Milei Clears Brazil-Argentina Naval Exercise Despite Rift

By The Rio Times | Created at 2026-08-07 08:41:57 | Updated at 2026-08-07 11:42:09 3 hours ago

IBOV 175,546.36 ▼ 1.23% IPSA 11,275.15 ▲ 1.05% IPC MEX 66,396.15 ▼ 0.19% MERVAL 3,100,732 ▼ 1.76% COLCAP 2,350.44 ▲ 0.24% BVL PERÚ 58,781.02 ▲ 0.81% USD/BRL5.11▲ 0.04% USD/MXN17.18▼ 0.25% USD/CLP915.30▼ 0.06% USD/COP3,152▼ 0.93% USD/PEN3.38▲ 0.14% USD/ARS1,500▼ 0.02% USD/UYU40.24▲ 1.43% USD/PYG5,919▲ 1.21% USD/BOB11.81▼ 1.30% USD/DOP58.19▼ 0.19% USD/CRC449.80▲ 1.96% USD/GTQ7.62▲ 2.32% USD/HNL26.78▲ 0.64% USD/NIO36.62▲ 0.75% USD/VES754.82▼ 0.13% USD/PAB1.00— 0.00% USD/BZD2.00— 0.00% USD/JMD157.89▲ 0.39% USD/TTD6.68▲ 0.41% EUR/BRL5.89▼ 0.70% BRENT 83.21 ▲ 0.87% WTI 77.74 ▲ 0.58% IRON ORE 161.91 — — COPPER 6.72 ▲ 0.49% GOLD 4,354 ▲ 2.64% SILVER 64.40 ▲ 4.82% SOY 1,182 ▲ 2.14% CORN 463.75 ▲ 5.64% WHEAT 635.25 ▲ 0.63% COFFEE 306.90 ▼ 4.59% SUGAR 15.82 ▲ 1.61% ORANGE JUICE 152.55 ▼ 3.27% COTTON 83.29 ▲ 1.77% COCOA 5,829 ▼ 0.90% BEEF 225.20 ▼ 3.83% CATTLE 341.75 ▼ 3.28% LITHIUM 72.41 ▼ 0.33% PETR4 42.13 ▲ 0.48% VALE3 75.39 ▼ 1.66% ITUB4 41.83 ▼ 1.30% BBDC4 17.70 ▼ 1.94% ABEV3 15.66 ▼ 1.14% BBAS3 20.28 ▼ 3.66% B3SA3 15.36 ▼ 1.22% WEGE3 48.40 ▼ 0.82% PRIO3 58.61 ▼ 1.00% SUZB3 41.97 ▼ 2.03% RENT3 38.16 ▼ 2.65% AZZA3 16.19 ▲ 1.44% CSAN3 3.79 ▼ 3.07% RAIZ4 0.26 — 0.00% PCAR3 2.90 ▼ 1.36% GMAT3 3.82 ▼ 1.80% PSSA3 52.65 ▼ 1.55% CVCB3 1.51 ▼ 2.58% POSI3 3.48 ▲ 0.58% SLCE3 13.21 ▼ 2.22% NATU3 8.18 ▼ 1.45% BRKM5 6.05 ▲ 3.07% RANI3 8.31 ▼ 0.95% CSNA3 4.74 ▼ 3.07% CMIN3 5.75 ▼ 2.54% USIM5 7.19 ▼ 3.62% GGBR4 25.65 ▼ 2.51% ENEV3 26.60 ▼ 1.41% CPFE3 45.85 ▼ 0.52% CMIG4 11.11 ▼ 1.24% EQTL3 38.43 ▼ 1.91% LREN3 13.48 ▼ 1.39% VIVT3 30.89 ▼ 1.03% RAIL3 13.71 ▼ 2.00% KLABIN 18.02 ▼ 3.33% RAIA DROGASIL 20.12 ▼ 2.09% RDOR3 34.06 ▼ 1.13% HAPV3 11.13 ▲ 0.18% FLRY3 17.27 ▼ 0.52% SMTO3 14.69 ▲ 2.73% UGPA3 32.75 ▲ 1.05% VBBR3 35.05 ▼ 0.11% BBSE3 40.96 ▼ 1.70% BPAC11 