Argentina and US Sign Major Trade Deal to Slash Tariffs

The agreement boosts political alliance between President Milei and Trump administration.

Published on Feb. 6, 2026

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Argentina and the United States have agreed to a major trade deal that slashes hundreds of reciprocal tariffs between the two countries. The deal reflects the importance of Argentine President Javier Milei's ideological loyalty to former U.S. President Donald Trump, and comes after Trump provided a $20 billion credit line to Argentina last year to help stabilize its economy. The agreement will see Argentina scrap trade barriers on over 200 categories of U.S. goods, while the U.S. will eliminate tariffs on 1,675 Argentine products.

Why it matters

The trade deal is a significant political and economic win for Milei, who has gone to great lengths to align Argentina's foreign policy with the U.S. and Trump's agenda. It also reflects the Trump administration's efforts to reduce food prices for American consumers by increasing imports of Argentine beef and other products. However, the deal faces criticism from some U.S. lawmakers and industries that see it as favoring Argentina over domestic interests.

The details

Under the agreement, Argentina will eliminate tariffs on more than 200 categories of U.S. goods, including chemicals, machinery, and medical devices. Politically sensitive imports like vehicles, live cattle, and dairy products will enter Argentina under government quotas. In return, the U.S. will remove tariffs on 1,675 Argentine products, boosting the country's export revenue by over $1 billion. The deal also quadruples the amount of Argentine beef the U.S. will import at a lower tariff rate, to 100,000 tons per year.

  • The trade deal was signed on Thursday, February 6, 2026 in Washington, D.C.
  • Last year, in 2025, Trump provided a $20 billion credit line to Argentina to help stabilize its economy.

The players

Javier Milei

The radical libertarian president of Argentina who has closely aligned his country's foreign policy with the Trump administration.

Donald Trump

The former U.S. president who provided a $20 billion credit line to Argentina and has cultivated a close relationship with President Milei.

Pablo Quirno

The Argentine Foreign Minister who signed the trade deal with the U.S. in Washington.

Jamieson Greer

The U.S. Trade Representative who signed the trade deal with Argentina.

Elizabeth Warren

The top Democrat on the Senate Banking Committee who has appealed to the Treasury Secretary to end the $20 billion bailout of Argentina.

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What they’re saying

“Today Argentina sent a clear signal to the world. We are a reliable partner, open to trade and committed to clear rules, predictability and strategic cooperation.”

— Pablo Quirno, Argentine Foreign Minister (Social media)

“We must end the $20 billion bailout of Argentina that is costing American taxpayers.”

— Elizabeth Warren, U.S. Senator (Senate Banking Committee)

What’s next

The U.S. has promised to review its 50% tariffs on Argentine steel and aluminum imports as part of the deal.

The takeaway

This trade agreement represents a significant political and economic victory for President Milei, who has worked to align Argentina's foreign policy with the Trump administration. However, the deal faces criticism from some U.S. lawmakers and industries who see it as favoring Argentina over domestic interests.