ARGENTINA · ECONOMY
Key Facts
- The country Argentina, one of South America’s largest economies, is led by libertarian President Javier Milei.
- What happened Decree 1305/2026, published on Friday 30 October 2026, delays a pending fuel tax increase by one month.
- The new date The rise moves from Sunday 1 November to Tuesday 1 December 2026.
- Fuels covered Unleaded gasoline, virgin gasoline and diesel, plus the carbon dioxide tax on them.
- Stated reason The government says it wants to keep stimulating growth on a sustainable fiscal path.
- Power Index Argentina ranks 4th of 14 in The Rio Times Latin America Power Index, with 61.2 points (October 2026 edition).
Argentina’s government on Friday 30 October 2026 pushed back by another month the increase in the taxes it charges on fuel. Decree 1305/2026, published in the Boletín Oficial, the official gazette, moves the rise from 1 November to 1 December.
For US readers, the decree shows how President Javier Milei’s government balances its budget targets against inflation and growth, as it works with the International Monetary Fund (IMF), the Washington lender, on a US$20 billion programme. Our report on the IMF talks shows what that programme asks of Buenos Aires.
What Happened
Decree 1305/2026 amends Decree 617/2025, which set the schedule for updating the fuel taxes. It moves the pending increase from 1 November to 1 December 2026 and keeps the current tax amounts in force through 30 November.
The postponed amounts are updates from 2024 and 2025 and from the first and second quarters of 2026 that were never fully applied. They cover unleaded gasoline, virgin gasoline and diesel, together with the carbon dioxide tax on those fuels.
The government’s stated reason is to continue stimulating economic growth through a sustainable fiscal path. The decree appeared in the official gazette on Friday 30 October 2026.
In Plain English
- Fuel tax A fixed amount in pesos that the state adds to every liter of gasoline and diesel.
- Decree A rule the president signs without a vote in Congress.
- Virgin gasoline A light fuel called naphtha, mostly used as an industrial raw material.
How the Fuel Tax Works
Argentina charges fixed peso amounts per liter, and the tax law says those amounts should be raised four times a year in line with consumer prices. In practice, the government has repeatedly delayed the full increases by decree since 2025.
The latest earlier step was Decree 1126/2026, published on 30 September 2026, which had set 1 November as the new date. With Decree 1305/2026, the unpaid increases will now stack up for another month.
Why the Government Keeps Delaying
Fuel is a direct cost for transport and food, so a higher tax moves quickly into the prices that Argentines see in shops. Delays therefore usually help to keep inflation lower, but they also leave the state with less money than the original schedule promised.
The decree names growth and a sustainable fiscal path as its aims, and the summaries we reviewed give no figure for the tax revenue given up. A fiscal path is the plan for how much a government spends and collects over time.
What It Means for You
If you drive in Argentina or ship goods there, this schedule will not add a tax-driven jump on 1 November. Pump prices can still move with crude oil and the peso, because the decree only controls the tax part.
If you invest in Argentine energy through US-listed shares, the decree does not change the tax on oil production or exports. Our report on YPF’s third-quarter earnings covers the company side of the fuel business.
What Is Not Known
The per-liter tax amounts that remain pending are not given in the public summaries we reviewed, and neither is the revenue the state forgoes. The effect on pump prices in November is also not stated.
It is not known whether the government will delay again on 1 December, as it has done several times since 2025. A new decree before that date would move the deadline once more.
More: Argentina news in English, every day from The Rio Times.
Frequently Asked Questions
What Did Argentina Decree 1305/2026 Do?
It postpones a pending increase in Argentina’s fuel and carbon dioxide taxes from 1 November to 1 December 2026. The decree was published on Friday 30 October 2026.
Which Fuels Are Covered?
The decree covers unleaded gasoline, virgin gasoline and diesel, and the carbon dioxide tax charged on them. Current tax amounts stay in force through 30 November 2026.
Why Does Argentina Keep Delaying the Fuel Tax?
The government says it wants to keep stimulating growth through a sustainable fiscal path. Fuel feeds into transport and food prices, so a delay also helps hold down inflation.
Sources: Government of Argentina, Ministry of Economy and Boletín Oficial of the Argentine Republic, Decree 1305/2026 (amending Decree 617/2025), 30 October 2026; Boletín Oficial of the Argentine Republic, Decree 1126/2026, 30 September 2026.
This article was produced by The Rio Times’ automated newsroom system. How we use AI · Report an error · Editorial responsibility: Matthias Camenzind, Editor-in-Chief