The National Government eliminates export taxes on oils and lubricants to boost exports

The National Government eliminates export taxes on oils and lubricants to boost exports
Comment on X by Minister Toto Caputo
porEditorial Team
Argentina

Javier Milei continues to restore freedoms to various productive sectors and reduce export taxes

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The National Government has formalized the complete elimination of export duties for oils, lubricating greases, and derivatives from the hydrocarbon sector, a measure aimed at accelerating external sales, improving competitiveness, and easing the tax burden that the sector had accumulated since 2020.

The decision was formalized in Decree 811/2025, published in the Official Gazette with the signatures of President Javier Milei, Chief of Cabinet Manuel Adorni, and Minister of Economy Luis Caputo. Starting this Tuesday, the 8% rate that applied to these products is completely eliminated.

Comunicado Oficial de la Secretaría de Energía
Comunicado Oficial de la Secretaría de Energía

A measure aligned with the economic deregulation strategy

The elimination of export duties is part of the official program to lower the tax burden, enable greater operational freedom for the private sector, and reduce distortions that hindered international competitiveness.

According to the Energy Secretariat, the measure will allow a 70% increase in export volume by 2028, boosting both production and the installed capacity of companies linked to the oil chain.

Comentario en X del Ministro Toto Caputo
Comentario en X del Ministro Toto Caputo

The official statement summarizes the economic logic behind the decree: "We continue to lower the tax burden to give more freedom to the private sector. We have eliminated export duties on oils and lubricating greases, which will allow a 70% increase in export volume by 2028. This measure improves the sector's competitiveness and promotes employment."

By eliminating a tax that artificially increased export costs, the Government is betting that the sector will regain margin, reduce costs, gain predictability, and be able to compete on equal terms with other markets.

Furthermore, a more productive sector directly leads to job creation, which will continue to reduce poverty and provide real opportunities for social mobility. 

In macroeconomic terms, the decision aims to:

  • Stimulate investments in processing plants and downstream companies.
  • Increase production in a segment that was already expanding.
  • Improve foreign currency inflows in line with export growth.
  • Strengthen industrial activity associated with the energy sector.

Sturzenegger explicó por qué las cosas valen son caras en Argentina
Sturzenegger explicó por qué las cosas valen son caras en Argentina

Although the State is giving up tax revenue in the short term, the Government believes that lowering taxes unlocks growth, strengthens private activity, and ultimately generates a positive effect on public accounts in the medium term.

A shift from the scheme applied since 2020

The 8% export duties had been reinstated during the Kirchner administration, which used the tax burden on exports as a revenue mechanism and systematically dedicated itself to killing any possibility of growth.

The Milei administration, on the other hand, keeps an opposite approach: lower taxes, more economic freedom, and a State that stops penalizing production.

With this decree, Argentina takes another step toward full deregulation of the energy sector, considered strategic for generating foreign currency, industrial growth, and the expansion of private employment.

Javier Milei y Federico Sturzenegger.
Javier Milei y Federico Sturzenegger.


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