduce stereotypes (through awareness -raising campaigns) that currently obstruct 
women's access to strategic branches for development . Greater diversity within these branche s will 
help to create a wider range of ideas and approaches in enterprises, increasing the likelihood of 
innovation and business growth . In this regard, Argentina aims to create guidelines for the 
introduction of cultural changes in the operation of enterp rises, by encouraging greater opportunities 
for women, eliminating gaps in equality and creating environments that prevent and penalize any 
kind of gender -based discrimination or violence.  
3.8  Promoting federal development  
3.41.  As in the entire Latin American regio n, regional disparities in Argentina are greater than those 
in any developed country . The richest region (the Autonomous City of Buenos Aires) has a per capita 
GDP six times greater than the poorest provinces . These inequalities, apart from being unfair, c reate 
negative externalities, such as an unbalanced territory, with areas that are densely populated (such 
as the Buenos Aires Metropolitan Area (AMBA)) and others that are virtually unpopulated and lack 
the minimum infrastructure needed to develop product -specific productive chains.  WT/TPR/G/412  • Argentina  
- 21 - 
  3.42.  During the pandemic, the problem of depending largely on one region became evident, as the 
economy as a whole was impacted when AMBA was partially paralyzed in the first months of 
lockdown . Just as productive policies are cruci al to bridging gender gaps, the same is true of regional 
inequalities . No productive policy can be effective unless it is able to foster entrepreneurship and 
technological capacities in the regions lagging furthest behind, in such a way that it enables the  
creation of high -quality jobs in these regions, thereby reducing poverty.  
3.43.  One of the initiatives to tackle territorial inequalities is to reduce infrastructure gaps through 
public investment in the North -East Argentina (NEA) gas pipeline, in the Paraná -Paraguay Waterway 
and in various federal transport infrastructure programmes . This will reduce transport costs to 
production sectors that are far from AMBA, boosting competitiveness and, by extension, the potential 
to increase exports from regional economies . Following the 2018 stoppage, the reactivation of the 
NEA gas pipeline is of vital importance for productive development in Argentina and for access to 
gas in numerous locations in that region . Since gas is a vital element for manufacturing activities, 
greater access to this strategic resource will lead to the emergence of new sectors.  
3.44.  As a complement to the elements and lines of action mentioned, Argentina considers that no 
productive development policy can be sustainable if it does not embrace the enviro nmental 
dimension, pursuing a path of innovation to create new technologies to increase per capita GDP and 
productivity while reducing the impact on the environment . Examples include the development of 
e-mobility, wind energy and solar thermal energy techn ologies, and the refurbishment of household 
appliances to promote energy efficiency . This is underpinned by awareness -raising campaigns, 
sustainable production training programmes, the creation of forums for discussion and dialogue 
among the various actors  (the public and private sectors, NGOs, cooperatives, workers), the creation 
of the industrial parks development programme, which incorporates the dimension of "green and 
sustainable parks" (through compliance with good environmental practices) and an ambi tious 
programme for the elimination of landfills, which targets the closure of over 5,000 landfill sites and 
the construction of socio -environmental complexes for tailored and efficient waste management.  
3.9  Micro, small and medium -sized enterprises (MSMEs)  
3.45.  MSMEs play a key role in Argentina's productive fabric, not just in terms of share of GDP, but 
also because they are the main driver of job creation, as shown by the following data:  
• 99.4% of employers are MSMEs . They number approximately 541,000 : 455,000 are  micro 
enterprises, 71,000 are small enterprises and 14,000 are medium -sized enterprises.  
• In 2020, MSMEs generated 63.8 % of registered wage employment and 51 % of the total 
wage bill.  
• They produce 17 % of total exports and 46 % of turnover, while large companies account 
for the remaining 54 %. 
3.46.  It is therefore crucial for Argentina to develop high -quality public policies that can have a 
positive impact on the growth and development of MSMEs.  
3.47.  The COVID -19 pandemic has had an impact  on the form of production and has accelerated 
more gradual processes with regard to both the digitization of businesses and new developments 
and innovation, and this is particularly evident in the MSME sector . In this regard, the crisis amplified 
some of the existing challenges, such as improving conditions and coordination among regional 
productive structures, public -private partnerships and support institutions, and promoting digital 
transformation, innovation and business growth.  
3.48.  Just as the health, edu cation, transport, trade, tourism and services sectors had to adapt 
quickly to the context, the pandemic represented major challenges for MSMEs, whose structure in 
Argentina has historically been extremely heterogeneous, thus posing a major challenge for p ublic 
policy . Faced with such an exceptional situation, the government quickly created a large number of 
assistance tools for MSMEs.  
3.49.  In 2020, support programmes for MSMEs, laboratories and universities were implemented to 
reinforce productive capacities fo r basic inputs such as masks, scrubs, swabs and sample collection WT/TPR/G/412  • Argentina  
- 22 - 
  tubes for carrying out PCR tests, as well as for the development of separate innovations such as new 
testing or treatment systems . This support involved a great effort to leverage the synerg y of the 
scientific/technological system and the universities with the MSME production sector.  
3.50.  While support for working capital and productive investment for specific sectors had already 
been developed prior to the pandemic, various financing programmes h ave been created as a result 
of the health emergency to accompany the production recovery process, and these have been 
implemented in coordination with the provinces in order to promote federal financial inclusion.  
3.51.  From January  2020 to May 2021, Argentina launched a medium - and long -term credit 
recovery policy for MSMEs, through lines of financing in accordance with the complex prevailing 
context . This policy is supported by the National Productive Development Fund (FONDEP) and the 
Argentine Guarantee Fund (FOGAR), which were strengthened by the current government through 
an increase in their budgets in line with emergency priorities . Since the pandemic began, over 
629,000 credits have been granted through FONDEP, while FOGAR has provided access to financing  
for productive projects through agreements with banking institutions and direct credits to SMEs . In 
2020, FONDEP had a budget 14 times larger than in 2019, and in 2021 it has a budget amounting 
to 150 % of the 2020 budget, whil e FOGAR had a 2020 budget 86 times bigger than in 2019 . This 
enabled 61,000 SMEs and 564,000 small taxpayers and self -employed workers to access financing 
as a result of state guarantees . Three special purpose funds were also created with the provinces of 
Santa Cruz, Santa Fe and Salt a. 
3.52.  In addition, there is the support provided by the Reciprocal Guarantee Companies (SGR) 
scheme, which granted guarantees to over 21,000 MSMEs in 2020 -21. To expand the total number 
of MSMEs accessing the banking credit system and the securities market, i n 2021, the government 
implemented new regulations raising the minimum number of MSMEs that the SGR must incorporate 
into its portfolio every year, including the requirement to meet a quota for MSMEs headed by women, 
as well as to incorporate new MSMEs int o its guarantees portfolio in order to be authorized to expand 
its risk funds.  
3.53.  In this way, the COVID -19 health crisis has acted as an ongoing challenge to implement 
policies that not only support the hardest -hit sectors but also encourage those that have begun to 
recover, as in the case of the metalworking, agro -industry and agricultural machinery sectors, which 
have achieved more growth than before the pandemic.  
