The Government made official the tariff reduction on cell phones and electronics: what changes are there

The national government has formalized the reduction of import tariffs for cell phones, a decision that will imply a deep change in the tax scheme applied to consumer technology in Argentina.

Through Decree 333/2025, published in the Official Gazette, Javier Milei's administration established a phased reduction of the tariff levied on imported devices, as well as a decrease in internal taxes for both foreign products and those manufactured in Tierra del Fuego.

Reduction by stages: from 16% to 0%

The first phase of the measure is already in effect and reduces the import tariff for cell phones from 16% to 8%. Starting January 15, 2026, this tariff will be completely eliminated. Meanwhile, a reduction of internal taxes from 19% to 9.5% will be applied to imported equipment, while they will be completely eliminated for items produced under the industrial promotion regime in Tierra del Fuego.

"The goal is for Argentinians to be able to buy cell phones at the same price as in neighboring countries, without needing to travel abroad," explained presidential spokesperson Manuel Adorni during the May 13 press conference at Casa Rosada.

A broad impact on the technology industry

In addition to cell phones, the tax reduction includes televisions, air conditioners, and video game consoles, whose import tariffs will decrease from 35% to 20%. The regulation will be in effect until December 31, 2038, and is part of a broader strategy by the Executive to reduce tax pressure, promote competition, and combat smuggling.

In the automotive sector, a similar policy had already been implemented, which according to the government allowed for a reduction in thefts and circulation of illegal auto parts. It is expected that the same effect will be replicated in the electronics segment by lowering incentives to resort to the informal market.

Tensions with the national industry

However, the measure was met with concern by some local manufacturers, who warn of a possible negative impact on employment and national production. In response, the government will maintain specific fiscal incentives for products manufactured in Tierra del Fuego, aiming to sustain regional competitiveness.

The Ministry of Economy keeps that "the growth of formal consumption will compensate for the eventual drop in revenue." Economists consulted, however, pointed out that the true effect will depend on the level of reactivation of the domestic market and the volume of imports caused.

The Executive's bet is clear: to energize the electronics market, align prices with international standards, and foster a more open and competitive ecosystem. The measure is already underway, and its evolution will be closely monitored by consumers, companies, and officials.