Argentina’s proposed sovereignty bill has drawn U.S. concern over possible exposure for American firms because it would expand penalties tied to hydrocarbon activity in the Malvinas Islands, MercoPress reported.
MercoPress reported that U.S. Deputy Secretary of State Christopher Landau raised the matter in Buenos Aires on Thursday after meeting Foreign Minister Pablo Quirno. Landau said Washington was watching the measure’s possible effects on U.S. firms and respected Argentina’s legislative process. He said it was natural for governments to consider their companies’ interests.
The officials also discussed a U.S. effort to abolish the U.N. Decolonization Committee, where Argentina presents its sovereignty claim each year, MercoPress reported. Quirno said Argentina would continue advancing its claim in international forums and seek a peaceful negotiation with the United Kingdom.
MercoPress said Washington’s concern centered on possible sanctions reaching affiliates, shareholders, financiers and suppliers of companies involved in the activity, citing Clarín. Quirno argued that Argentina needs stronger tools and said the bill does not single out a company. He described its aim as shifting business investment toward mainland Argentina and away from licensed activity in the Malvinas Islands.
The Office of President Javier G. Milei said the sovereignty bill would repeal the 2011 regime under Law No. 26,659, which it described as ineffective. The proposal would impose tougher criminal penalties on people conducting business the government considers illegitimate in Argentine territory, as well as their shareholders and suppliers.
MercoPress reported no movement on the bill in the Chamber of Deputies. The chamber’s official calendar lists another joint committee session for Oct. 27, but no vote is listed.
