INDEXI. Presentation of ArgentinaII. General Features of Argentina´s EconomyIII. Argentinean General Trade BalanceIV. Argentina – TaiwanV. MERCOSUR

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I. Presentation of Argentina

Source: Wikipedia database.

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South AmericaArea: 17.840.000 km2 (4th)

Number of countries: 12

Population: 382.000.000 (5th)

GDP (PPP): USD 4.3 trillion

GDP per capita: USD 7.264

Largest Cities: 1. Sao Pablo, Brazil (10,9 millions)2. Rio de Janeiro, Brazil (6 millions)3. Buenos Aires, Argentina (3 millions)

Source: Wikipedia database & CIA World Fact Book.

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Economic Information Argentina Brazil Mexico

Popultation 40.677.348 191.908.598 109.955.400 Labour Force (LF) 16.1 million 99.47 million 45.38 millionRate Growth Population 0,90% 0,98% 1,14%Natality Rate 16.32/1000 16.04/1000 20.04/1000Death Rate 7.54/1000 6.22/1000 4.78/1000Human Capital Index 0,767 0,57 0,477GDP* 523.7 billions 1.838 trillion 1.353 trillionGDP** 245.6 billions 1.269 trillion 886.4 billionRate Growth GDP *** 8.5% 2.8% 3%GDP p.c.* USD 13.000 USD 9.700 USD 12.500Agricultural GDP 6,00% 5,10% 3,90%Industrial GDP 29,00% 30,80% 26,30%Services GDP 65,00% 64,00% 69,90%Agricultural GDP 14,74 64,72 34,57Industrial GDP 71,22 390,85 233,12Services GDP 159,64 812,16 619,59Agricultural LF 1% 20% 18%Industrial LF 23% 14% 24%Services LF 76% 66% 58%Exports 54.6 billions 159.2 billions 267.5 billionsImports 40.26 billions 115.6 billions 279.3 billions

* Purchasing Parity Power** Offcial Exchange Rate*** Average of the last four years

Source: EIU- 2008, CIA World Fact Book 2007 and UNCTAD 2005

Argentina grew at an average annual rate of around 9% over the past four years, ranking among the fastest growing economies worldwide.

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2008 2009 2010 2011 2012

Real GDP growth (%)ARG 6,2 4,5 4,5 4,4 4,4BR 4,6 4 4,3 4,2 4,3

MEX 2,1 2,5 3,7 3,5 3,5

Consumer price inflation (av; %)

ARG 10,3 10,6 8,7 7,7 7,4BR 5,1 4,5 3,7 3,7 3,7

MEX 4,3 3,6 3,4 3,4 3,3

Budget balance (% of GDP)

ARG 1,1 0,9 0,6 0,5 0,2BR -1,8 -1,7 -1,5 -1,4 -1,3

MEX 0 0 0 0 0

Current-account balance (% of GDP)

ARG 2,8 2,6 1,5 1,3 1,2BR -0,8 -0,5 -0,6 -0,4 -0,5

MEX -1,2 -1,4 -1,8 -1,8 -1,6

Lending rate (av; %)ARG 13,9 13 11 9 8,5BR 11,7 10,7 9,5 9,3 9,3

MEX 7,7 7,2 6,8 7 7

Exchange rate Ps:US$ (av)

ARG 3,2 3,2 3,3 3,3 3,3BR 1,71 1,79 1,86 1,91 1,96

MEX 11,1 11,5 11,8 12 12,2Source: EIU- 2008

Principal Forecasts

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Capital city: Buenos Aires.

Federation of 23 provinces

Area : 2,766,890 km2

Population : 40.301.927 (0,61% of world population)

GDP (PPP) in 2007: USD 691.694 millions (19th).

Highest Human Development Index level in South America

The Second Highest GDP per capita (PPP) in South America: USD 13.307 (57th).

The country is currently classified as a secondary emergent market by the World Bank

Source: CIA World Factbook and IMF.

I. Presentation of Argentina

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Argentinian territory has almost 250,000 km2 of farmland. This large quantity of fertile land together with a competitive industry places Argentina as:

The N° 1 world producer and exporter of Sunflower Oil.The N° 1 world exporter and 3rd leading world producer of Soy Oil. The N° 1 world exporter and 3rd leading world producer of Honey. The N° 1 world exporter of Horse Meat.The N° 1 world exporter of Pears.The 2nd leading world exporter of Peanut Oil.The 3rd leading world producer of Beef.The 3rd leading world producer of Soy Beans. The 3rd leading world producer and the N° 1 exporter of Lemons.The 5th leading world producer of Wine.

Source : FAO

I. Presentation of Argentina

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II. General Features of Argentina´s Economy

Growth is based on solid macroeconomic foundations (ie. twin surplus, commoditties prices) that strengthen the country’s economy.

Source: MECON database.

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II. General Features of Argentina´s Economy

Sectors related to tradable goods led the initial GDP recovery, impulsed by the industry.

