New opportunities in Argentina for European machinery exporters
Argentina’s government lowered the tariff to import machines and equipment that are not made in the country, including those for the sectors of agribusiness and gas & oil.
The Government expanded the list of capital goods for the agribusiness sector that are not manufactured in the country and will now enjoy a reduction of import duty from 14% to only 2%, while also reducing to 0% of the import tariff for non-new equipment (equipment which has been used already) for the oil and gas industry.
Among the sectors benefited by Decree 622 are the exporters of poultry equipment (cage systems, egg sorters and packers); the fruit equipment sector (fruit classifiers); the paper industry machinery manufacturers (dryers); and equipment for the textile industry (dyeing machines).
The manufacturers of specific equipment for the publishing, plastic, rubber and metallurgical industries will also benefit.
"This change will allow the national industry a reduction in the costs of importing machinery to produce. These are capital goods that are not produced in the country and are necessary to develop productive processes," the government stated.
In addition the Government authorized through Decree 629 the import of used capital goods for the oil industry without paying tariffs in the case of "most critical equipment", and with a tariff of 7% for complementary equipment, as defined in the Decree. The equipment is to be used primarily in the Vaca Muerta oil deposits, one of the largest shale reserves in the world.