Trump’s attempt to “buy” loyalty may prove to be the most dangerous diplomatic gamble of recent years.
U.S. President Donald Trump’s decision to step forward and “save” Argentina with a $20 billion aid package — while quadrupling beef imports from Buenos Aires — appears to be backfiring on him.
American ranchers are furious, and analysts speak of a risky geopolitical gamble by Washington on the Latin American chessboard.
Trump has made a “clumsy” move, one that, by all indications, will not go very well domestically in the United States.
“Buying” loyalty with $20 billion
Trump’s Vaca Muerta temptation, presented as a lifeline for Javier Milei’s liberal government, comes with a trade agreement that boosts Argentina’s beef exports to the U.S. from 20,000 to 80,000 tons annually.
For Washington, this represents an investment in loyalty: under the strongly pro-American Milei, Argentina is distancing itself from the BRICS bloc and seeking closer ties with NATO.
The message is clear — the United States is buying influence in the Southern Hemisphere, seeking to curb the growing presence of China and Brazil.
The “betrayal” of American farmers
On the home front, however, reactions are explosive.
The National Cattlemen’s Association has labeled the agreement a “betrayal,” warning that the influx of cheaper Argentine beef will devastate small U.S. farms.
Rural communities, traditionally a Trump stronghold, feel abandoned.
As American media note, this move “threatens to tear apart the social contract” between the U.S. president and his electoral base.
“Argentina first” instead of “America first”
Analysts point out that Donald Trump is sacrificing domestic U.S. interests in order to secure a loyal ally in South America.
Milei, a radical “anarcho-capitalist”, has expressed full willingness to align with the West, while maintaining close military ties with London.
For Washington, this is an opportunity to regain ground against Brazil and China, both of which are expanding their influence through BRICS and energy diplomacy.
The energy temptation of Vaca Muerta
Behind the rhetoric of “democratic support” lies an energy play. Argentina’s Vaca Muerta shale formation holds vast oil and gas reserves.
Milei’s liberal reforms open the door for massive U.S. investments. The beef trade deal and the financial assistance may be part of a broader “quid pro quo” arrangement securing Washington access to strategic resources.
Washington’s boomerang
But the gamble carries risks.
If Milei’s reforms fail, or if social discontent grows within the U.S., Washington could be left with a failed investment and a new hotbed of anti-American sentiment in Latin America.
Even the most cautious analysts warn: Trump’s attempt to “buy” loyalty may prove to be the most dangerous diplomatic wager in years.
www.bankingnews.gr
American ranchers are furious, and analysts speak of a risky geopolitical gamble by Washington on the Latin American chessboard.
Trump has made a “clumsy” move, one that, by all indications, will not go very well domestically in the United States.
“Buying” loyalty with $20 billion
Trump’s Vaca Muerta temptation, presented as a lifeline for Javier Milei’s liberal government, comes with a trade agreement that boosts Argentina’s beef exports to the U.S. from 20,000 to 80,000 tons annually.
For Washington, this represents an investment in loyalty: under the strongly pro-American Milei, Argentina is distancing itself from the BRICS bloc and seeking closer ties with NATO.
The message is clear — the United States is buying influence in the Southern Hemisphere, seeking to curb the growing presence of China and Brazil.
The “betrayal” of American farmers
On the home front, however, reactions are explosive.
The National Cattlemen’s Association has labeled the agreement a “betrayal,” warning that the influx of cheaper Argentine beef will devastate small U.S. farms.
Rural communities, traditionally a Trump stronghold, feel abandoned.
As American media note, this move “threatens to tear apart the social contract” between the U.S. president and his electoral base.
“Argentina first” instead of “America first”
Analysts point out that Donald Trump is sacrificing domestic U.S. interests in order to secure a loyal ally in South America.
Milei, a radical “anarcho-capitalist”, has expressed full willingness to align with the West, while maintaining close military ties with London.
For Washington, this is an opportunity to regain ground against Brazil and China, both of which are expanding their influence through BRICS and energy diplomacy.
The energy temptation of Vaca Muerta
Behind the rhetoric of “democratic support” lies an energy play. Argentina’s Vaca Muerta shale formation holds vast oil and gas reserves.
Milei’s liberal reforms open the door for massive U.S. investments. The beef trade deal and the financial assistance may be part of a broader “quid pro quo” arrangement securing Washington access to strategic resources.
Washington’s boomerang
But the gamble carries risks.
If Milei’s reforms fail, or if social discontent grows within the U.S., Washington could be left with a failed investment and a new hotbed of anti-American sentiment in Latin America.
Even the most cautious analysts warn: Trump’s attempt to “buy” loyalty may prove to be the most dangerous diplomatic wager in years.
www.bankingnews.gr
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