Industrial production accumulated 64% growth since 1st Quarter 2002 (equivalent to an annual rate of 11%).

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III. Argentinian General Trade Balance

117%

394%

The change of commercial policies have boosted exports such as imports.

Source: MECON database.

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In the last years, the Argentinian Trade Balance showed a decreacing tendency.

- 34%

III. Argentinian General Trade Balance

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Exports are showing a regular increasing tendency, impulsed by the prices of the comoditties. Since 2004, Imports are recovering from the economic crisis.

III. Argentinian General Trade Balance

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Exports of Industrial Manufactures are in records levels.

III. Argentinian General Trade Balance

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Imports are basically Industrial Manufactures.

III. Argentinian General Trade Balance

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III. Argentinian General Trade Balance

Source: MECON database.

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III. Argentinian General Trade Balance

Source: MECON database.

Exports by Partner

49,6%

18,8%

9,3%

7,5%

7,4%2,5% 1,5%

0,2% Taiwan1,1%2,2%

Others Brazil ChinaChile USA ItalyGermany India FranceTaiwan

Source: MECON database.

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III. Argentinian General Trade Balance

Source: MECON database.

Imports by Partner

32%

32%

12%

11%

5% 2% 2% 2%1%

1%

Brasil Others Estados UnidosChina Alemania ItaliaFrancia Chile IndiaTaiwan

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IV. Argentinian & Taiwan Trade

The trade balance has been in deficit for Argentina

Source: MECON database.

-300.000.000

-200.000.000

-100.000.000

-

100.000.000

200.000.000

300.000.000

400.000.000

500.000.000

1996

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

Trade Balance

Exports

Imports

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IV. Argentinian & Taiwan Trade

Source: MECON database.

-300.000.000

-200.000.000

-100.000.000

-

100.000.000

200.000.000

300.000.000

400.000.000

2002

2003

2004

2005

2006

2007

Trade Balance

Exports

Imports

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IV. Argentinian & Taiwan Trade

The Taiwan Participation in Argentinian Trade is moderated.

Source: MECON database.

0,3%

0,4%

0,2%0,3%

0,2%0,2%

0,7%

0,9%

0,8%0,8%

0,8%

0,7%

0,0%

0,1%

0,2%

0,3%

0,4%

0,5%

0,6%

0,7%

0,8%

0,9%

1,0%

2002

2003

2004

2005

2006

2007

Participation in Total Exports

Participation in Total Imports

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IV. Argentinian & Taiwan Trade

The argentinian imports from Taiwan are increasing year by year, insted of the exports wich are strongly related with commodities prices. However, the trade between those countries have been growing up.

Source: MECON database.-100%

-50%

0%

50%

100%

150%

200%

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

Dinamics Exports

Dinamics Imports

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IV. Argentinean & Taiwan Trade

Source: MECON database.

Taiwan - Argentina ( Exports + Imports)

-

200.000.000

400.000.000

600.000.000

800.000.00019

96

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

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IV. Argentinean & Taiwan Trade

Source: MECON database.

0

20000000

40000000

60000000

80000000

100000000

120000000

140000000

160000000

1996

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

Capital Goods

Consumption Goods

Intermediate Goods

Parts

Vehicles

Imports from Taiwan by Economic Use

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Source: MECON database.

IV. Argentinean & Taiwan Trade

Exports Composition to Taiwan in 2007

0%

65%15%

20%

Energy GoodsManufactures of Agropecuarian Origin (MAO)Manufactures of Industrial Origin (MIO)Primary Products

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Composition:

Full Members of MERCOSUR (Argentina, Brazil, Paraguay and Uruguay), Becoming Full Member (Venezuela)Associated States (Colombia, Ecuador, Peru, Bolivia and Chile)Observers Countries (Mexico)

V. MERCOSUR

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MERCOSUR TIPSAfter seventeen years, the MERCOSUR has become the largest and strongest economic block in Latin America.

Its principal character is Brazil, which is the region's largest economy with a GDP of nearly $800 billion that means almost 70% of MERCOSUR´s total GDP.

Actually, the total population of MERCOSUR´s countries is more than 250 million people, which means that it is now the world's fourth-largest trading bloc, after the European Union (EU), North American Free Trade Agreement (NAFTA), and the Association of South East Asian Nations (ASEAN).

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MERCOSUR TIPSThe Asuncion’s Treaty, signed in March 1991 by Argentina, Brazil, Paraguay, and Uruguay meant the creation of the Common Market of the South (MERCOSUR).

It main objective is to allow for a free trade between the full member states.

The treaty establish an automatic and across-the-board trade liberalization program, a general regime of rules of origin, procedures for intraregional safeguards, a target date to enforce a dispute settlement mechanism, and ten working groups.

The main objective is to manage the coordination of macroeconomics policies.

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Source: MECON database.

III. Argentinian General Trade Balance

Composition by Mayor Items

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