On October 14, 2025, a striking scene unfolded at the White House: Argentina’s President Javier Milei, flanked by his sister Karina Milei, Minister of Security Patricia Bullrich, and Central Bank chief Santiago Bausili, met with U.S. President Donald Trump and Treasury Secretary Scott Bessent. The meeting, which had been anticipated for days, centered around a $20 billion financial lifeline for Argentina—a deal that’s since sparked controversy from the soybean fields of Iowa to the halls of Congress in Washington.
The roots of this bailout stretch back to October 9, when Bessent announced the U.S. Treasury would extend a $20 billion currency swap line to Argentina’s central bank. In essence, the U.S. agreed to swap dollars for pesos, aiming to prop up the embattled Argentine currency. The move was meant to address what Bessent described as a “moment of acute illiquidity” in Argentina’s economy, which has been reeling under Milei’s libertarian reforms. According to ABC News, Bessent explained, “We just want to see Argentina do well.”
But the details of the deal remain murky. As of October 14, the Treasury Department had yet to publish the terms of the swap agreement, leaving many to wonder exactly how U.S. taxpayer dollars are being used. Bessent has insisted it’s not a bailout but a credit line to a key South American ally, emphasizing U.S. strategic interests and support for economic reforms. He told reporters, “It is a private sector solution to Argentina's upcoming debt payments, and many banks are interested in it, and many sovereign funds have expressed interest in being part of it.”
Yet, the move has infuriated many American farmers, especially soybean producers already battered by the ongoing trade war with China. China, which bought more than 50 percent of U.S. soybean exports in 2023 and 2024, has dramatically reduced its purchases, turning instead to Argentina and Brazil. Ben Steffen, a Nebraska soybean and corn farmer, voiced a sentiment echoed across the Midwest: “Clearly, people are not happy about the markets, and my neighbors are not happy about bailing out Argentina.”
The American Soybean Association’s president, Kentucky farmer Caleb Ragland, put it even more bluntly in September: “U.S. soybean prices are falling, harvest is underway, and farmers read headlines not about securing a trade agreement with China, but that the U.S. government is extending $20 billion in economic support to Argentina while that country drops its soybean export taxes to sell 20 shiploads of Argentine soybeans to China in just two days.” He added, “The farm economy is suffering while our competitors supplant the United States in the biggest soybean import market in the world.”
For Minnesota farmer Darin Johnson, the deal has cost the U.S. leverage in trade negotiations with China. Still, he remains hopeful: “We’re going to put it to good faith in this administration that we are going to get a trade deal, but we are running out of time.” Ryan Marquardt, an Iowa farmer, questioned the logic of the bailout, saying, “It does feel like you are propping up your competition. It does seem counterintuitive to the America First ideology.”
Criticism hasn’t been limited to the fields. Democrats and some Republicans have openly questioned the wisdom of sending billions overseas while American farmers struggle. The Democratic National Committee declared, “The truth is clear: Trump put America second, bailing out another country while abandoning American farmers.” Iowa Republican Senator Chuck Grassley wondered aloud on X, “Why would USA help bail out Argentina while they take American soybean producers' biggest market? We shld use leverage at every turn to help hurting farm economy Family farmers shld be top of mind in negotiations by representatives of USA.”
Despite the uproar, Trump has doubled down on the deal, framing it as a strategic move to support a conservative ally in South America—especially with Argentina’s high-stakes election looming on October 26. Milei, whose radical neoliberal agenda has included slashing the size of the state, privatizing public companies, and reducing public spending, faces mounting discontent at home. According to reports cited by ABC News and other outlets, Milei’s approval ratings have been slipping amid rising living costs, corruption scandals (some involving his own sister), and deep cuts affecting students, retirees, and single mothers.
Trump made no secret of the political calculus behind the bailout. At a press conference, he stated, “If Milei doesn’t win … we will not be generous with Argentina if that happens.” He added, “If he loses, we are not going to be generous with Argentina. If he doesn’t win, we’re gone.” When pressed on whether the deal aligned with his “America First” vision, Trump simply answered, “no.”
Milei, for his part, has thrown his lot in with Washington, aligning Argentina’s foreign policy closely with the U.S. and publicly thanking Trump. In a post on X, Milei wrote, “Thank you very much, President Trump, for receiving me at the White House. Since before becoming president, I have maintained that the Argentine Republic should be a strategic ally of the United States of America, and now that the Argentine people have entrusted me to guide the destiny of our country, fulfilling that promise is another step in the direction we set out on December 10, 2023: Make Argentina Great Again (MAGA). The support that you and your great country have given us is vitally important for the continuity of the long road of reforms we have embarked upon.”
While the International Monetary Fund has endorsed Milei’s economic program, the U.S. bailout represents a historic injection of dollars that the IMF simply couldn’t match as quickly. Bessent underscored the urgency, saying, “The US Treasury is prepared, immediately, to take whatever exceptional measures are warranted to provide stability to markets.” He added that the U.S. is “committed to strengthening our allies who welcome fair trade and American investment.”
However, the deal has also raised eyebrows over potential conflicts of interest. Bessent has faced scrutiny for his ties to finance heavyweights like Rob Citrone and Stanley Druckenmiller, both of whom have significant investments in Latin America. Bessent has denied any connection between the bailout and his former colleagues, telling CNBC, “What we’re doing is maintaining a U.S. strategic interest in the Western Hemisphere.”
The stakes for both leaders are high. For Trump, the deal offers a chance to bolster a like-minded leader in South America and assert U.S. influence in the region—especially in the face of growing Chinese presence. For Milei, the bailout is a lifeline that could stabilize Argentina’s economy just in time for the election. As Bessent optimistically put it, “It’s hope for the future. I think that with the bridge the U.S. is giving them and with the strong policies, that Argentina can be great again.”
Yet, with the terms still unclear and criticism mounting at home and abroad, it remains to be seen whether this high-stakes gamble will pay off for either nation—or for the farmers and families caught in the crossfire.
