The government has reached a framework for moving forward with an agreement with the United States. Business chambers are awaiting details But there are already doubts about the ramifications and the points that still need to be negotiated.
The industry is confident that the alignment is right and that the agreement identifies points that will allow it to offset China’s advances, especially on inputs.
the Nutritional They consider that the agreement is a series of concessions provided by Argentina to the United States that seeks to expand the access of products from that country to these lands, and that it provides an opportunity Extending quotas for beef, Known as Hilton feesAs a small compensation.
the Laboratories International organizations are eagerly awaiting details. They are confident that a great contribution from an agreement with the United States would be greater regulation of biosimilars and progress on patents. Among the arguments, they explain that Domestic innovation is restricted by patent regulation.
The national laboratories grouped in the Industrial Chamber of Argentine Pharmaceutical Laboratories (CILFA) are cautious and awaiting the final text. “Until that happens, it will be difficult to predict its effects on the sector.”They stress, though, that they support an agreement that promotes trade and investment “in terms of reciprocity in matters of health regulation of pharmaceutical products, which provides for Foundations for greater competition, access to medicines and balanced intellectual property“.
from industry They view the announcement with expectations and confidence that it will allow increased trade, investment and employment. “This agreement will allow Argentina to enhance its industrial development Joining the group of Western countries that respect the rules of international trade; and Avoid distortive actions resulting from government enterprises and industrial subsidies They from the Argentine Industrial Union (UIA) noted their presence in countries with non-market economies.
However, they are also waiting for more detail to measure sectoral impacts.
One of the influences that generate the greatest expectations is that which will occur on… Steel and aluminumincluded in Article 232 for the national security of the United States, Which generates a tariff of 50%.
The sector has also faced the challenge of imports from China for two years. According to data presented at the annual conference of ALACERO, the chamber that brings together production companies on the continent (excluding the United States), Crude steel production in the region is expected to decline by 2.5%, while rolled steel production will decline by 3.5%.
In parallel, they expect that Imports will increase by 2.4%, reaching 28 million tonsWhile exports will decrease by 11.5%. Imports of rolled products from China will grow by 21% to reach 13 million tons. Thus, it will represent 45.4% of the region’s imports.
The challenge in this area is focused on what Customs tariff Whether or not it will finally come into effect Quotas. In Argentina, the sector as a whole is confident that it has the capacity to supply more than 100,000 tons of steel products annually. Trust is being placed in achieving a tariff that makes the sector more competitive against other suppliers, even regional suppliers. One common estimate is that A tariff of up to 15% would give them sufficient competitiveness, Taking into account local costs and tax validity such as export right.
There are also doubts about whether the agreement This will depend on the product, or whether it will include steel and aluminum as a whole. If this is done by the product, others seeking to enter the US market should be included to gain some recovery to compensate for the decline in sales in the domestic market.
They also expect the negotiations to include steel derivatives that did not have a strong presence in the US market or whose shares were very restricted.
One hope they have is a section in which it states that the United States will cooperate with Argentina in “combatting non-market-oriented policies and practices by other countries.” In this regard, he emphasizes that today they face competition from inputs coming from China, which enjoy mutual subsidies.
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