Milei's government will lower export duties for more than 4,000 industrial products

The Government of Javier Milei will reduce export duties on more than 4000 industrial products by decree. The text has already been prepared by the team of the Minister of Economy, Luis "Toto" Caputo, and is currently under review at the Secretariat of Legal and Technical Affairs, headed by María Ibarzabal.

It is expected to be published in the Official Gazette in the coming days. "Only a few technical details remain to be worked out," they comment from the government.

From the libertarian administration, they indicate that the initiative will reach sectors such as the chemical, pharmaceutical, textile, and agricultural machinery industries, among others. According to their explanation, it will impact about 3500 companies responsible for 88% of manufactured exports.

It should be remembered that in January, Milei's Government had already arranged a temporary reduction of duties for agriculture, accompanied by the elimination of this tax for regional economies: the soybean rate dropped from 33% to 26% and the wheat rate from 12% to 9.5%.

Additionally, in March, the Executive reduced import tariffs for certain textile products: duties on clothing and footwear dropped from 35% to 20%; those applied to fabrics were reduced from 26% to 18%; and those on yarns remained at 12%, 14%, and 16%, depending on the case.

Similarly, on April 16, a deregulation measure was advanced to facilitate the import of used capital goods. The requirement for the Certificate of Import of Used Goods (CIBU) was eliminated, allowing the entry into the country of used machinery and equipment without that procedure.

Additionally, restrictions that prevented the import of equipment related to oil and gas extraction, as well as industrial cutters, among other sectors, were lifted.

Meanwhile, in October 2024, the Ministry of Economy applied a reduction in import tariffs for a total of 89 products. In this context, duties on tires decreased from 35% to 16%, while motorcycles went from a 35% tax to 20%. Duties on small appliances, coffee, sunscreens, and gas cylinders, among other goods, were also reduced.

The Government of Javier Milei seeks to complement these reductions in duties and tariffs with a broader labor reform. The goal is to advance conversations with moderate sectors of the General Confederation of Labor (CGT) before the midterm legislative elections.

In parallel, work is being done on the flexibility of agreements between private parties, and it is not ruled out that the new project will include the elimination of the obligation to homologate collective bargaining agreements before the State, within the framework of direct negotiations between companies and workers.