56.20 ▼ 1.07% CURY3 31.53 ▼ 1.56% AERI3 2.29 ▼ 0.43% VIVARA 21.81 ▼ 2.15% COMPASS 23.32 ▼ 3.72% VAMOS 3.11 ▼ 6.33% SANB11 29.27 ▼ 0.71% ASAI3 8.49 ▼ 3.85% SBSP3 27.39 ▼ 1.15% WALMEX 49.01 ▲ 0.99% GMEXICO 219.13 ▼ 1.46% FEMSA 210.07 ▼ 2.01% CEMEX 19.48 ▼ 2.40% GFNORTE 199.00 ▲ 0.04% BIMBO 60.64 ▼ 0.85% TELEVISA 9.80 ▲ 2.94% AMX 20.62 ▼ 0.82% GAP 382.00 ▲ 2.03% ASUR 277.72 ▲ 1.76% OMA 237.70 ▲ 0.68% KOF 188.00 ▲ 0.42% GRUMA 253.56 ▼ 1.37% KIMBER 40.15 ▼ 0.02% SQM-B 66,300 ▲ 3.67% COPEC 6,200 ▼ 1.40% BSANTANDER 81.06 ▲ 1.07% FALABELLA 6,400 ▲ 0.85% ENELAM 87.61 ▲ 0.64% CENCOSUD 2,060 ▲ 1.99% CMPC 1,030 ▼ 0.01% BANCO CHILE 191.70 ▲ 0.78% LATAM AIR 26.35 ▼ 0.11% YPF 7,840 ▲ 2.02% GGAL 7,385 ▼ 3.34% PAMPA 5,215 ▼ 1.79% TXAR 680.00 ▼ 0.15% ALUAR 931.00 ▼ 0.96% TGS 9,205 ▼ 0.43% CEPU 2,189 ▼ 3.27% MIRGOR 1,625 ▲ 0.31% COME 41.20 ▼ 0.60% LOMA NEGRA 3,393 ▼ 3.00% BYMA 290.00 ▲ 0.52% TELECOM ARG 4,345 ▲ 0.23% ECOPETROL 17.40 ▲ 6.16% BANCOLOMBIA 90.25 ▲ 0.12% GRUPO AVAL 5.11 ▼ 3.58% CREDICORP 392.56 ▼ 0.59% SOUTHERN COPPER 193.03 ▼ 2.02% BUENAVENTURA 32.57 ▼ 1.30% MERCADOLIBRE 1,830 ▼ 4.81% NUBANK 14.12 ▼ 2.49% XP 16.68 ▼ 1.77% PAGSEGURO 9.36 ▼ 0.43% STONE 11.08 ▼ 0.81% GLOBANT 37.24 ▼ 2.97% TECNOGLASS 44.47 ▼ 6.87% GAP AIRPORT 222.11 ▲ 2.11% ASUR 277.72 ▲ 1.76% OMA AIRPORT 111.21 ▲ 1.46% AMX ADR 23.91 ▼ 0.46% FEMSA ADR 122.15 ▼ 1.79% CEMEX ADR 11.30 ▼ 2.16% PETROBRAS ADR 18.52 ▲ 0.87% VALE ADR 14.72 ▼ 1.47% ITAU ADR 8.18 ▼ 0.37% SANTANDER BR 5.79 ▼ 0.09% AMBEV ADR 3.01 ▼ 0.66% CSN 0.94 ▼ 3.84% GERDAU 5.05 ▼ 1.83% LATAM ADR 57.45 ▼ 0.43% BTC 64,464 ▲ 0.31% ETH 1,907 ▲ 0.23% SOL 73.01 ▲ 0.60% XRP 1.03 ▼ 0.52% BNB 587.75 ▼ 0.66% ADA 0.20 ▲ 0.63% DOGE 0.07 ▲ 0.54% AVAX 6.42 ▼ 0.10% LINK 8.21 ▲ 0.35% DOT 0.82 ▼ 0.60% LTC 45.68 ▲ 0.61% BCH 215.71 ▲ 1.51% TRX 0.33 — 0.00% XLM 0.16 ▲ 0.47% HBAR 0.07 ▲ 0.72% NEAR 1.65 ▼ 0.50% ATOM 1.36 ▲ 0.26% AAVE 90.40 ▲ 0.91% SELIC 14.00% — EMBRAER 91.65 ▼ 