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Argentina blocks iPhone sales in bid to strengthen economy

post #1 of 121
12/27/11 at 1:53pm
Thread Starter 
Argentina has temporarily blocked sales of certain electronics including Apple's iPhone and RIM's BlackBerry in order to stabilize the country's ailing economy, while suggesting that companies must build plants in the country to resume sales.

The decision by the Argentinian government claims that the selective consumer electronics ban is meant to slow rising inflation and correct the disparity between the pesos and U.S. dollar, according to website Manuals.ws.

In order to continue smartphone sales in Argentina, Apple must build a plant or partner with a local company to manufacture the iPhone. RIM is reportedly looking to partner with an existing plant so that it can continue sales in the region.

Other handset makers like Motorola, Nokia and Samsung have already moved or built plants in Argentina's Tierra del Fuego free zone after the government passed the Internal Revenue Law of 2009, which added a 20.48 percent tax to the existing 21 percent VAT for certain imported electronic devices.

The new ban is an extension of the Argentina Ministry Industry's March 2011 decision to eliminate the automatic import license of certain smartphones, forcing Apple and RIM to wait 60 to 180 days for Customs Authority approval to sell their devices.

As of October, iPhone and BlackBerry sales comprised 60 percent (machine translation) of the total market, according to local site Fortunaweb.

The ban is part of a larger government initiative to strengthen the Argentinian economy which has seen a steep decline since 2009. The Economist reported in December article that a slowing year-to-year GDP blamed on decreased demand for agricultural commodities and huge government subsidies have caused the country to enact tighter controls on capital flight.

Former carrier Claro's homepage still advertises the iPhone

Apple's Argentina iPhone webpage remains active, however carriers' websites appear have halted sales of the smartphone. The change seems to have taken place suddenly as carrier Claro has left an advertisement for the iPhone on its homepage but has no means to purchase the device online.
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post #2 of 121
12/27/11 at 2:03pm
i guess they can replace the iphones with a boat load of nokia phones.

they've got containers full of them. hurry up!!
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post #3 of 121
12/27/11 at 2:08pm
Dear Argentina,

No.

Signed ... the tech companies of the world.
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post #4 of 121
12/27/11 at 2:08pm
Next... Are they going to invade the Falklands again!
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post #5 of 121
12/27/11 at 2:12pm
Apple should definitely not build any plants there.

So iPhones are banned in Argentina, because of their fascist rules? So what. Apple doesn't need Argentina.

Apple can't just go around accommodating the demands of every third world country on the planet.

Build plants here or else we ban your phone! Sounds like a dictator run, fascist country! Let Apple pull out of Argentina completely! It'll be too bad for any Argentinian Apple fans, but blame your pathetic country for that, not Apple.
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post #6 of 121
12/27/11 at 2:20pm
Quote:
Originally Posted by ghostface147 View Post

stupid argentina

Nothing stupid about trying to protect the people who the government supposedly serves. RIM is complying, as did other manufacturers. Not so stupid after all.
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post #7 of 121
12/27/11 at 2:21pm
isn't argentina in the wto?
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post #8 of 121
12/27/11 at 2:22pm
Argentinian Protectionism = American Protectionism. The math is simple. Note to the fascists in Argentina: Ban our products, we ban YOURS. As long as you don't need our business, things will work out just fine for you. However . . . .
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post #9 of 121
12/27/11 at 2:22pm
Quote:
Originally Posted by AppleInsider View Post

In order to continue smartphone sales in Argentina, Apple must build a plant or partner with a local company to manufacture the iPhone.

No plant? No sales. Can you say strong arm tactics?

"Don't pressure me Argentina
The truth is we'll never build here"
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post #10 of 121
12/27/11 at 2:22pm
Quote:
Originally Posted by Apple ][ View Post

Apple should definitely not build any plants there.

So iPhones are banned in Argentina, because of their fascist rules? So what. Apple doesn't need Argentina.

Apple can't just go around accommodating the demands of every third world country on the planet.

