Argentine deputy proposes revoking economic agreements with Chile

Argentine Deputy Guillermo Michel has introduced a bill requesting the National Executive Power to denounce two bilateral economic agreements with Chile. The proposal aims to revoke tax and investment benefits for Chilean companies operating in Argentina in response to the planned reactivation of a commercial shipping route between Punta Arenas and the Falkland Islands.

The legislative initiative targets the Treaty on the Promotion and Reciprocal Protection of Investments (Law 24.342) and the Convention for the Elimination of Double Taxation (Law 27.274). Michel argues that the upcoming November voyage of the Chilean-flagged vessel Danstar, owned by Easter Island Naviera, demonstrates a lack of solidarity from Chile regarding Argentina's sovereignty claims over the islands.

While the bill seeks to remove economic advantages—such as limits on withholdings for dividends, interest, and royalties—Michel clarified that the measure is intended to protect territorial sovereignty and natural resources rather than to sever diplomatic relations or dialogue with Chile.