1.46% EMBRAER ADR 71.93 ▼ 1.17% JBS 13.69 ▼ 0.07% JBS BDR 69.90 ▼ 0.91% MBRF3 16.46 ▼ 1.85% MBRFY 3.24 ▲ 3.85% INTER 5.72 ▲ 0.18% IBOV 175,546.36 ▼ 1.23% IPSA 11,275.15 ▲ 1.05% IPC MEX 66,396.15 ▼ 0.19% MERVAL 3,100,732 ▼ 1.76% COLCAP 2,350.44 ▲ 0.24% BVL PERÚ 58,781.02 ▲ 0.81% USD/BRL 5.11 ▲ 0.04% USD/MXN 17.18 ▼ 0.25% USD/CLP 915.30 ▲ 0.19% USD/COP 3,152 ▼ 0.93% USD/PEN 3.38 ▲ 0.14% USD/ARS 1,500 ▲ 0.22% USD/UYU 40.24 ▲ 1.20% USD/PYG 5,919 ▲ 1.22% USD/BOB 11.81 ▼ 1.32% USD/DOP 58.19 ▼ 0.19% USD/CRC 449.80 ▲ 1.96% USD/GTQ 7.62 ▲ 2.31% USD/HNL 26.78 ▲ 0.64% USD/NIO 36.62 ▲ 0.75% USD/VES 754.82 ▼ 0.02% USD/PAB 1.00 — 0.00% USD/BZD 2.00 — 0.00% USD/JMD 157.89 ▲ 0.39% USD/TTD 6.68 ▲ 0.41% EUR/BRL 5.89 ▼ 0.70% BRENT 83.21 ▲ 0.87% WTI 77.74 ▲ 0.58% IRON ORE 161.91 — — COPPER 6.72 ▲ 0.49% GOLD 4,354 ▲ 2.64% SILVER 64.40 ▲ 4.82% SOY 1,182 ▲ 2.14% CORN 463.75 ▲ 5.64% WHEAT 635.25 ▲ 0.63% COFFEE 306.90 ▼ 4.59% SUGAR 15.82 ▲ 1.61% ORANGE JUICE 152.55 ▼ 3.27% COTTON 83.29 ▲ 1.77% COCOA 5,829 ▼ 0.90% BEEF 225.20 ▼ 3.83% CATTLE 341.75 ▼ 3.28% LITHIUM 72.41 ▼ 0.33% PETR4 42.13 ▲ 0.48% VALE3 75.39 ▼ 1.66% ITUB4 41.83 ▼ 1.30% BBDC4 17.70 ▼ 1.94% ABEV3 15.66 ▼ 1.14% BBAS3 20.28 ▼ 3.66% B3SA3 15.36 ▼ 1.22% WEGE3 48.40 ▼ 0.82% PRIO3 58.61 ▼ 1.00% SUZB3 41.97 ▼ 2.03% RENT3 38.16 ▼ 2.65% AZZA3 16.19 ▲ 1.44% CSAN3 3.79 ▼ 3.07% RAIZ4 0.26 — 0.00% PCAR3 2.90 ▼ 1.36% GMAT3 3.82 ▼ 1.80% PSSA3 52.65 ▼ 1.55% CVCB3 1.51 ▼ 2.58% POSI3 3.48 ▲ 0.58% SLCE3 13.21 ▼ 2.22% NATU3 8.18 ▼ 1.45% BRKM5 6.05 ▲ 3.07% RANI3 8.31 ▼ 0.95% CSNA3 4.74 ▼ 3.07% CMIN3 5.75 ▼ 2.54% USIM5 7.19 ▼ 3.62% GGBR4 25.65 ▼ 2.51% ENEV3 26.60 ▼ 1.41% CPFE3 45.85 ▼ 0.52% CMIG4 11.11 ▼ 1.24% EQTL3 38.43 ▼ 1.91% LREN3 13.48 ▼ 1.39% VIVT3 30.89 ▼ 1.03% RAIL3 13.71 ▼ 2.00% KLABIN 18.02 ▼ 3.33% RAIA DROGASIL 20.12 ▼ 2.09% RDOR3 34.06 ▼ 1.13% HAPV3 11.13 ▲ 0.18% FLRY3 17.27 ▼ 0.52% SMTO3 14.69 ▲ 2.73% UGPA3 32.75 ▲ 1.05% VBBR3 35.05 ▼ 0.11% BBSE3 