3.54.  In addition, and with the aim of continuously improving the competitiveness and productivity 
of MSMEs, the government supports these enterprises with comprehensive plans in various strategic 
areas, such as digital transformation, federal export development, sustainable development, design 
and innovation, and institutional and regional reinforcement , both individually and collectively . In all 
of these areas, Argentina is implementing awareness -raising measures in MSMEs, training required 
by intermediate enterprises and institutions, and technical and economic assistance to advance 
implementation, pro motion and market positioning plans.  
3.55.  These actions are complemented by a strategy for coordinating and strengthening the network 
of MSME support institutions with productivity plans that have a federal approach . This is done 
through the strengthening of in termediate institutional support institutions, with technical and 
economic assistance to local development agencies, business development centres, the creation of 
SME centres in universities, the reinforcement of technological centres, and the creation of digital 
transformation units providing MSME support.  
3.56.  In addition, in order to foster and strengthen entrepreneurship, Argentina is implementing 
training policies, coordination with actors in the entrepreneurial ecosystem, internationalization and 
access to  financing sources . Apart from reducing the impact of the pandemic, the aim is to use the 
programmes to target sectors considered strategic for the country, such as agri -food, e -mobility, 
social and/or environmental impact, Industry 4.0, technology -based s ectors, regional and cultural 
industry products, as well as to reinforce the leadership of women entrepreneurs . In this connection 
it should be noted that, while in 2020 more than 30,000 entrepreneurs throughout the country 
participated in one of the vario us actions launched by the government, in 2021 it is expected that 
not only will their scope be expanded across the country but also that the progress made will be 
consolidated and ventures will be supported in their development.  WT/TPR/G/412  • Argentina  
- 23 - 
  3.10  The challenge of COVID -19 
3.57.  It is beyond any doubt that the health tragedy resulting from COVID -19 is having profound 
economic and productive consequences . This time of pandemic will be remembered as one of the 
worst in the history of global capitalism, with record declines in many c ountries, including Argentina.  
3.58.  As noted above, the pandemic struck Argentina at a time when the country was beginning to 
recover after a period of major recession, which caused a deterioration in the main productive and 
social indicators : between December  2017 and December  2019, economic activity contracted by 7 % 
(9% in per capita terms), 280,000 formal wage jobs were lost in private sector companies (4.5 % of 
the total), and 23,000 businesses closed down, the majority being SMEs . Also, the real wag e of 
formal workers fell by 18 % and, as a result of the decline in household income, poverty rose from 
25.7% in the second half of 2017 to 35.5 % in the corresponding period of 2019, which is equivalent 
to 4.5  million  people falling below the poverty line.  
3.59.  Although the incomes of the vast majority of the population suffered during this period, the 
damage was greater in the most vulnerable households : while per capita income fell by 14 % for the 
top 10 % of earners, income shrank by 30 % for the bottom 10 %. This led to an increase in inequality : 
the Gini coefficient rose from 0.422 to 0.444 between the second half of 2017 and the corresponding 
period of 2019 . Meanwhile, productive credit stock at constant prices fell by 36 % in real terms 
between June 2018 and December  2019, in line with a 31 % fall in investment between the fourth 
quarters of 2017 and 2019 . In 2019, investment fell to the lowest level in a decade . The country 
also entered into virtual cessation of payments on account of unsustainable debt from 2016 -19. 
3.60.  After the first two months of 2020, when signs of improvement were observed, both in real 
wages and in segments such as industry, commerce or tourism, the pandemic caused an unexpected 
shock at the global and domestic level . Economic activity contract ed by 26.1 % between February 
and April 2020, a figure of unprecedented magnitude . Although it has started to recover since then, 
the strong impact on branches such as hotels, restaurants, culture and entertainment has not yet 
been offset by the improvement  recorded in sectors such as industry, which currently has levels of 
activity similar to 2019, and even higher, in several of its branches.  
3.61.  The impact on employment has been profound : in the second quarter of 2019, the 
year-on-year decline was 16.8 %, with large differences according to occupational category . While 
private formal wage employment shrank by 3.3 %, independent employment decreased by 28.6 % 
and informal wage employment by 34 %. Faced with this shock, and despite unfavourable 
macroeconomic conditio ns at the end of 2019, the government quickly responded with a set of 
measures to protect income, human health and companies' organizational capital.  
3.62.  On 20 March  2020, the government ordered a preventive and mandatory lockdown (ASPO) . 
A set of policies wer e immediately implemented that were unprecedented in Argentina's history in 
terms of their magnitude and scope : the emergency family income (IFE), a payment of ARS 10,000 
for nearly 9  million  unemployed, informal and low -income self -employed workers ; and the work and 
production emergency assistance programme (ATP), under which the State paid part of the wage 
bill of formal private sector enterprises of all sizes affected by the pandemic . This was in addition to 
the budgetary reinforcements for the provinces and for health and safety.  
3.63.  While the IFE prevented between 2.7  million  and 4.6  million  people from falling into poverty, 
thus curbing the rise in inequality resulting from the loss of employment income, the ATP programme 
was key in mitigating the  reduction in formal wage employment and ensuring the survival of the 
338,000 beneficiary enterprises (60 % of the total), as well as over 2.8  million  workers who had part 
of their wages paid by the State.  
3.64.  With regard to foreign trade, the government has ta ken a number of steps to ensure the 
availability of inputs needed to address the pandemic, such as the elimination of the import licensing 
requirement, the suspension of certain anti -dumping measures in force, the temporary elimination 
of tariffs and other  import charges on certain critical, COVID -19-related products, as well as the 
exceptional acceptance of digital certificates of origin under certain trade agreements to which 
Argentina is party, such as the those adopted by the Latin American Integration Association (LAIA), 
and the MERCOSUR agreements with Israel, the Southern African Customs Union (SACU) and Egypt 
(see Annex 1 for further details of these measures).  WT/TPR/G/412  • Argentina  
- 24 - 
  3.65.  There is no doubt that COVID -19 is having a major impact on citizens and businesses, 
espec ially SMEs, and this is particularly visible in developing countries . Argentina has always argued 
that in order to deal with this health crisis and economic upheaval, a coordinated global response is 
needed not only to stabilize economies but also to help those enterprises in particular to move 
through this traumatic process . In this regard, an ongoing evaluation is needed of all tools that 
enable greater and better participation of SMEs in international trade and enhance their resilience in 
the event of fu ture upheaval.  
3.66.  Furthermore, it is necessary to highlight the deep inequality that has characterized the global 
administration and distribution of COVID -19 vaccines, with the resulting health risk of the virus 
becoming endemic and creating reservoirs with t he capacity to mutate into more aggressive and 
contagious variants . Argentina considers that vaccines against COVID -19 should be global public 
property, with a view to ensuring that all populations have equitable access to this resource and to 
the medical innovations that have emerged to tackle the pandemic.  
3.67.  In this regard, on the understanding that exceptional situations call for exceptional solutions, 
and given the magnitude of the health crisis, Argentina supports all initiatives aimed at ensuring fair 
access, promoting the effective transfer of technologies, increasing local production capacities and 
the timely distribution of vaccines at the global level, including the temporary suspension of the 
protection of intellectual property rights for vaccines a nd medical products needed for the prevention 
and treatment of COVID -19. 
