Argentina bans the sale of the Apple iPhone and BlackBerry models temporarily

Argentina bans the sale of the Apple iPhone and BlackBerry models temporarily
Apple iPhone and BlackBerry fans might be crying over Argentina tonight as the country has instituted a ban on the sale of foreign-made smartphones. This includes the Apple iPhone and all BlackBerry handsets. The pair make up 60% of the smartphone market in the country. Argentina says it is taking the action to stabilize what has been a poor economy.

Some other handset makers like Samsung, Nokia, Motorola and LG are still allowed to sell their products in Argentina since they all have opened plants in the country. Apple and RIM can avoid the ban by building a factory in the country or by finding a partner that is free to sell its products in Argentina. Word is that RIM is looking for a partner while Apple appears to be sitting the ban out alone.

Earlier this year, the country added a 20.48% tax on imported electronics, on top of the regular 21% tax that is charged. Argentina has been twisting the screws on both companies since early this year. In March, the country revoked the "automatic" import license of some smartphones, which forced Apple and RIM to wait as long as 3 months for Customs Authority approval for any new devices.

Once the economy improves and becomes stable, Argentina says it will remove the ban although some of the measures taken by the country to improve the economy have been in place since 2009. Despite the ban, Apple's Argentinian iPhone page is still up and the company introduced a full iTunes store in the country. Argentina's GDP has been shrinking as the government has been paying large subsidies to farmers.

source: Manuals.ws via electronista

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25 Comments

1. EclipseGSX

Posts: 1776; Member since: Oct 18, 2011

:( - sadface

2. snowgator

Posts: 3621; Member since: Jan 19, 2011

I would be willing to bet that Farmers are not the only place the Goverment of Argentina is putting a lot of money. Be interesting to see if this makes any difference to their GDP.

3. chadrick0814 unregistered

I'm not a fan of Apple and could care less about BB. But, this violates every free trade agreement known to man. What if every other country on this earth banned Argentinean companies unless they were bribed into building factories?

6. Doakie

Posts: 2478; Member since: May 06, 2009

Free trade agreements are retarded. I like capitalism but fostering corporate spending in your country should come first. The US should abandon all free trade agreements, lower taxes for corporations the more they employ US citizens to manufacture products here all the way down to no taxes if the corporation has a 100% US work force, and tarif products produced over seas. Employ US citizens and tax their incomes. The more people who are employed will increase tax income, and the more citizens employed makes less impoverished citizens. The idea of letting corporations produce stuff overseas for pennies is stupid when we have such a high unemployment rate.

12. vmaster

Posts: 31; Member since: Dec 11, 2011

I tend to agree with Doakie more. Everything is heading towards Globalization and that's not always good in every scenario because there will always be countries with communistic governments who will pay pennies to employees to produce goods and will sell it elsewhere because of free trade. That just drops the value of labor, and greedy corporations run to those kinds of countries to save tons of money laying off local workers in the process. I think it's good that Argentina government decided to do what's best for their country economically.

16. chadrick0814 unregistered

true. But if some countries were to respond by banning Argentinean beef then they would completely collapse. This all works as long as you are able to sell your stuff all over the world and ban others from selling to you.

4. dan_md

Posts: 66; Member since: Oct 19, 2010

I admire this bold action by the Argentinian government. Now if only other governments are as determined to make ways in addressing poverty and economic problems. It is true that some liberties are violated by such act but in a poor economy, things of luxury can take a back seat while the government reallocates funds for things that really matter: livelihood, agriculture and the food and staples these produce. What good is an iPhone if there's no food on the table?

7. greathero1

Posts: 584; Member since: Jun 13, 2008

I thought the sale of goods such as cell phones as well as the few you named could help move an economy forward. Spending money drives an economy. It would make more sense to just tax the hell out of both and collect the revenue than ban all together. Thing is, luxury items are the least worries of Argentina. Look up their history governing over the past 20 to 30 years. Also, the comment "It is true that some liberties are violated by such act but in a poor economy, things of luxury can take a back seat while the government reallocates funds for things that really matter" is one of the scariest comments I have read in quite a while.

9. Lucas777

Posts: 2137; Member since: Jan 06, 2011

i agree... how many common people are going to buy an iphone in argentina... and what stops people who actually want an iphone or blackberry from buying i from another country.. then argetina gets ZERO money from not taxing and is actually worse of than they are... and i say that because 60 percent of the people who have these phones are not gonna just go get another one... maybe 20 percent but stil i think the gov wud be better off jsut keeping the taxes since the other alternatives are foreign anyways

13. vmaster

Posts: 31; Member since: Dec 11, 2011

They already raised taxes pretty high on imported electronics. They did give Apple and Rim an option though....find a approved partner.

20. Lucas777

Posts: 2137; Member since: Jan 06, 2011

okay but that is just a headache for rim and apple.. and they are loosing apple as an importer for the country.. why not just keep the money they wud get on revenue from apple products instead of driving the market entirely away... and as many people think, apple fans are very loyal and will get their products from elsewhere.. although then argentina will not have the revenue from taxes also this is not a very capitalist economy, and that has pretty much proven to be the most succesful economy, while bans like this normally do not (napoleon's continental system)...

