Election puts pressure on tourist spot turned tech hub

Global Business

This is an election year for Chile’s eastern neighbor, Argentina, and there is a 5-year-old government initiative that could turn the tide of the election. It turned one of the country’s remote tourist destinations into a tech hub, but critics say it may not last much longer. CCTV’s Joel Richards filed this report from Tierra del Fuego.

Follow Joel Richards on Twitter @joel_richards

Election puts pressure on tourist spot turned tech hub

Election puts pressure on tourist spot turned tech hub

This is an election year for Chile's eastern neighbor, Argentina, and there is a 5-year-old government initiative that could turn the tide of the election. It turned one of the country's remote tourist destinations into a tech hub, but critics say it may not last much longer.

Highlights:

  • Tourism has long been an important source of income and jobs. But in 2009, a new industrial law offered tax breaks for electronics companies looking to expand and boost industry here. Newsan is the biggest company in Tierra del Fuego. It makes on average a new TV every eight seconds, an air conditioning unit every 20.
  • Most of the electronic goods bought in Argentina come from these factory lines. Government policies protect the industry from cheaper imports. Critics say the products here are merely assembled with imported parts. But there is more to this electronics industry hub than just jobs.
  • Companies have invested hundreds of millions of dollars to improve competitiveness. But it’s an election year, and presidential candidates are promising a more open economy. The question remains how sustainable is the electronics initiative for those who live and work at what they say is the ‘end of the world.’