4  PARTICIPATION IN INTERNATIONAL ORGANIZATIONS AND FORUMS  
4.1  Argentina and the G20  
4.1.1   Participation in the Trade and Investment Working Group (TIWG)  
4.1.  Argentina is an active participant in the G20 Trade and Investment Working Group (TIWG), 
aimed at further strengthening G20 cooperation in trade and investment, as important engines of 
inclusive growth and development and the eradication of poverty.  
4.2.  In a context that, today more than ever, require s the promotion of international coordination 
and solidarity in the various global forums, our country supports the TIWG's work to exchange 
information and develop collective actions that provide responses to current trade issues, in line with 
the prioriti es identified by each Presidency.  
4.3.  Argentina considers it important to continue the G20 political dialogue to reaffirm the 
rules-based multilateral trading system and to support the necessary reform of the WTO, included 
for the first time in the Buenos Aire s leaders ' declaration of 2018 . In addition, we are committed to 
the ongoing implementation of the "G20 Actions to Support World Trade and Investment in Response 
to COVID -19", endorsed in 2020 with a view to mitigating the trade impacts of the pandemic and  
contributing to an inclusive and sustainable recovery.  
4.1.2   Global Forum on Steel Excess Capacity (GFSEC)  
4.4.  Since 2016, Argentina, together with 30 other steel -producing countries, has been part of the 
Global Forum on Steel Excess Capacity (GFSEC), created at th e G20 Summit in Hangzhou (China) 
to coordinate policies to address overcapacity in the global steel industry.  
4.5.  Argentina has been participating actively and constructively in the Forum, in addition to striving 
to ensure its continuity, considering that it c onstitutes a useful exercise in transparency to find 
consensus solutions to global excess capacity in steel . In this regard, Argentina has provided all the 
information required in the half -yearly exchanges of information on statistics relating to productiv e 
capacity and policies implemented in this sector . Argentina has also reaffirmed its commitment to 
the guiding principles adopted in Berlin in 2017, viewing them as an important tool to deal with 
distorting policies that cause global excess capacity.  WT/TPR/G/412  • Argentina  
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  4.2  Arge ntina and the WTO  
4.6.  During the period under review, the multilateral trading system has faced a number of issues 
and challenges that are unprecedented in the history of multilateralism : a great proliferation of 
unilateral trade measures, the paralysis of the  dispute settlement system – the cornerstone of the 
WTO and an indispensable tool for providing security and predictability to the system –, as well as 
the enormous damage caused by COVID -19, in both economic terms and the loss of human lives.  
4.7.  As a foundin g Member of the WTO, Argentina remains firmly committed to the Organization, 
seeking to safeguard its role as a key instrument of the global trading system, which provides 
stability and sustainability for international economic growth . In this regard, Arge ntina is playing a 
constructive role and making every effort not only to preserve but also to continue strengthening 
the WTO and fully reaffirms that the objectives of the multilateral trading system must continue to 
be to raise living standards, ensure fu ll employment and promote sustainable development.  
4.8.  Moreover, as part of the discussions on the adaptation of the WTO to the new challenges of the 
21st century, Argentina is firmly committed to all actions which, on the basis of consensus and the 
principle of inclusivity, seek to address the challenges currently faced by the WTO.  
4.2.1   Participation in regular committees  
4.9.  Argentina is an active participant in the regular activities of the WTO, regarding this 
participation as an exercise in transparency that is essential for helping the organization to achieve 
its fundamental objectives.  
4.10.  In this regard, Argentina has submitted regularly new and complete annual notifications 
relating to the Agreement on Subsidies and Countervailing Measures, import licensing proce dures 
and annual questionnaires linked to these procedures, projects and regulations relating to sanitary 
and phytosanitary measures, trade -related technical regulations, trade remedies and, since 2020, 
trade measures implemented as a result of COVID -19. In addition, it has responded to all the 
concerns and timely consultations of other Members in the respective committees.  
4.11.  During the period under review, Argentina took part in the accession processes of various 
countries, in view of the importance of conti nuously expanding the participation of countries in the 
multilateral trading system . In particular, it participated in the accession working parties for 
Afghanistan, Liberia and Tajikistan, which came to a successful conclusion with the entry of these 
countries into the Organization . Argentina continues to constructively support these activities with 
a view to a satisfactory conclusion of the accession processes under way.  
4.12.  Furthermore, Argentina is an active Member within the Trade Policy Review Mechanism, 
regarding this as an essential exercise for the transparency and predictability of the multilateral 
trading system, enabling a better understanding of the trade policies of the various WTO Members . 
Accordingly, since 2013, Argentina has actively  participated in more than 130 trade policy reviews 
of other WTO Members.  
4.2.2   Dispute settlement  
4.13.  During the period under review (2013 -20), Argentina participated in a total of 22 disputes 
initiated during this period, acting in three disputes as a complainant and 19 disputes as a third 
party. To this should be added participation as a respondent in four cases for which panels were 
established in 2013 . Argentina ranks 15th among the countries that have had greatest recourse to 
this mechanism since the creation o f the WTO, having participated to date in a total of 108 cases 
since 1995.  
4.14.  The WTO 's dispute settlement mechanism is an essential factor in ensuring that Members 
comply with WTO rules . In this regard, it is crucial to resolve the impasse that has affected the 
Appellate Body since the end of 2019 . It is therefore necessary to strengthen the participation of the 
developing countries, which find their opportunities for involvement limited because of their relative 
lack of power within the global economic syste m. Technical assistance could facilitate this process.  WT/TPR/G/412  • Argentina  
- 26 - 
  4.2.3   Negotiations  
4.15.  Argentina continues to reaffirm its support for the WTO and the multilateral trading system . 
As a founding Member, it believes that it is important for the WTO to retain its central role i n 
international trade, striving for a fair, rules -based multilateral trading system that contributes to 
genuinely inclusive development . Argentina remains strongly committed to the continued 
strengthening of the WTO, stressing the need to safeguard its rol e as the lead agency of the global 
trading system, as well as the need to intensify efforts to rectify trade practices that cause 
restrictions and distortions that particularly affect agriculture and fisheries.  
4.16.  Taking into account that development gaps amo ng different countries have not only not been 
reduced in recent years but have actually increased in a number of areas, Argentina considers that 
any WTO reform programme must maintain respect for the development aspirations of individual 
countries at its c ore, while preserving the provisions on special and differential (S&D) treatment in 
existing and future agreements, with the only exception being those countries that voluntarily forgo 
this benefit . Furthermore, the WTO must preserve its multilateral chara cter, maintaining the practice 
of taking decisions by consensus and making every effort to ensure that the discussions are 
conducted in line with the principles of inclusivity and equity.  
4.17.  On the other hand, addressing historically outstanding imbalances in  agriculture must be at 
the centre of any negotiating process at the WTO, in view of the contribution to development 
involved, the resolution of these issues being vital for combating hunger and poverty . In addition to 
traditional trade -distorting measures  (tariffs, tariff escalation, import quotas and production 
subsidies), there is a growing proliferation of sanitary, phytosanitary and technical barriers that have 
no scientific justification . This is why it is necessary to eliminate the discriminatory and  distorting 
policies that have historically affected this sector and which restrict any possibility of industrialization 
and addition of value to primary production, hampering the processes of development.  
