https://www.newsweek.com/trumps-argentina-bailout-sparks-fury-among-farmers-republicans-10809559President Donald Trump’s offer to prop up Argentina’s economy—and the political future of embattled President Javier Milei—has drawn the ire of farmers and lawmakers, who consider this an ill-judged use of American resources.Milei, who has led the country since December 2023, is now facing off against several threats to his free market movement, including the recent electoral successes of his Peronist rivals and a depletion of his country’s foreign reserves.Amid this and Milei’s declining prospects in the upcoming midterm elections, President Trump said he would help his counterpart secure “all of the things that you need to make Argentina great again.”Treasury Secretary Scott Bessent, meanwhile, offered a $20 billion swap line and other forms of assistance to help stabilize the Argentine peso, and said the U.S. remained “prepared to do what is necessary” to sustain the “important strides” taken by Milei.Newsweek contacted the White House via email for comment.Why It MattersFollowing years of inflationary struggles, Milei’s presidency and the economic turnaround it inaugurated has been hailed by some—including Trump and his allies—as a model of how slashing federal spending and bureaucracy can steady a faltering economy.
While experts are split on whether a lifeline of this sort could address Argentina’s structural weaknesses, many believe this might undercut the perceived success of his free market reforms.To some the offer of such a significant financial backstop also conflicts with the isolationist, America-First ideology at the center of Trump’s political program, especially at a time when U.S. lawmakers have already been battling over budgetary issues and spending cuts.What To KnowMuch of the resistance to Trump’s offer has come from farmers—particularly soybean croppers—who view Argentina as a competitor and believe the U.S. should prioritize U.S. agriculture before extending lifelines to foreign nations.“The frustration is overwhelming,” American Soybean Association President Caleb Ragland posted to X. “U.S. soybean prices are falling, harvest is underway, and farmers read headlines not about securing a trade agreement with China, but that the U.S. is extending $20 billion in economic support to Argentina.”Ragland added that, following Trump’s offer, Argentina had lowered export restrictions and sent “20 shiploads of Argentine soybeans to China in just two days.”Some Congressional Republicans from farming states have been similarly upset by the proposal.
“Why would USA help bail out Argentina while they take American soybean producers’ biggest market???” wrote Iowa Senator Chuck Grassley. “We should use leverage at every turn to help hurting farm economy. Family farmers should be top of mind in negotiations by representatives of USA.”North Dakota Representative Julie Fedorchak, quoted in Axios, said: "It is very unfortunate that as the U.S. is helping Argentina stabilize its economy they would undermine American farmers and weaken President Trump's negotiations with China.”"This is a bitter pill for North Dakota soybean farmers to swallow,” she added.Anger grew after photos of text messages sent to Treasury Secretary Bessent revealed that Argentina “sold a bunch of soybeans to China, at a time when we would normally be selling to China.”“Soy prices are dropping further because of it,” the message, apparently sent by Agriculture Secretary Brooke Rollins, read. “This gives China more leverage on us.”“Farmers VERY upset abt Argentina selling soybeans to China right after USA bail out,” wrote Senator Grassley. “Still ZERO USA soybeans sold to China. Meanwhile China is still hitting USA w 20% retaliatory tariff NEED CHINA TRADE DEAL NOW farmers need markets 2boost farm economy.”
While some Trump allies outside of the administration backed the move—former campaign adviser Barry Bennett telling Politico that supporting Argentina is “huge American First project” and an effective way of blunting China’s influence in South America—opposition is also growing in MAGA circles online.“I don't see how bailing out Argentina is in any way America First,” wrote one redditor on the r/AskTrumpSupporters forum. “The argument that it ‘counters China’, and that somehow makes it America First, isn't compelling.”“Trump has made much about putting America First, so, independent of the merits or demerits of the financial assistance, to his base it appears inconsistent with the ideology he’s set forth,” said Ian Vasquez, vice president for International Studies at the Cato Institute.Steve Kamin, senior fellow at the American Enterprise Institute (AEI), similarly told Newsweek that this could be seen as conflicting with the overarching isolationist approach championed by Trump, “in the sense that the swap line could be construed as helping the U.S. by helping other countries, an idea that America First seems to reject.”However, he added that, if support for Milei was part of a “prudent, systematic, thoughtful, and apolitical program” to promote America’s geopolitical and economic aims, “it would be a plus for the U.S., regardless of whether it failed some MAGA litmus test.”