5. GremlinUKSA

Posts: 6; Member since: Dec 27, 2011

Damn.... that deep. So banning companies will help the economy??? I fail to see that logic. If they did that in the US... will the US would not be U, I swear

14. vmaster

Posts: 31; Member since: Dec 11, 2011

According to the article, the country banned direct sales of the two companies' products, but they DID allow sales except through approved partner. Which probably means that somehow it becomes more beneficial economically for the country of Argentina to accept the goods through a partner. Most likely the partner pays worthy taxes to the government feeding the economy. So in a way it's just up to apple to hurry up and find a partner that will resell their products.

8. Sniggly

Posts: 7305; Member since: Dec 05, 2009

This was a stupid move by Argentina. Governments should not interfere in the presence of companies.

24. atheisticemetic

Posts: 377; Member since: Dec 18, 2011

I agree Sniggly. not sure why so many people dont see this awful trend. when the gov't steps in with ANY business it never will go smoothly (if they cant manage their own country, what makes them think they can manage MY company?). "Government Motors" is doing well in America dont you think? :P some food for thought people

10. niccolas

Posts: 3; Member since: Dec 27, 2011

As someone born and raise in Argentina, all of this actions taken by the goverment are all against human freedom. Besides this, others brands such as Nokia, Samsung or LG asemble the device in here and that doesn't mean that the hole mobile phone is done in argentinian ground. That means that all of the components of the device are made in other countries and finally the phone is concluded in here so it can say "made in Argentina". The thing is that lot of people is angry and against this goverment actions. If Argentina's president and collegues would like to make some sort of national industry, they've should come up with some other actions to protect our economy! If you could ever had the chance to come, you would see what I'm talking about. The governors in here are all thefts and are doing what is best for themselves. Anyway, RIM devices are coming to our country. For instance Blackberry smartphones are coming now... The BB 9900 is already being sold and so the BB 9810. For those iPhone users there are two possibilities: a) they were bought abroad and unlocked or b) it was bought before this hole action under the name of "protectionism".

11. niccolas

Posts: 3; Member since: Dec 27, 2011

Ps: if you want an example of what I've just said, I can give you one: a Samsung Galaxy S II cost $2500 (argentinian money), which is sort of u$d 500 more or less with a year and a half contract of $200 pesos per month (do your maths!). The same phone bought outside Argentina, for example in the USA, cost u$d 700 UNLOCKED! See, my country does not apply any protection to our national products (if not, the SS II wouldn't be sold here, same as the Moto Rarz) because if it would do so, devices would be less expensive!

15. dunyfunny

Posts: 20; Member since: Nov 05, 2011

where is free market economy? if all countries require similar things what will happen? 250 apple factories all around the world?

17. Justsadd

Posts: 21; Member since: Nov 22, 2011

finally ban the apple...yahooooo....am so happy hahahaha

18. winsaki234

Posts: 63; Member since: Mar 30, 2011

great work,Argentina

19. silver0681

Posts: 19; Member since: Sep 07, 2011

I don't understand really why or how this helps anyone. There are always ways to get around this stuff. That is why company's like Radioshack and bestbuy have credit card validation requirements on bb and iPhone. People are buying them our price and turning around and selling them unlocked for big money in countries like this. Further more justadd go troll elsewhere your happy there banned you do realize all its going to do is create a need and want for the device so that when ban is lifted there will be a rush to buy said products

21. Paulsen

Posts: 2; Member since: Dec 28, 2011

Hello fellas, i'm from Argentina, i don't know why you are talking so much about this, the reason behind this movement is not ban Apple o RIM, is because in our country, the people simply...don't work, and because that, we have a falling economy, so, the government of CFK is somewhat...trying to promote the industry, making companies to help in the industrialization of our country o colaborate with a partner to create more labor force, because that, companies like BMW, Mercedes and other examples, where forced to collaborate with a partner to sell goods and products from Argentina in their original countries or get their products banned. This is a good move for us, to help the economy, but I don't aprove any other movements of the government (so much corruption), so, think about that. And sorry for my bad english.

22. niksad8

Posts: 1; Member since: Dec 29, 2011

You guys have to understand this is pretty standard procedure in most countries. Although banning in an extreme. But most countries will put on heavy taxes on to imported good, the main purpose of this ban is to stop the flow of money out of the country. BY forcing the imported companies to find a local partner ensures that some of the money stays in the country, also the company will be forced to hire local labor, i.e job creation. Yes you will get money from taxes, but you are still losing a large portion of it. Spending helps the economy but only if that is a local expenditure, if you are spending on foreign goods, you are sending money out of the country. This in turn weakens your economy cause the country has less money to spend. You talk about free trade, free trade is only FAIR if both economies are on par with each other, when a rich economy trades with a poor economy usually the poor economy loses, this is evident in most African and east asian countries. The free trade is like what wal mart does to local stores when they arrive in town.

23. gharatnikhil

Posts: 11; Member since: Dec 29, 2011

nice work argentina officials apple and black berry sucks

25. vvelez5

Posts: 623; Member since: Jan 29, 2011

So Argentina is upset that their people choose to purchase whatever they want? Sucks to be an Argentinian right now. Good for me though since I still get busloads of Argentinians coming into my store looking to purchase Blackberries and iPhones because they want them.

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