4.18.  Argentina considers it a priority to bring to a su ccessful conclusion the negotiations on fisheries 
subsidies disciplines by fulfilling Sustainable Development Goal (SDG) target 14.6 and WTO 
negotiating mandates, ensuring sustainable exploitation of global fisheries and ending the 
exponential damage cause d by illegal, unreported and unregulated (IUU) fishing, an aspect that has 
had a particular historical impact on Argentina in both environmental and economic terms.  
4.19.  Moreover, Argentina is constructively engaged in the structured dialogues on various topics  
that represent certain challenges to modernizing WTO rules, such as the joint initiatives on 
e-commerce, the integration of SMEs into international trade, investment facilitation, and services 
domestic regulation . However, Argentina considers that the met hodology of structured dialogues 
cannot become a systematic negotiating practice in the multilateral trading system . Plurilateral 
discussions should be the exception rather than the rule . Argentina advocates a multilateral system 
based on a broad, transpar ent and inclusive discussion with the consensus of all WTO Members.  
4.20.  It should be noted that, during the review period, Argentina has been an active and 
constructive participant in the discussions for the successful conclusion of the Agreement on Trade 
Facilitation (TFA), the first multilateral agreement concluded since the launch of the WTO in 1995 . 
In this regard, Argentina ratified and accepted the TFA Protocol through Law No. 27.373 and its 
Regulatory Decree No. 574/2017, presenting the instrument of acc eptance to the WTO on 
22 January  2018. Argentina currently applies 97.5 % of the provisions of the Agreement, having duly 
notified the WTO that compliance with the rest of the provisions will take place no later than 2023.  
4.2.4   Monitoring mechanism  
4.21.  Argentina has  been participating constructively in the preparation of the semi -annual and 
annual reports on trade measures applied by WTO Members, which have been prepared by the WTO 
Secretariat since 2009.  
4.22.  Argentina understands the importance of undertaking and contin uing this transparency 
exercise agreed upon as a result of the international economic crisis of that time, plus the measures 
applied by countries since 2020 as a result of COVID -19. Argentina also appreciates the work done 
by the WTO Secretariat in improvi ng the criteria used for the identification and inclusion of 
trade-related measures.  WT/TPR/G/412  • Argentina  
- 27 - 
  4.23.  However, given that the reports are a useful tool for reaching preliminary conclusions on the 
nature of the measures implemented by all countries every six months/year, Ar gentina considers 
that such criteria can be further refined so as to contribute to an appropriate reading of the 
international situation . The fact that in one year the absolute number of restrictive measures is 
higher than in the previous year does not nec essarily mean that the "world is more protectionist", 
because each measure has a different impact on trade and the economy in general, and this will 
also depend on the systemic importance of the implementing country . An economic stimulus package 
to support  local production and export performance in a large country is not the same as the 
temporary increase in an import tariff for a specific product in a relatively small country.  
4.24.  On the other hand, it has been observed that many of the measures incorporated b y the WTO 
Secretariat are updates of measures established in previous periods, and each update is classified 
as an "independent" measure . For example, Argentina applies reference values to exports, updates 
for which (sometimes even involving the lowering o f values) are taken as independent and restrictive 
measures . In the latest report for October  2020-May 2021, of the 32 measures attributed to 
Argentina, almost half of them (13) correspond to updates of these values, and so it would be 
incorrect to say that Argentina "applied 32 restrictive measures".  
4.25.  Argentina hopes that these suggestions can be taken into account by the WTO Secretariat in 
future reports, in order to continue increasing their objectivity and transparency and to enable an 
appropriate rea ding of the international situation.  
5  ARGENTINA AND REGIONAL INTEGRATION  
5.1  MERCOSUR  
5.1.  The Southern Common Market (MERCOSUR) is a central strategic project within our country's 
foreign policy and an important platform for promoting its further international inte gration . Since 
the signing of the Treaty establishing MERCOSUR (1991 Treaty of Asunción), this regional integration 
agreement, which commemorated its 30th anniversary on 2 6 March  2021, has become the priority 
regional integration objective of Argentina's f oreign trade policy . At the same time, MERCOSUR is a 
key instrument for improving conditions of access for Argentine exports to other markets within and 
outside the region.  
5.2.  Argentina is playing an active role in the process of building MERCOSUR and its par ticipation in 
this regional integration project means that some of its trade policy decisions are defined at the 
MERCOSUR level . Specifically, trade issues concerned with Argentina's relations with other, 
non-MERCOSUR countries are covered by commitments u ndertaken at regional level.  
5.3.  To achieve the objectives of deepening integration and furthering the development of its 
peoples, MERCOSUR also has an active agenda on social and citizenship aspects of integration and 
matters of gender and trade, and organize s business, trade union and academic meetings and events 
on various aspects of the integration process.  
5.4.  There have been many developments since the last trade policy review in 2013.  
5.5.  In 2015, for example, progress was made in the intra -MERCOSUR programme on customs 
security in the supply chain of goods to agree on common procedures for more effective, expeditious 
and simple customs controls in order to move forward with the mutual recognition initiative . 
Similarly, progress has been made in updat ing the International Customs Transit Computerized 
System (SINTIA).  
5.6.  The Action Plan for Strengthening Trade and Economic Aspects of MERCOSUR was launched in 
2015, which identified market access conditions for which the treatment and courses of action were 
defined in 2017.  
5.7.  Also in 2015, MERCOSUR signed the Protocol of Accession of the Plurinational State of Bolivia 
to MERCOSUR, and although it is not yet a State Party, that country does participate in meetings 
and there is a space to proceed with the technic al work for its full integration into the regional 
process once the accession protocol enters into force.  WT/TPR/G/412  • Argentina  
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  5.8.  In 2017 MERCOSUR moved forward with the signature of agreements on matters such as the 
intra-MERCOSUR Investment Cooperation and Facilitation Protocol , which establishes the common 
legal conditions for facilitating and promoting reciprocal investment and attracting extra -regional 
investment, through transparent rules on the treatment of investments, exchange of information 
and cooperation among the part ies. 
5.9.  With regard to procedures for the drafting, revision and abrogation of MERCOSUR Technical 
Regulations, standards were adopted in 2017 to modernize and expedite their implementation and 
treatment . The General Framework for Trade Facilitation Initiative s in MERCOSUR was adopted in 
December  2019, as a means of furthering regulatory convergence and recognition of conformity 
assessment results between two or more States Parties, as well as other mechanisms for capacity 
building and technical cooperation on regulatory issues . Progress is also expected to be made, in 
the framework of the ad hoc group on regulatory issues, in the assessment of the MERCOSUR 
regulatory process, with a view to making it more modern, efficient and compatible with the need 
to improv e the bloc's competitiveness . Similarly, headway is being made in the development of a 
MERCOSUR regulation on front -of-package nutrition labelling of packaged foods in order to ensure 
clear and accessible information for the consumer, promote healthy eatin g and boost intra -zone 
trade in packaged foods.  
5.10.  MERCOSUR made significant progress on communication with the creation of the MERCOSUR 
Communication and Information Unit (UCIM) in 2017, as a tool for the dissemination of 
developments in the integration proc ess and its benefits for citizens of the region, by putting a great 
deal of information on the MERCOSUR website and on social media.  