What People Are SayingDemocratic Senator Elizabeth Warren last week wrote: “I understand why President Milei, careening from crisis to crisis and unable to effectively manage the Argentinian economy, wants the American people to finance a bailout. I do not understand why it is in the interest of the United States to provide one, nor how one would be designed to ensure the best outcomes for the Argentinian people, instead of hedge fund investors.”AEI’s Steve Kamin told Newsweek: “Milei's stabilization program depends on external resources in order to stabilize the peso and reduce inflation. As his government has already run through most of its foreign exchange reserves, an additional infusion of cash could be helpful without jeopardizing the free-market nature of his reforms.”Ian Vasquez of the Cato Institute told Newsweek: “A much better approach, one that would not cost the United States anything, would be to express support for dollarizing the Argentine economy, a move that Milei promised during his campaign and that he still promises he will fulfil. Announcing dollarization now would provide a confidence boost to the Argentine economy and provide a stabilizing effect. Had Argentina dollarized earlier, it would not be experiencing its current instability.”What Happens Next?Trump is set to meet with Milei in mid-October to finalize the details of the proposed financial aid package, Reuters reports, but tensions over the country’s soybean exports to China threaten to complicate the deal.
>>1444481>NOOOOOOOOOOO, YOU CAN'T GIVE NONCITIZENS FREE HEALTH CARE SHUT DOWN THE GOVERNMENT>yes master trump, we will fund argentinian universal health care...shills will ignore this thread
Argentina is a shithole because the rulers did not obey the law. Just like the future shithole that the United States is becoming because Trump does not obey the law
>>1444487>NOOO YOU CAN"T GIVE HEALTHCARE TO ILLEGALS>criticizes foreign loan that gives leverage to the USYou are the shill, Ranjeet>>1444488Sounds like you're anally obliterated. Seek help for your Trump Derangement Syndrome
>>1444496your fetish has nothing to do with this shill
>>1444496>>criticizes foreign loan that gives leverage to the USYou've failed your AMERICA FIRST examReport to the nearest ICE camp for deportation, lib
>>1444496Oh now you retards count about the US having "leverage" after Trump fucking detonated all the soft power and "leverage" we had.There is literally negative reasons to bail out argentina. Chief among them being as long as their soybean industry is going on we will never be able to restore our own soybean exports.
>>1444505>all the soft power and "leverage"You mean gay muppets in the middle east and tranny operas?
my, but one wonders how 1444503 can find time to post in /news/ whilst being so busy being a projectionist at that Bollywood cinema in Calcutta
>>1444507Soft power doesn't stop being soft power because you think some of it's gay.
>>1444503imitating me again? many thanks
>>1444481didnt argentina have like 95% inflation and the president bought bitcoin? its a meme 3rd world shithole, we will NEVER get the money back. ever.
>Libertarians jerking off about how lolbertarianism works. Look at Argentina!>Needs a $20 billion bailout from the US to operate>Had to get another $20 billion bailout from the IMF earlier in the year Kek. But libertarianism has never been actually tried!
>>1444624Weren't they already fuckef before any sort of bailout?
>>1444528Your thinking of to El Salvador and their doing much better now. They just started killing gang members in the street and have banned all gay shit from schools. They're still 30 years behind the rest of the world though
>retards blame libertarianism instead of checking the early life section of Javier Milei's wikipedia page
>>1444637Lmao El Salvador is effectively gang controlled. They just started locking up rivals and killing anyone who complains.
>>1444637Bukele worked with gangs to consolidate power before sending them to death camps so they wouldn’t be able to tell anyone
>>1444528It looks like here in reality, Argentina currently has the lowest inflation in 5 years https://www.reuters.com/world/americas/argentina-inflation-cools-may-lowest-over-five-years-2025-06-12/
>>1444641It has lowered inflation on paper but in practice they devalued their own currency so badly no one can afford shit anyway.
>>1444642> It's not inflated but it's devalued What are these mental gymnastics you are performing?
>>1444643It's a bit of a complex breakdown. This explains it better than I can>https://www.counterfire.org/article/argentina-the-chainsaw-breaks-down/TLDR: The current poverty rate in Argentina is likely FAR higher than reported because the old metric for "poverty" hasn't been updated to reflect the current worth of the peso. Milei's admin has been cutting public aid like soup kitchens, resulting in already poor families being in worse economic straits than before, and there's an increasingly massive wealth gap being aided by Milei being increasingly corrupt. All the money they've been making back via Milei's policies has been slowly leaking out of the country and their reserves are running out, hence why they've already gone about 40 billion in debt and are STILL asking for another 20 billion from the US, and their lenders for the first 40 billion have pretty much admitted they don't expect to ever be repaid. Milei is also getting absolutely butchered in the polls now because of all of this and a string of controversies like that time he tried to push a memecoin.
