Argentina’s mining sector is booming. There’s room to grow
While the data shows record exports, local suppliers and human resources are lagging far behind La entrada Argentina’s mining sector is booming. There’s room to grow se publicó primero en Buenos Aires Herald .
Argentina's mining sector is experiencing significant growth, with exports reaching an all-time high of US$6 billion in the first eight months of 2026. This figure is almost identical to the total exports for the entire year of 2025. Mining now contributes 9.2% of the country's total exports, placing it alongside energy as a key driver of Argentina's export basket.
China has emerged as a major market for Argentine minerals, purchasing US$1.5 billion worth in the first eight months of 2026, a 180% increase from the same period in 2025. This growth is primarily driven by the Chinese demand for strategic minerals, with China accounting for 26% of total exports, behind Switzerland, which dominates the gold market.
The International Energy Agency (IEA) reports that China is the primary refiner of 19 out of 20 strategic minerals under analysis, with an average participation rate of nearly 70%. A recent China Day Salta event, organized by the Argentine-Chinese Chamber of Commerce, highlighted the need to integrate local suppliers into the mining value chain.
While gold exports grew by 42.8% year-to-date, export volumes decreased by nearly 25%. Lithium, however, has seen a dramatic shift, with exports up by 56.8% and its share in the mining basket rising from 14% to 24%. This structural change is expected to continue, with mining exports projected to grow by 52% in 2026, but only by 3% in 2027.
The Large Investment Incentive Regime (RIGI) is seen as a crucial tool to capitalize on this growth, but there are concerns about the focus on adding value. According to a recent report by Fundar, Argentina is among the countries that rely heavily on foreign investment without adequately developing local suppliers, technology, or skilled employment.
In contrast, Australia serves as a notable example of a country that has successfully developed its supplier sector and mining knowledge base, creating over 1,500 companies and employing more than 200,000 people. Argentina currently generates only around 105,000 direct and indirect jobs in the mining sector, with growth barely exceeding 0.5% in the past year.
To ensure that this export cycle yields more than just foreign currency, Argentina must invest in areas such as supplier development, infrastructure, technical training, and strategic use of revenue. The China Day discussions focused on the role of local suppliers as a starting point for addressing these challenges.
Written by urgent.news from Buenos Aires Herald's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