5.11.  With regard to institutional matters, in 2017, it was decided to move forward with optimizing 
the institutional structure a nd streamlining the human and financial resources of MERCOSUR . Thus, 
in 2019, it was decided to streamline MERCOSUR's current institutional structure of technical and 
consultative forums, starting with the elimination of inactive bodies or those that had f ulfilled their 
objective and merging of others with thematic expertise overlap, in order to reduce bureaucracy and 
simplify the working procedures of MERCOSUR bodies and forums.  
5.12.  The signature of the MERCOSUR Public Procurement Protocol in December  2017 est ablishes a 
legal framework for business opportunities for companies and workers in the region, by expanding 
the list of public bodies' suppliers while at the same time seeking to reduce costs and create 
transparency in the government procurement system.  
5.13.  In 2018, the MERCOSUR Trade Commission, which is responsible for MERCOSUR trade policy 
issues, adopted a new regulation and took steps to computerize processes for dealing with tariff 
changes and tariff reduction requests for supply reasons, the exchange of classification opinions, 
among other things.  
5.14.  In 2019, the MERCOSUR Agreement for the Elimination of International Roaming Charges for 
End Users was signed, which is a tangible measure in the interest of the movement of States Parties' 
citizens within the r egion and a major step towards strengthening regional integration, particularly 
in terms of connectivity.  
5.15.  In December  2019, the MERCOSUR Agreement on Trade Facilitation was signed, which 
simplifies, harmonizes and automates international trade procedures t o make them faster and 
cheaper, and will help to increase trade within the bloc . In this regard, the signature of the 
MERCOSUR Agreement on Mutual Recognition of Authorized Economic Operators will allow 
companies accredited as such to have the same benefit s in all States Parties, with regard to the 
clearance and processing of goods and customs release channels for commercial operations.  
5.16.  The need for recognition of a State Party's geographical indications by the other States Parties, 
protecting them against fraud and misuse, led to the negotiation and signature of the MERCOSUR 
Agreement for the Mutual Protection of Geographical Indications in the Territories of States Parties, 
marking a major step forward in the integration process.  
5.17.  The subject of border popu lations, in all its dimensions, is a matter of importance on the 
MERCOSUR agenda, with the signature in December  2019 of the Agreement on Twin Border Towns, WT/TPR/G/412  • Argentina  
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  which seeks to bring about tangible benefits for people living and working in those places, in term s 
of economic opportunities and public health, education, culture and employment services.  
5.18.  On the matter of trade policy, MERCOSUR has been working since 2019 on the revision of the 
Common External Tariff, to which Argentina has contributed significant ele ments to devise, after 
more than 25 years since its adoption, an instrument aimed at boosting the productivity and 
competitiveness of the economies of the MERCOSUR countries, as well as furthering their integration 
into regional and global value chains.  
5.19.  In the digital sphere, progress has been made in the 2018 -20 Plan of Action for developing a 
MERCOSUR Digital Agenda, which seeks to modernize the integration process, in the face of the 
regional and global challenges posed by technological change . In this c ontext, in December  2019 
and, as the result of growing use of electronic transactions and the need to ensure the security of 
and confidence in digital documents for consumers and businesses, the MERCOSUR Agreement on 
Mutual Recognition of Digital Signature  Certificates was adopted . Subsequently, the negotiations of 
the MERCOSUR Agreement on E -Commerce were concluded in December  2020, which establishes a 
common legal framework to facilitate the development of e -commerce within the bloc.  
5.20.  The MERCOSUR Structural Convergence Fund (FOCEM) is one of the key instruments for 
making progress in the treatment of asymmetries . It was renewed in 2015 and, in 2018, the 
Framework Agreement on International Cooperation between MERCOSUR and the Financial Fund for 
the Development of the River Plate Basin (FONPLATA) was signed, which led to the signature of a 
trusteeship agreement for FOCEM financial resources and progress being made in financial and 
technical complementarity projects with the regional financial entity.  
5.21.  In April 2020, the FOCEM project on research, education and biotechnology for health was 
approved, in an effort to strengthen diagnostic capabilities for epidemiological control and to step 
up support for MERCOSUR public health systems in the fight agains t COVID -19. 
5.22.  With the unexpected outbreak of the COVID -19 pandemic in 2020, the Presidents of the 
MERCOSUR Member States adopted, on 1 8 March , a declaration that agreed on guidelines and joint 
actions to contain and mitigate the pandemic, which continue to be implemented . These include the 
exchange of trade measures adopted by the Member States to address the COVID -19 pandemic.  
5.23.  In December  2020, and in order for MERCOSUR to have a mechanism for the administration 
and control of import quotas within the bloc,  the MERCOSUR Import Quota Administration and 
Control System (SACIM) was created, which is currently at the IT platform regulation and 
development stage.  
5.24.  Progress is also being made in the modernization of the MERCOSUR Origin Regime, in terms 
of both its r egulatory aspects and the establishment of specific origin requirements . And the 
electronic certificate of origin (COD) has already been launched for use in intraregional trade.  
5.25.  MERCOSUR is also working on the harmonization of MERCOSUR Common Nomenclature 
(NCM), in accordance with the Recommendation of the Customs Cooperation Council that accepted 
the 7th edition of the Harmonized Commodity Description and Coding System, for its entry into force 
in January  2022. 
5.26.  The sugar industry ad hoc group resumed its w ork in 2020 and held a seminar on innovation 
and value added in the sugar industry in MERCOSUR in May 2021, in which research institutions and 
the sugar production sector participated and analysed the sector's main technological trends, as well 
as producti on potential to increase its competitiveness.  
5.27.  With regard to the automotive sector, progress has been made in recent years with the 
signature of bilateral agreements between States Parties, while work to adapt the sector to the 
customs union is moving forw ard, with a view to integrating it into regional and global value chains, 
taking into account new technologies and mobility at the regional and global level.  
5.28.  In the framework of the Montevideo Protocol on Trade in Services of MERCOSUR, in 
December  2020, th e 8th round of negotiations on specific commitments was launched to increase 
trade in services among States Parties.  WT/TPR/G/412  • Argentina  
- 30 - 
  5.29.  In March  2021, the MERCOSUR Citizenship Statute was adopted, which compiles the rights 
and benefits recognized in the bloc's current regula tions for nationals, citizens and residents of the 
member countries with regard to various core issues, including movement and residency, border 
integration, labour, education, social security, communications and consumer protection.  
5.30.  Procedures and technic al specifications for digital certificates of origin were adopted in the 
framework of LAIA, pursuant to ALADI/CR/Resolución 386 (of 4 November  2011). Argentina 
currently only exchanges digital certificates of origin with Brazil and Uruguay . It also exchang es 
legally valid digital certificates of origin, which to date coexist with paper format certificates, with 
Chile and Paraguay . In the first half of 2021, Argentina held talks with Colombia and Ecuador to 
resume technical meetings, which are intended to mo ve forward with the LAIA Digital Certificate of 
Origin in due course, in accordance with the statements made by those countries.  