>>1444646>Milei's admin has been cutting public aid like soup kitchens, resulting in already poor families being in worse economic straits than before, and there's an increasingly massive wealth gap being aided by Milei being increasingly corrupt.>Milei is also getting absolutely butchered in the polls now because of all of this and a string of controversies like that time he tried to push a memecoin.Oh, so that’s why Trump wants to bail him out.
>>1444646>Counterfire takes a far-left political stance and provides analysis and commentary from a progressive socialist perspective.https://mediabiasfactcheck.com/counterfire-bias/
>>1444662The objective facts at hand aren't wrong though:>Poverty under Milei is rising>Milei keeps getting caught doing incredibly corrupt shit>The peso's value is plummeting and causing the savings of most of the country to be worth nothing>Milei has added 40 billion in debt that is near impossible for the country to pay off>Milei is rapidly losing traction in the polls because of all of the aboveIronically, I've seen the exact same issues pointed out by libertarians for why Milei is basically a fake libertarian who stopped abiding by the ideology the moment he got into office.
>>1444662>https://x.com/saifedean/status/1958140630858670501Here's effectively the exact same issues pointed out by a libertarian. Both sides agree Milei is failing hard.
>>1444663Oh look a leftist who doesn't understand basic economics and/or monetary theory>>The peso's value is plummetingIntentional and good. Peso was overvalued, so they had to devalue so they could peg on the dollar thus ending capital flight. >>Milei has added 40 billion in debtHe reduced national debt by $40B, actually. The deal with the US is a swap-line not a loan. We get 40B worth of pesos, they get 40B worth of dollars. Its a liquidity thing. >>Milei is rapidly losing traction in the polls because of all of the aboveOf course, there are always more people who take than there are people who give.
>>1444665I dont give a shit what libertarians and progressives think. They are country killers.
>>1444496Cope
>>1444667>The peso is deflating>The dollar is rising in value >Lets swap a rising asset for a devaluing one>This is good fiscal policylol
>>1444481Not our economy, not our problem. We need that money here in America to help our own citizens and tackle our own economic problems.
>>1444667>Of course, there are always more people who take than there are people who give.I love how you seem to be under the impression fucking over most of the country is good economic policy lmao.>He reduced national debt by $40B, actually.Also no; the country is in 40 billion in debt. And they'll be in debt to the US if we give them money too; you don't get money for nothing and the peso is rapidly becoming worthless. Both links point out directly that Milei has increased their debt massively through loans, and yes, they do need to pay those loans back.
>>1444678>weLOL
>>1444687>I love how you seem to be under the impression fucking over most of the country is good economic policy lmao.The economic policy of the socialists and redistributionists has been fucking over the country for the last 20 years. >Also noAlso yes. He's dropped total debt by 40B. Objective fact. Not open to dispute. >And they'll be in debt to the US if we give them money toNope. Its a swop.
>>1444699>The economic policy of the socialists and redistributionists has been fucking over the country for the last 20 years.Yeah and now it's Milei and his fake-libertarianisms turn. Good luck explaining to their rapidly increasing poverty members how taking away what little services they do have is a good thing.>Objective fact. Not open to dispute.No it isn't. Objective fact is actually the opposite.>https://www.statista.com/statistics/1391782/national-debt-argentina/Argentina's debt has only gone further up under Milei.>Nope. Its a swop.Swaps require repayment.
>>1444706>Good luck explaining to their rapidly increasing poverty members how taking away what little services they do have is a good thingNot spending money you dont have is a good thing. >Swaps require repayment.You dont know what a swop is.
>>1444708>Not spending money you dont have is a good thing.So instead for the populace to spend money they ACTUALLY don't have. Good luck explaining to the poor family why them now not being able to afford food is actually good for the economy. There's a reason Milei and his party are losing in the polls.
>>1444714>Good luck explaining to the poor family why them now not being able to afford food is actually good for the economy.Not spending money you dont have is objectively good for the economy. >There's a reason Milei and his party are losing in the polls.Yes, Argentina has more people who take than people who produce.
>>1444717>uh, mass poverty for everyone but the top of government is good actuallyIt's gonna be so fucking funny when Milei goes the way of Bolsonaro. So much for "le epic chainsaw government"
>>1444724Argentina will go back to perpetual economic crisis as those who take vote to take from those who make. I dont really care, I'm not Argentinian.
>>1444725>Argentina will go back to perpetual economic crisis>instead of their current economic crisisMilei isn't it anon. He literally traded a bit of inflation for debt, mass devaluing of their currency, and poverty levels out the ass.
>>1444728Jesus you're absolutely obsessed with the guy.
>>1444519There is no such thing as soft power. The only thing that matters is military might. That is the only thing that aliens understand.
>>1444731Anon Argentina is the thread topic.
>>1444678That’s cute given that Trump is just giving it away and I’m sure you’ll make excuses for him
