With Javier Milei, the Argentine economy has undoubtedly entered a process of change. According to various business people, the president said he was accommodating to the macro and that the bus had to accommodate business people. The majority applauded. Among other things, they called for clear rules, lower inflation, legal certainty and free markets. The trust for this was placed in the libertarian government.
Two years after this business hope, the decline in inflation, the exit from the capital markets just announced by Economy Minister Luis Caputo and the planned tax and labor reforms promised by Milei are welcomed. However, there is something that has begun Applause for concern change.
The ones who scream to the sky They are not the same business people as always.nor the SMEs, which have lost competitiveness due to Argentine costs. The Argentine Industrial Union (UIA) marks a Bleeding monthly at workplaces, due to company closures or due to import effects. But even in this case it is not the UIA. the one who presents the complaint book.
In Argentina, which has opened the doors to competition, large companies and large entrepreneurs also feel affected. The real “cuckoo” is far away, but very close: China.
There are two examples worth describing. TO Free marketA yellow light went on for Argentina’s largest company, which in just a few years had shifted its leadership to the region.
Chinese platforms Shein and Temuwho sell products at low cost and with free or very cheap shipping are causing you trouble more than just a headache for Marcos Galperin.
In fact, the CEO of Mercado Libre a month ago Juan Martin de la Sernacalled for tightening regulations on Chinese platforms, which he accused of competing on unequal terms and hurting local SMEs. “The massive landing of cheap and low-quality Asian products threatens small and medium-sized businesses, which account for 90% of sales in Mercado Libre,” said De la Serna. Argentine SMEs They could never have imagined such support of the company founded by Galperin.
Imports of consumer goods reached the $1,194 milliona growth of 48.8% year-on-year and the highest historical value.
This is the income of more than 4,000 kinds of finished products for consumption, many of which are produced locally but which already exist They mainly come from China.
In a note published by this newspaper, journalist Juan Manuel Barca describes that the official import list includes items such as meat, ham, trout, milk, cheese, vegetables, fruits, bread, drinks, wines, hygiene products, bazaars, utensils, thermoses, clothing, shoes, household appliances and musical instruments.
Cigarettes, wigs, watches, umbrellas, stoves, pens, books and magazines, carpets, furniture, toys, non-industrial transport, medicines, cameras, boats and aircraft are also imported.
According to official data, imports totaled $64.6 billion in the first 10 months of the year and that of the end products $9.5 billionnot far from the almost $13 billion these are imported capital goods.
But there is another example of what is happening with the Chinese advance.
The holding company Techintled by Paolo Rocca, He is not very happy with the events in the south of Argentina.
In a recent post on social media, the governor of Río Negro said: Alberto Weretilneckdescribed that the port of San Antonio Este (SAE) received 10,000 tons of pipes which will promote the liquefied natural gas (LNG) project for the pipeline being built by the company Southern Energy SA (SESA).
“Every advance confirms something important: Río Negro is the key to Argentina’s energy future, with an active state that accompanies strategic investments and creates opportunities for our people,” said Weretilneck.
The tubes arrived on the ship Billion star175.53 meters long and 29.4 meters wide. Around 2,265 units of steel pipes of different diameters arrived, representing the first critical shipment for the construction of the gas pipeline envisaged for the project. The pipes Techint didn’t make them, they’re Chinese.
Southern Energy SA (SESA) is a company made up of a consortium of five major players in the energy sector: Pan-American Energy (PAE) with 30% stake, YPF with 25%, Pampa energy with 20%, Port Energy with 15% and Golar LNG with 10%.
The explanation seems simple on the part of the buyers. Chinese tubes they are cheaper than those made in Argentina.
As you can see, concern about China It’s not just Donald Trump or SMEs that need a high dollar to compete.