5.2  Latin American Integration Association (LAIA) and extra -regional agreements  
5.31.  At the regional level, Argentina began negotiations with Mexico in 2016 to expand and 
strengthen Economic Complementation Agreement (ACE) No. 6 and, in 2016, they agreed to 
gradually increase the volume of annual bilateral tariff quotas for the automotive s ector under ACE 
No. 55 until 2022 . Moreover, Argentina initiated negotiations with Peru to expand and strengthen, 
at the bilateral level, ACE No. 58 (MERCOSUR -Peru) . In both cases, the negotiations also cover 
provisions on cross -border trade in services, i nvestment, government procurement, trade and the 
environment, small and medium -sized enterprises (SMEs), gender and other subjects.  
5.32.  In 2017, MERCOSUR and Colombia signed the partial scope agreement, ACE No. 72. Following 
its legal review, this additional p rotocol was notified to LAIA in December  2020. ACE No. 72 
maintained the market access conditions agreed under ACE No. 59, but also granted better tariff 
preferences for certain products and extended preferential treatment to some products that were 
not considered under ACE No. 59. 
5.33.  Meanwhile, on 2 November  2017, Argentina and Chile signed a trade agreement that expands 
existing disciplines under the MERCOSUR -Chile ACE No. 35 and incorporates new disciplines, such 
as government procurement, SMEs, labour, gender and trade, and trade and the environment . The 
agreement entered into force on 1 May 2019 and was incorporated into ACE No. 35 as the 61st 
Additional Protocol . The first meeting of the administrative commission under the 61st Additional 
Protocol was held on 2 0 August  2020. 
5.34.  The 18th regular meeting of the administrative commission of ACE No. 35 between MERCOSUR 
and Chile  was held in December  2020 As a result, the 65th Additional Protocol was signed, amending 
the regional value content of the formula of specific origin requirements for automotive sector trade 
between Argentina and Chile.  
5.35.  In accordance with the provisions o f the ACEs that Argentina, as a MERCOSUR State Party, 
has signed within the framework of LAIA, administrative commission meetings were held in 
connection with ACE No.  36 (MERCOSUR -Bolivia), ACE No.  59 (MERCOSUR -Colombia, Ecuador and 
Venezuela), ACE No.  72 (MERCOSUR -Colombia) and ACE No.  62 (MERCOSUR -Cuba) . In 
January  2013, ACE No. 68 (Argentina -Venezuela) entered into force.  
5.36.  During the period under review, Argentina also signed a series of additional protocols to ACE 
No. 14 (Argentina -Brazil), relating to t he extension and updating of the agreement on the 
automotive policy . Thus, the 44th Additional Protocol entered into force on 2 6 May 2020. With regard 
to ACE No. 13 (Argentina -Paraguay), the 2nd Additional Protocol to the agreement on the automotive 
policy  entered into force on 1 April 2020. ACE No. 57 (Argentina -Uruguay) is in force and has not 
been amended.  
5.3  Agreements for the reciprocal promotion and protection of investments  
5.37.  Argentina is currently party to 48 agreements for the reciprocal promotion and p rotection of 
investments (ARPPIs) . It is also party to the Washington Convention on the settlement of investment 
disputes between States and nationals of other States and to the New York Convention on the 
Recognition and Enforcement of Foreign Arbitral Awa rds. WT/TPR/G/412  • Argentina  
- 31 - 
  5.38.  In 2017, Argentina signed a trade agreement with Chile, which has a chapter on investments 
and entered into force in 2019, replacing the ARPPI of 1991.  
5.39.  In addition, between 2016 and 2018, Argentina negotiated and signed three ARPPIs that are 
currently  before Congress for legislative approval : with Qatar (2016), the United Arab Emirates 
(2018) and Japan (2018).  
5.4  Extra -regional negotiations  
5.40.  During the period under consideration, Argentina, as a MERCOSUR State Party, has held talks 
and negotiations with other countries to strengthen trade relations.  
5.41.  In 2019, Argentina, as a MERCOSUR State Party, concluded the agreements in principle 
between MERCOSUR and the European Union and the European Free Trade Association (EFTA) . The 
legal review o f these agreements is well under way.  
5.42.  Since 2018, Argentina, as a MERCOSUR State Party, has participated in negotiations with 
Canada, the Republic of Korea, Lebanon and Singapore to reach free trade agreements, and with 
India and Israel to expand and stren gthen existing agreements.  
5.43.  Moreover, as a MERCOSUR State Party, it maintains scenarios and mechanisms for dialogue 
with Indonesia, Viet Nam, Japan and the Eurasian Economic Union.  
5.44.  Argentina, as a MERCOSUR State Party, participated in the 1st meeting of the  Joint 
Administration Committee of the MERCOSUR -Southern African Customs Union (SACU) Agreement 
held in May 2017, at which the functioning of the Agreement signed in December  2008 was 
evaluated.  
5.45.  In turn, Argentina participated in the 1st meeting of the Joi nt Committee of the agreement 
between MERCOSUR and Egypt in December  2017, at which the progress of the agreement signed 
in August  2010 was analysed.  
5.46.  Argentina, as a MERCOSUR State Party, participated in the 2nd meeting of the Joint 
Committee of the agreem ent between MERCOSUR and Israel in November  2018, at which stock was 
taken of the functioning of that instrument, signed in December  2007. 
5.5  Global System of Trade Preferences (GSTP)  
5.47.  Argentina is a member, through MERCOSUR, of the Global System of Trade Pref erences 
Among Developing Countries (GSTP), an agreement among 43 developing countries to promote 
South -South trade . Under the GSTP, pursuant to the outcome of the first round of negotiations 
(which entered into force on 1 9 April 1989 and is the only one cu rrently in force), MERCOSUR grants 
preferences to around 1 % of the tariff universe, with a level of preferences ranging from 10 % to 
100%. 
5.48.  It should also be noted that Argentina approved the Final Act of the GSTP incorporating the 
outcome of the third round  of negotiations (the São Paulo Round), which will grant preferences of 
20% to around 70 % of the tariff universe with tariffs above 0 %. However, the agreement must be 
ratified by, at least, four GSTP member countries in order to enter into force . As of June 2021, India, 
Malaysia and Cuba had ratified it . In the case of MERCOSUR, which acts as a single member in the 
system, Brazil and Paraguay still have to ratify it before it can be ratified by the bloc.  
6  FACILITATING, SIMPLIFYING AND COMPUTERIZING CUSTOMS P ROCEDURES AND 
FORMALITIES  
6.1.  Argentina is making notable progress in simplifying and computerizing customs procedures . 
The Directorate -General of Customs (DGA), the body responsible for customs procedures and part 
of the Federal Public Revenue Administration (AFIP), has followed a set of general working 
guidelines, the objectives of which are based on the requests and needs of the customs service itself, 
as well as those of citizens and other government agencies.  WT/TPR/G/412  • Argentina  
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  6.2.  These guidelines have been developed in accorda nce with the directives of the Framework of 
Standards to Secure and Facilitate Global Trade (SAFE) of the World Customs Organization (WCO), 
by virtue of which the DGA is committed to streamlining and expediting foreign trade operations, 
without compromisin g the effectiveness of controls and tracking of goods traded internationally, and 
to optimizing customs procedures.  