Build plants here or else we ban your phone! Sounds like a dictator run, fascist country! Let Apple pull out of Argentina completely! It'll be too bad for any Argentinian Apple fans, but blame your pathetic country for that, not Apple.

As if USA wasn't protectionist itself... HA!

iPhones are not more important than people's jobs. That's what they're protecting here.

The information given in this article about RIM is outdated, also.

And Foxxconn is opening a factory in Brazil. I don't know if they'll even open a factory in Argentina as well. Probably not. But who knows.
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post #11 of 121
12/27/11 at 2:26pm
Let the Argentina bashing begin.

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"Like I said before, share price will dip into the $400."  - 11/21/12 by Galbi

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post #12 of 121
12/27/11 at 2:26pm
In other news, Argentina's economy has entered a depression as millions of citizens boycott the purchase of domestic-made products.
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post #13 of 121
12/27/11 at 2:27pm
And I always thought Hugo Chavez is ruling Venezuela and not Argentina.
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post #14 of 121
12/27/11 at 2:29pm
Quote:
Originally Posted by TBell View Post

Nothing stupid about trying to protect the people who the government supposedly serves. RIM is complying, as did other manufacturers. Not so stupid after all.

Black market will be awesome down in that third world hellhole of a country.
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post #15 of 121
12/27/11 at 2:30pm
Quote:
Originally Posted by flexo View Post

And Foxxconn is opening a factory in Brazil. I don't know if they'll even open a factory in Argentina as well. Probably not. But who knows.

It remains to be seen how that turns out.

There were supposed to be iPads ready in time for Christmas. That obviously was a false statement from the Brazilian president.
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post #16 of 121
12/27/11 at 2:39pm
I don't see how stopping people going out and purchasing an expensive item (thus paying a lot of VAT on the item) is supposed to help anybody...

Quote:
Originally Posted by simtub View Post

Next... Are they going to invade the Falklands again!

Better not - they got there asses kicked last time.
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post #17 of 121
12/27/11 at 2:45pm
LOL and some people complain about US government interference in business.

On the other hand, maybe we can do the same thing and bring back some manufacturing jobs to the US.
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post #18 of 121
12/27/11 at 2:46pm
Quote:
Originally Posted by CGJ View Post

I don't see how stopping people going out and purchasing an expensive item (thus paying a lot of VAT on the item) is supposed to help anybody...

They're strongly encouraging manufacturers to build in Argentina, producing decent paying jobs for their citizens rather than simply some tax money from the importers. It might be a little heavy-handed, perhaps not. The employment situation there may require strong measures.

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"No theatrics and no more personal attacks, just stick to the logic and tell me why I don't have any argument ~ Jragosta/2012

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post #19 of 121
12/27/11 at 2:46pm
Quote:
Originally Posted by TBell View Post

Nothing stupid about trying to protect the people who the government supposedly serves. RIM is complying, as did other manufacturers. Not so stupid after all.

No, it's stupid. When you buy things, you support your economy, whether it be a cell contract, some local accessory shop with ugly cases at a pulga....whatever. I'd tell Argentina to go F themselves and tell them to F Messi as well.
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post #20 of 121
12/27/11 at 2:51pm
Quote:
Originally Posted by APPLEBIRD View Post


Black market will be awesome down in that third world hellhole of a country.

Argentina is far from a third world country and I'm guessing they're tired of being a puppet for the US.
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"A fanatic is one who can't change his mind and won't change the subject" - Winston Churchill
"Just because something is deemed the law doesn't make it just" - SolipsismX to whom I bid farewell.
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post #21 of 121
12/27/11 at 2:55pm
Oh, so THIS is why Nazis took refuge in Argentina. Because they're freedom-limiting fascists. How about letting your people decide for themselves what they'd like to purchase?!
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post #22 of 121
12/27/11 at 2:56pm
Quote:
Originally Posted by dasanman69 View Post

Argentina is far from a third world country and I'm guessing they're tired of being a puppet for the US.

