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Brazil Reviews ArgentinaU.S. Trade Deal for Mercosur Compliance as Market Openings Begin

Brazil’s review puts regional rules in play as Argentina races to meet binding reform deadlines.

Overview

  • The agreement raises Argentina’s duty-free beef access to the U.S. to 100,000 tonnes a year, delivered in quarterly tranches, according to officials and farm groups.
  • Tariff treatment starts at entry into force with selected zero-duty lines, fixed 2% rates and administered quotas, alongside expedited customs and digital certification links between USDA and SENASA.
  • Argentina commits to regulatory overhauls including submitting the Patent Cooperation Treaty by April 30, 2026 and sending UPOV 1991 to Congress before end-2027, plus science-based sanitary and phytosanitary rules with outbreak zonalization.
  • Sector impacts diverge, with cattle and mining expected to gain while automotive, machinery and pharmaceuticals face greater import competition and the arrival of used equipment.
  • The U.S. has implemented elements by presidential order, while Argentina must secure congressional approval and manage Mercosur sensitivities highlighted by Brazil’s ongoing legal review.