6.3.  The results are linked to producing specific and important changes in the customs service on 
its path to modernization, thus optimizing the provision of services for citizens and, thereby, to 
facilitating and simplifying foreign trade as a whole . The main actions related to simplifying and 
digitizing customs processes are outlined below:  
For external users : Computerized System of Customs Proce dures (SITA):  
 
• 74 digital procedures in place.  
• 34 new procedures created between January  2020 and May 2021. 
• 78% increase in the digital procedures catalogue.  
• 60% increase in the number of submissions between January and 
May 2021 compared to the same period in 2020.  
 
For the customs service : Electronic Document Management System (GDE):  
 
• 30 new procedures created between January  2020 and May 2021. 
• The SITA proce dure (generated by the external user) is systematically linked to the 
GDE procedure (managed internally), ensuring the digital traceability of the whole 
circuit of the officially approved destination alert (ADO) procedure.  
 
6.4.  The following graph shows how us e of SITA has evolved, particularly as a result of the 
COVID -19 pandemic from March  2020. 
SITA procedures filed by citizens  
 
* Estimated value as of December  2021. 
Source:  AFIP 
0
53
10,667
30,228
28,221
41,136
65,94738
160
36,241
74,384
80,500
110,127
160,000
020,00040,00060,00080,000100,000120,000140,000160,000180,000
2015 2016 2017 2018 2019 2020 2021*January-May
January-DecemberWT/TPR/G/412  • Argentina  
- 33 - 
  (1) Optimizing interactions between Customs and cross -border regulato ry authorities:  
6.5.  A number of information -sharing procedures have been implemented, which have simplified 
and expedited foreign trade operations . For example:  
• Ministry of Security - Directorate for the Registration and Control of Chemical Precursors 
(operati ons pursuant to Decree No. 593/2019)  
• Ministry of Production Development - National Directorate of Industrial Policy Management 
(operations pursuant to Resolution No. 256/2000)  
• Ministry of Production and the Environment of the Province of Tierra del Fuego, Antarctica 
and the South Atlantic Islands (customs operations linked to the establishment of the 
Special Customs Area regulated by Law No. 19.640).  
• Ministry of Agriculture, Livestock and Fisheries (operations pursuant to Resolutions 
Nos. 3/2018 and 12/2018).  
(2) Institutional communication - Improvements in external communications:  
• New developments, the implementation of digital procedures and new ser vices or 
applications were communicated to citizens in an effective and timely manner.  
• The information available to citizens on the agency's website was updated and 
reorganized, for better and easier access.  
7  CONCLUSIONS AND OUTLOOK  
7.1.  The international conte xt in the wake of the COVID -19 pandemic undoubtedly poses a 
formidable challenge . In this regard, one of the government's most important goals is to be able to 
consolidate growth with social inclusion, setting it on a uninterrupted path in the medium term.  
7.2.  To this end, the actions of the Government of Argentina seek to strengthen an increasingly 
inclusive, productively dynamic economy, that will ensure job creation and income stability, and is 
built on the basis of dialogue with and consensus among all the sectors involved.  
7.3.  The pillars on which this goal is based are, inter alia, economic recovery ; fiscal sustainability 
as a key tool for macroeconomic stability, making clear the priorities for how national resources are 
invested ; debt sustainability as a nat ional policy, in order to achieve the targets of growth with social 
inclusion ; an industrial policy with a more inclusive and federal vision, aimed at increasing levels of 
innovation, creativity and productivity ; and developing a sovereign economy with fed eral equality.  
7.4.  In pursuit of Argentina's economic and social development, the growth of exports will play a 
central role, as it is one of the necessary conditions for sustaining economic growth . In this vein, 
Argentina attaches particular importance to the  multilateral trading system, with the WTO at its 
centre . Argentina considers the Organization to be an indispensable tool, providing stability and 
predictability to the system, and will continue to work constructively within it to address new 
challenges a nd also resolve long -standing development issues pending from the Doha Round, an 
aspect that Argentina considers essential to reducing development gaps and to creating a level 
playing field in international trade.  
_______________  
 
 
  WT/TPR/G/412  • Argentina  
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  ANNEX 1 
Trade measures  related to COVID -19 
Measure  Regulation  Status  
Removal of the non -automatic 
import licensing requirement for 
certain COVID -19-related health 
products.  Undersecretariat for Trade Policy and 
Management Provision No. 5/2020 
(Official Journal 18/3/2020).  In force since 19/3/2020  
Implementation of export permits 
issued by the Ministry of Production 
Development, in consultation with 
the Ministry of Health, fo r oxygen 
therapy apparatus.  Decree No. 301/2020 (Official Journal of 
20/3/2020).  
Repealed by Decree No. 625/2020 
(Official Journal 30/7/2020).  
Ministry of Production Development 
Resolution No. 140/2020 (Official Journal 
7/4/2020).  
Ministry of Production De velopment 
Resolution No. 367/2020 (Official Journal 
27/07/2020).  Came into force on 
20/3/2020.  
Lifted on 30/7/2020.  
Temporary suspension of 
anti-dumping measures on imports 
of hypodermic syringes of plastic, 
disposable, sterile, from China.  Ministry of Production Development 
Resolution No. 114/2020 (Official Journal 
21/3/2020).  
 In force since 21/3/2020 
and for the duration of the 
health emergency 
established by Law 
No. 27.541, extended by 
Decree No. 260/2020 and 
by Decree No. 167/2021.  
Temp orary suspension of 
anti-dumping measures on imports 
of sterile parenteral solutions 
containing sodium chloride or 
dextrose, in closed infusion 
systems, from Brazil and Mexico.  Ministry of Production Development 
Resolution No. 118/2020 (Official Journal 
24/03/2020).  In force since 24/3/2020 
and for the duration of the 
health emergency.  
Implementation of export permits 
for certain products related to 
COVID -19. Decree No. 317/2020 (Official Journal of 
28/3/2020).  
Ministry of Production Development 
Resolution No. 140/2020 (Official Journal 
7/4/2020).  
Ministry of Production Development 
Resolution No. 367/2020 (Official Journal 
27/07/2020).  
Decree No.  405/2020 (Official Journal of 
24/4/2020).  
Decree No. 617/2020 (Offi cial Journal of 
27/7/2020).  
Decree No. 625/2020 (Official Journal of 
30/7/2020).  
Decree No. 243/2021 (Official Journal of 
19/4/2021).  
Decree No. 286/2021 (Official Journal of 
30/4/2021).  In force since 28/3/2020 
and for the duration of the 
health emergency . 
Elimination of intra -zone import 
duties and the statistical tax for 
certain products related to 
COVID -19. Decree No. 333/2020 (Official Journal of 
2/4/2020).  
Decree No. 455/2020 (Official Journal of 
11/5/2020).  
Decree No. 745/2020 (Official Journal of 
14/9/2020).  In force since 3/4/2020 
and for the duration of the 
health emergency.  
Suspension, for the duration of the 
health emergency, of the obligation 
to submit a Sworn Declaration of 
Product Composition (DJCP), 
established under Resolution 
No. 404/2016 of the former 
Secretariat for Domestic Trade, for 
imports of certain textile sector 
products.  Secretariat of Domestic Trade Resolution 
No. 107/2020 (Official Journal of 
3/4/2020).  
