Argentine Crude Oil Imports to Begin Next Year... Double Taxation Avoidance Agreement Finalized

President Lee Holds Summit with Argentina on the 31st

Boosting Energy Resilience by Importing Argentine Crude Oil

Double Taxation Avoidance Agreement Finalized

"Will Ease Tax Burden for Korean Companies in Argentina"

Korea is expected to begin importing crude oil from Argentina starting next year, following President Lee Jae-myung’s official visit to the country. In addition, the two countries have concluded a Double Taxation Avoidance Agreement to alleviate the double taxation burden on Korean companies.

On the 31st (local time), President Lee held a 58-minute summit with Argentine President Javier Milei to discuss these agreements. Satellite Rak, Chief of the National Security Office, briefed the press at a press center in Buenos Aires, Argentina, stating, "Korean companies conducted a trial introduction of crude oil from Argentina this year, and based on this, we plan to begin imports from next year."

President Lee Jae-myung and President Javier Milei shake hands after completing an official commemorative photo at the welcoming ceremony held at the Presidential Palace in Buenos Aires, Argentina on the 31st (local time). 2026.7.31 Photo by Yonhap News

Chief Wi explained, "This is expected to broaden Korea's crude oil import sources from a concentration in the Middle East to South America, and reduce geopolitical uncertainties, thereby enhancing resilience in energy supply." He added, "Going forward, both countries agreed to expand energy cooperation beyond crude oil to include natural gas and nuclear power, as well as to jointly identify and pursue specific cooperation projects."

The two countries have also finalized the Double Taxation Avoidance Agreement. Chief Wi emphasized, "This is expected to reduce the double taxation burden on Korean companies operating in Argentina and improve predictability in the investment environment." He further noted, "Both countries will seek to resume negotiations promptly on a trade agreement between Korea and MERCOSUR (the Southern Common Market), with the goal of expanding Korean companies' access to the South American market."

In the food sector, the two sides agreed to actively pursue consultations so that Korea can be designated as a high-sanitary-monitoring country by Argentina. According to the Blue House, this will reduce the time and cost required for registering Korean food products locally, and promote greater entry of K-food into the Argentine market.

In conjunction with President Lee’s summit, a Memorandum of Understanding (MOU) on cooperation in key minerals was also signed. Under the MOU, companies from both countries will pursue investments and joint projects across the entire value chain, including lithium exploration and extraction. Chief Wi added, "The Argentine government reaffirmed its continued support for Korean companies engaged in lithium projects, and Korea plans to expand investment opportunities to new key minerals such as copper."

Additionally, the two countries will work towards the swift conclusion of a mutual recognition agreement for driver's licenses, and identify new cooperation projects in the defense industry, space sector, Antarctica, and healthcare. Both sides will also pursue consultations to expand cultural exchanges, educational cooperation, and interpersonal exchanges, further broadening engagement between the next generations of both countries.

Chief Wi commented, "The two heads of state agreed that this visit laid the foundation for a new leap forward in bilateral relations, and committed to expanding mutually beneficial and practical cooperation not only in trade and investment but also in key minerals, energy supply chains, AI, defense industry, and quarantine sectors." He added, "Both leaders shared a determination to swiftly achieve tangible results for the public by leveraging their shared strength of prioritizing efficiency and speed."

This content was produced with the assistance of AI translation services.