Technically, they were a Third World nation. (is being pedantic, and completely understand what you meant)

http://en.wikipedia.org/wiki/Third_World

We need to stop using the incorrect term "Third World Nation", I believe what most of you are looking for is "Least Developed Nations", Third World was a Cold War term for nations not allied with NATO (First World) and the Soviet Bloc (Second World).
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post #23 of 121
12/27/11 at 3:00pm
Quote:
Originally Posted by TBell View Post

Nothing stupid about trying to protect the people who the government supposedly serves. RIM is complying, as did other manufacturers. Not so stupid after all.

Are you naive? The government is purely altruistic, and doesn't have its hands in the local businesses that stand to profit.

Why not just raise tariffs?
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post #24 of 121
12/27/11 at 3:04pm
Quote:
Originally Posted by Gatorguy View Post

They're strongly encouraging manufacturers to build in Argentina, producing decent paying jobs for their citizens rather than simply some tax money from the importers. It might be a little heavy-handed, perhaps not. The employment situation there may require strong measures.

Unfortunately unless you have the clout (numbers) of a brazil or china, you can't pull this kind of crap without the consequences down the road being 5x larger than the benefit in the short term. Cutting off the mutually beneficial trade between two willing parties (apple and the argentine consumer) only hurts, it never helps. Argentina saw what Brazil did and decided to try their own hand at it. When citizens start leaving because you can only buy one brand of cell phone, one brand of car, one brand of milk, it'll hit home.

It only creates a huge black market, which also creates crime and criminals from people who would have been law abiding citizens otherwise.
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post #25 of 121
12/27/11 at 3:25pm
We all know how this will play out. Apple will see no reason outside of this ban to build in Argentina and will simply pull all sales from Argentina.

And folks will simply buy else where and smuggle them in just like they do for everywhere else that has similar restrictions either by the local government or US export embargoes.

Where there's a fan boy there's a way
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post #26 of 121
12/27/11 at 3:29pm
Quote:
Originally Posted by ghostface147 View Post

stupid argentina

stupid ghostface147
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post #27 of 121
12/27/11 at 3:29pm
Quote:
Originally Posted by VinitaBoy View Post

Argentinian Protectionism = American Protectionism. The math is simple. Note to the fascists in Argentina: Ban our products, we ban YOURS. As long as you don't need our business, things will work out just fine for you. However . . . .


According to the CIA Wold Factbook, only 5.4% of Argentina's exports go to the U.S., and it imports 13.8% of its total from the U.S.. So, which "math" were you referring to?
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post #28 of 121
12/27/11 at 3:31pm
[insult removed]
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post #29 of 121
12/27/11 at 3:33pm
This is just one of many examples of why government bureaucrats are a disease on society.

Ok, the idea it self may have some sense, but wtf? You want business to open manufacturing plants in your country? Make it so it will be economically feasible for them, you know... like make it easy to hire people, drop the taxes, etc. And, more importantly, maybe it will be feasible if you have a large, strong and growing economy that drives the demand —*who'll build the plant in country with a failing economy? These kind of measures make more sense when the economy is growing, not when it's going down the tubes.

And don't even forget that Foxconn recently opened a plant in Brazil —*I double we will ever see a second plant making Apple stuff in South America. I think either this policy will be uplifted in a few months, or the companies will find a loop-hole in it. Either way I doubt any Apple stuff will be made in Argentina.
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post #30 of 121
12/27/11 at 3:33pm
Butthurt argentinian is butthurt
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post #31 of 121
12/27/11 at 3:38pm
Apparently they don't realize that the cost to assemble a phone is a very small percentage of the actual cost of the phone. They might be keeping 0.2% of the cost of the phone circulating in their country. There are probably better ways to keep money in the country. A 1% smart phone tax would be better. As others have said, this requirement to build in the country will just increase crime and the black market. RIM might be able to do it because they build generic plastic phones. iPhones are more complex to assemble, so Apple may choose to pull out instead of looking for qualified people. Rumor is Foxconn (for Apple) tried to open a plant in Brazil and were not able to find qualified workers.