Secretariat of Domestic Trade Resolution 
No. 149/2020 (Official  Journal of 
3/6/2020).  
Secretariat of Domestic Trade Resolution 
No. 420/2020 (Official Journal of 
30/9/2020).  
Secretariat of Domestic Trade Resolution 
No. 276/2021 (Official Journal of 
30/3/2021).  In force since 3/4/2020 
and for the duration of the 
health emergency.  WT/TPR/G/412  • Argentina  
- 35 - 
  Measure  Regulation  Status  
It is accepted, exceptionally, that 
proof-of-origin documents attached 
to goods to obtain tariff 
preferences under the agreements 
signed by Argentina within the 
framework of LAIA, as well as with 
Israel, SACU and Egypt, may be 
submitted to the customs authority 
after being sent to the importer 
electronically (as a pdf, image or 
other similar format), as it is not a 
requirement to submit them in the 
original format.  Circular No. 2/2020 (Official Journal of 
6/4/2020).  In force since 7/4/2020.  
Suspension for a period of 60 days 
(extendible) of all substantive 
procedures before the National 
Industrial Property Institute (INPI), 
including the suspension of certain 
deadlines.  INPI Resolution No.  34/2020 (Official 
Journal of 13/4/2020).  
INPI Resolut ion No.  37/2020 (Official 
Journal of 28/4/2020).  
INPI Resolution No.  42/2020 (Official 
Journal of 12/5/2020).  
INPI Resolution No.  47/2020 (Official 
Journal of 27/5/2020).  
INPI Resolution No.  51/2020 (Official 
Journal of 9/6/2020).  
INPI Resolution No.  69/20 20 (Official 
Journal of 9/6/2020).  
INPI Resolution No.  78/2020 (Official 
Journal of 21/7/2020).  
INPI Resolution No.  109/2020 (Official 
Journal of 5/8/2020).  
INPI Resolution No.  116/2020 (Official 
Journal of 19/8/2020).  
INPI Resolution No.  127/2020 (Officia l 
Journal of 1/9/2020).  
INPI Resolution No.  142/2020 (Official 
Journal of 2/9/2020).  
INPI Resolution No.  167/2020 (Official 
Journal of 4/10/2020).  
INPI Resolution No.  171/2020 (Official 
Journal of 7/10/2020).  
INPI Resolution No.  183/2020 (Official 
Journal of 1/11/2020).  Came into force on 
13/4/2020.  
Lifted on 29/11/2020.  
Suspension, for 60 days, of the 
collection of Value Added Tax 
(VAT), established by AFIP 
Resolution No. 2.937/2010, on 
imports of products included under 
Decree No. 333/2020.  AFIP General Resolution No.  4.696/2020 
(Official Journal of 15/4/2020).  Came into  force on 
15/4/2020.  
Lifted on 14/6/2020.  
Suspension of the effects of 
Resolution No. 319/1999 of the 
former Secretariat of Industry, 
Trade and Mining (SICyM) and 
Resolution No. 169/2018 of the 
former Secretariat of Trade, to 
ensure that security certific ates 
issued by the technical certification 
bodies remain valid for each of the 
household electrical appliances 
covered by those resolutions.  Secretariat of Domestic Trade Resolution 
No. 119/2020 (Official Journal of 
22/4/2020).  
Secretariat of Domestic Trad e Resolution 
No. 207/2020 (Official Journal of 
8/7/2020).  
Secretariat of Domestic Trade Resolution 
No. 252/2020 (Official Journal of 
31/8/2020).  
Secretariat of Domestic Trade Resolution 
No. 435/2020 (Official Journal of 
7/10/2020).  Came into force on 
22/4/ 2020.  
Lifted on 31/12/2020.  
Development, in collaboration with 
the member countries of the Forum 
for the Progress and Development 
of South America (PROSUR), of 
certain COVID -19-related health 
technologies.  https://www.argentina.gob.ar/noticias/b
oletin -prosur -covid-19 In force since 26/4/2020.  WT/TPR/G/412  • Argentina  
- 36 - 
  Measure  Regulation  Status  
Suspension of time limits for 
bonded import and export 
warehouses, while the measure 
provided for in Decree 
No. 298/2020 and amendments 
thereto (suspension of 
administ rative time limits) are in 
force.  AFIP Resolution No. 4726/2020 (Official 
Journal of 29/05/2020).  Came into force on 
30/5/2020.  
Lifted on 29/11/2020.  
Payment of export duties 
postponed for 60 days (extended 
twice) for those companies entered 
in the Regist er of Micro, Small and 
Medium -sized Enterprises 
(MSMEs - Law No. 24.467, 
amendments and supplements 
thereto) . The measure is requested 
through the submission of the 
"Exporter affidavit", within the 
terms of section II of Annex II of 
General Resolution No. 3.885 and 
amendments thereto.  AFIP Resolution No. 4728/2020 (Official 
Journal of 1/6/2020).  
AFIP Resolution No. 4787/2020 (Official 
Journal of 6/8/2020).  
AFIP Resolution No. 4826/2020 (Official 
Journal of 30/9/2020).  
AFIP Resolution No. 4843/2020 (Official 
Journal of 29/10/2020).  
AFIP Resolution No. 4862/2020 (Official 
Journal of 30/11/2020).  Came into force on 
8/6/2020.  
Lifted on 31/12/2020.  
The marketing of surgical masks 
and face masks is exempted from 
meeting the certification 
requirements for  medical 
equipment and personal protection 
articles established in Resolution 
No. 896/1999 of the former 
Secretariat of Industry, Trade and 
Mining and amendments thereto.  Secretariat of Domestic Trade Resolution 
No. 149/2020 (Official Journal of 
3/6/2020).  
Secretariat of Domestic Trade Resolution 
No. 420/2020 (Official Journal of 
30/9/2020).  In force since 3/6/2020 
and for the duration of the 
health emergency.  
Exemption, for a period of 60 days, 
from the payment of export duties 
on export operations for ce rtain 
leather goods.  Decree No. 549/2020 (Official Journal of 
23/6/2020).  
Decree No. 812/2020 (Official Journal of 
20/10/2020).  Came into force on 
24/6/2020.  
Lifted on 31/12/2020.  
Amendment of Resolution 
No. 12/2019 of the former 
Secretariat of Industry, for the 
purpose of extending the period for 
the entry into force of the 
requirement of the type -approval 
certificate for safety auto parts 
and/or fittings (C.H.A.S.) prior to 
the marketing of new safety auto 
parts and/or fittings intended for 
the replacement market.  Secretariat for Industry, the Knowledge 
Economy and Foreign Trade 
Management Resolution No. 90/2020 
(Official Journal of 23/6/2020).  
 In force since 24/6/2020.  
Extension of the deadline for the 
periodic verification of the 
regulated m easuring instruments, 
provided for in Article 2 of 
Resolution No. 73/2003 of the 
former Technical Coordination 
Secretariat (SCT), while the 
provisions of Decree No. 297/2020 
and amendments thereto are in 
force.  Secretariat of Domestic Trade Resolution 
No. 637/2020 (Official Journal of 
10/12/2020).  
 In force since 10/12/2020 
and while Decree 
No. 297/2020 and 
amendments thereto are 
in force.  
 
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