Policy & Regulation

Argentina’s gas exports will struggle to weather tax storm

Argentina’s emergency taxes on exports of primary products are likely to make the country’s proposed gas exports to Chile more expensive Argentina’s emergency taxes on exports of primary products are likely to make the country’s proposed gas exports to Chile more expensive.
By Chris Noon 4 September 2018 0 32419
Argentinian pipeline infrastructure Pipeline infrastructure in Argentina. (TGN)

Argentina’s plan to introduce emergency taxes on exports could make the country’s gas exports to Chile less competitive because it will saddle producers with extra costs that may cause them to increase their prices. 

Argentina’s government announced the new fiscal plans on Monday. The country is seeking to balance its budget before it receives $50 billion in loans from the International Monetary Fund (IMF).

The taxes are aimed mainly at squeezing extra revenue from Argentina’s soy exports, but they could also apply to gas.

Finance Minister Nicolás Dujovne...