Milei's Combative Style and Kicillof's Quiet Meeting Put Argentine Business on Edge

Milei's Combative Tone Raises Concerns

According to Ámbito, executives who attended both events noticed that 'the applause was lukewarm' in places where Milei used to be cheered. 'This is worrying,' they reflected, wondering how the government is perceived by the most affected sectors, such as small businesses or the deep suburbs.

The Council of the Americas meeting took place at the Hotel Alvear in Buenos Aires on August 20, 2026, gathering the country's top business leaders. The next day, at the Bolsa de Comercio de Rosario, the audience was mostly agribusiness executives—a sector that benefits from official policies but still suffers from export taxes.

Demands for Transition Policies

While agriculture, mining, and energy are growing at double-digit rates, industry, commerce, and construction—which represent more than a third of GDP and about 45% of formal employment—are facing serious difficulties. A manufacturing leader explained in the Alvear lobby that 'nobody is asking to bring back export quotas, but transition policies are needed.'

However, the executive branch dismisses these requests 'as if our recommendations were contaminated,' said a businessman who agrees with many of Milei's policies. They also criticized the contradiction between free-market principles and the RIGI (Large Investment Incentive Scheme), which grants tax and exchange-rate benefits to specific sectors.

The Agricultural Sector and Export Taxes

The agricultural sector, which lacks a specific regime, continues to pay export taxes. At the Rosario event, Governor Maximiliano Pullaro reminded that Santa Fe province contributes 46% of these taxes. The head of the exchange, Pablo Bortolato, noted that grain production could reach 250 million tons in a decade if export duties are eliminated and infrastructure improves. The 2025/2026 campaign was a record with 163 million tons.

Producers are holding back sales, hoping for a higher dollar, and fear the effects of the El Niño phenomenon (excessive rains) on the next harvest.

Consumption and the Informal Economy

Milei insists that consumption is at 'record' levels, but data shows a decline in supermarkets and an increase in traditional stores. An expert explained that many companies prefer to sell to 'super chinos' (small Chinese-run stores) because they pay in cash, and small businesses increasingly sell off the books at competitive prices.

Moreover, incomes of informal workers grew 59.5% in the last year (INDEC, data as of June), compared to only 30% for formal workers, with inflation at 33%. This reflects a rise in the underground economy, which threatens tax collection and the fiscal surplus.

Kicillof's Quiet Meeting and the 2027 Race

In parallel, Axel Kicillof held a meeting that flew under the radar. The president of the Council of the Americas, Susan Segal, organized a parallel agenda for its main sponsors, including a breakfast with Federico Sturzenegger and two talks: one with Santiago Caputo and another with the Buenos Aires governor.

According to La Nación, Kicillof arrived with his ministers Carlos Bianco and Augusto Costa, and spoke for about an hour before representatives of JP Morgan, Aeropuertos Argentina, Pan American Energy, Amazon, and Apple. His diagnosis was negative: he said the 'economic path is a failure' and that there is no productive development plan. The executives asked to continue the conversation in La Plata.

His inner circle says his presidential candidacy is advancing. If no other strong alternative from the Peronist party emerges by March, Kicillof could be the sole candidate. But Sergio Massa remains on the sidelines, though close aides say 'if he sees he has no chance, he won't run.' The Peronist internal dispute and the possible suspension of primary elections are key.

The 'Super Wednesday' and Legislative Agenda

The government plans a 'super Wednesday' on August 26, 2026 in the Chamber of Deputies, with initial approval for the reform of the BCRA charter, Fiscal Amnesty II, the treaty with Singapore, and adherence to the PCT. It also expects a visit from a USTR delegation led by Jeff Goettman to review trade commitments with the United States.

Meanwhile, business leaders are asking for 'concord and moderation' so that policies can last. 'The state cannot withdraw from everything as if the market were perfect,' commented an industrialist. The central concern: that the lack of dialogue and social fatigue could open the door to a 'nostalgia for the past' that puts everything achieved at risk.