Argentina blocks iPhone sales in bid to strengthen economy
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.
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.
Comments
they've got containers full of them. hurry up!!
No.
Signed ... the tech companies of the world.
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.
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.
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"
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.
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.
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.
Next... Are they going to invade the Falklands again!
Better not - they got there asses kicked last time.
On the other hand, maybe we can do the same thing and bring back some manufacturing jobs to the US.
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.
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.
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.