Second Massive Transport Strike Challenges Milei Administration amid Economic Downturn and Legislative Struggles in Argentina

Argentines have experienced a second nationwide transportation strike since President Javier Milei took office in December, putting additional pressure on his administration as it confronts a critical juncture in Congress. This makes Milei the first president in recent Argentine history to face two strikes of such magnitude during the early stages of his tenure, indicating growing public opposition to him. Thursday’s strike caused trains, subways, and numerous bus routes to halt operations, completely immobilizing the Buenos Aires metropolitan region. Around 93,000 individuals traveling for flights will also be impacted, according to local news outlet TN. Milei’s current legislative approach is different from his initial one, which involved implementing reforms without consulting the political establishment he frequently criticizes. His most crucial piece of legislation, packed with pro-business provisions, is currently being considered by the Senate this month following its approval in the Chamber of Deputies last month. However, the country’s powerful unions are opposing Milei’s efforts to implement reforms aimed at reducing company severance expenses and reinforcing his austerity program. As investors monitor Milei’s Congressional progress closely, they view it as an indicator of his capacity to enact a business-friendly agenda that will enable Argentina to ultimately rejoin international capital markets. Following the previous administration’s default in 2020, the nation has not released fresh overseas bonds. The strike follows Argentina’s deteriorating economy, which can be attributed to Milei’s policies, including a 54% currency depreciation in December and significant government expenditure cutbacks. In March, manufacturing and construction saw some of their steepest declines since the COVID-19 outbreak, according to official statistics released on Wednesday.