Apple can just wait until the Argentina government realizes how few jobs and little revenue is made and starts allowing imports again.
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post #32 of 121
12/27/11 at 3:39pm
Quote:
Originally Posted by frozenwinds View Post

[insult removed]

You quoted me twice? I'm touched. How sweet.
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post #33 of 121
12/27/11 at 3:45pm
Apparently Apple knew about the ban a year ago..
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post #34 of 121
12/27/11 at 3:45pm
Quote:
Originally Posted by Gatorguy View Post

They're strongly encouraging manufacturers to build in Argentina, producing decent paying jobs for their citizens rather than simply some tax money from the importers. It might be a little heavy-handed, perhaps not. The employment situation there may require strong measures.

Jesus H Christ. It's freaking blackmail. You people never fucking learn. You cannot FORCE companies to produce jobs. You want jobs? Produce a great business climate. If I were Apple I would demonstrate the fact that my market cap is 50% of your total GDP and tell you to GO SCREW!
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post #35 of 121
12/27/11 at 3:49pm
Argentina was just coming off the back of a complete failure of their economy and that was before the so called recession hit in 2008. I seriously do think that they have learned from their mistakes and so all the negative comments are somewhat uninformed.

http://en.wikipedia.org/wiki/Argenti...99–2002)

If people have to go into debt to get products like an iPhone or iPad or MacBook then they don't help the economy instead they add to the problem.

Spending does help the economy but it is a false economy if people go into debt or rack up credit card debt.

Forcing people to buy locally can only be a good thing as all the money from the people goes directly back into the economy propping it up.

America should learn a thing or two about this because their economy is in the crapper at the moment with no signs of coming out anytime too soon.

Don't mock someone simply because you don't understand what they are doing. At least study what they are doing to see if it will work or not.

But then America has never been that way inclined and you know what the old saying is about those who fail to learn from history.
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post #36 of 121
12/27/11 at 3:54pm
Quote:
Originally Posted by dasanman69 View Post

Argentina is far from a third world country and I'm guessing they're tired of being a puppet for the US.

I rather like the Argentinian people and culture. Have you ever been there? The cities remind me of Europe. They also have excellent food and wine.

I'm not an expert on economic strategy but I can can tell you from my very recent trip around Latin America that there are iPhones everywhere. I ask a few people about theirs and they confirmed that they were jail broken. I'm assuming many others are as well. A lot of 3G and 3Gs models seen in the wild down there.

BTW... Why does Skype suck so bad on iPhone? I can't keep a connection for more than a few seconds. My MBP works perfectly on the exact same wifi connection. Skype is really important when calling around Latin America. I just wish the iPhone version would work. It is a complete fail for me.

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post #37 of 121
12/27/11 at 3:55pm
Quote:
Originally Posted by SDW2001 View Post

Jesus H Christ. It's freaking blackmail. You people never ***** learn. You cannot FORCE companies to produce jobs. You want jobs? Produce a great business climate. If I were Apple I would demonstrate the fact that my market cap is 50% of your total GDP and tell you to GO SCREW!

Maybe Apple should just BUY Argentina and.... name it Steve Jobs!

"Designed by Apple in Steve Jobs. Assembled in Steve Jobs."

Or Apple should buy Argentina and name it APPLE.

"Designed by Apple in Apple. Assembled in Apple."

The entire business can take place in that country and EVERY Apple job will belong to its citizen.
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post #38 of 121
12/27/11 at 3:59pm
Quote:
Originally Posted by darrynlowe View Post

Forcing people to buy locally can only be a good thing as all the money from the people goes directly back into the economy propping it up.

See, that's where you're wrong. Forcing people to buy ANYTHING can only be bad, as those same people presumably have already chosen what they prefer and will buy it. Being forced to buy something else instead necessarily makes them worse off. While it's a hard to quantify cost, it's a real cost. Don't be so naive.
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post #39 of 121
12/27/11 at 4:00pm
I have banned all Apple products until they build a Genius Bar in my home and staff it.
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post #40 of 121
12/27/11 at 4:05pm
Quote:
Originally Posted by stevetim View Post

I have banned all Apple products until they build a Genius Bar in my home and staff it.

Is that like when Microsoft went around building "Microsoft Stores" in people's houses and selling them terrible computers from other manufacturers?
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