40.96 ▼ 1.70% BPAC11 56.20 ▼ 1.07% CURY3 31.53 ▼ 1.56% AERI3 2.29 ▼ 0.43% VIVARA 21.81 ▼ 2.15% COMPASS 23.32 ▼ 3.72% VAMOS 3.11 ▼ 6.33% SANB11 29.27 ▼ 0.71% ASAI3 8.49 ▼ 3.85% SBSP3 27.39 ▼ 1.15% WALMEX 49.01 ▲ 0.99% GMEXICO 219.13 ▼ 1.46% FEMSA 210.07 ▼ 2.01% CEMEX 19.48 ▼ 2.40% GFNORTE 199.00 ▲ 0.04% BIMBO 60.64 ▼ 0.85% TELEVISA 9.80 ▲ 2.94% AMX 20.62 ▼ 0.82% GAP 382.00 ▲ 2.03% ASUR 277.72 ▲ 1.76% OMA 237.70 ▲ 0.68% KOF 188.00 ▲ 0.42% GRUMA 253.56 ▼ 1.37% KIMBER 40.15 ▼ 0.02% SQM-B 66,300 ▲ 3.67% COPEC 6,200 ▼ 1.40% BSANTANDER 81.06 ▲ 1.07% FALABELLA 6,400 ▲ 0.85% ENELAM 87.61 ▲ 0.64% CENCOSUD 2,060 ▲ 1.99% CMPC 1,030 ▼ 0.01% BANCO CHILE 191.70 ▲ 0.78% LATAM AIR 26.35 ▼ 0.11% YPF 7,840 ▲ 2.02% GGAL 7,385 ▼ 3.34% PAMPA 5,215 ▼ 1.79% TXAR 680.00 ▼ 0.15% ALUAR 931.00 ▼ 0.96% TGS 9,205 ▼ 0.43% CEPU 2,189 ▼ 3.27% MIRGOR 1,625 ▲ 0.31% COME 41.20 ▼ 0.60% LOMA NEGRA 3,393 ▼ 3.00% BYMA 290.00 ▲ 0.52% TELECOM ARG 4,345 ▲ 0.23% ECOPETROL 17.40 ▲ 6.16% BANCOLOMBIA 90.25 ▲ 0.12% GRUPO AVAL 5.11 ▼ 3.58% CREDICORP 392.56 ▼ 0.59% SOUTHERN COPPER 193.03 ▼ 2.02% BUENAVENTURA 32.57 ▼ 1.30% MERCADOLIBRE 1,830 ▼ 4.81% NUBANK 14.12 ▼ 2.49% XP 16.68 ▼ 1.77% PAGSEGURO 9.36 ▼ 0.43% STONE 11.08 ▼ 0.81% GLOBANT 37.24 ▼ 2.97% TECNOGLASS 44.47 ▼ 6.87% GAP AIRPORT 222.11 ▲ 2.11% ASUR 277.72 ▲ 1.76% OMA AIRPORT 111.21 ▲ 1.46% AMX ADR 23.91 ▼ 0.46% FEMSA ADR 122.15 ▼ 1.79% CEMEX ADR 11.30 ▼ 2.16% PETROBRAS ADR 18.52 ▲ 0.87% VALE ADR 14.72 ▼ 1.47% ITAU ADR 8.18 ▼ 0.37% SANTANDER BR 5.79 ▼ 0.09% AMBEV ADR 3.01 ▼ 0.66% CSN 0.94 ▼ 3.84% GERDAU 5.05 ▼ 1.83% LATAM ADR 57.45 ▼ 0.43% BTC 64,464 ▲ 0.31% ETH 1,907 ▲ 0.23% SOL 73.01 ▲ 0.60% XRP 1.03 ▼ 0.52% BNB 587.75 ▼ 0.66% ADA 0.20 ▲ 0.63% DOGE 0.07 ▲ 0.54% AVAX 6.42 ▼ 0.10% LINK 8.21 ▲ 0.35% DOT 0.82 ▼ 0.60% LTC 45.68 ▲ 0.61% BCH 215.71 ▲ 1.51% TRX 0.33 — 0.00% XLM 0.16 ▲ 0.47% HBAR 0.07 ▲ 0.72% NEAR 1.65 ▼ 0.50% ATOM 1.36 ▲ 0.26% AAVE 90.40 ▲ 0.91% SELIC 14.00% — EMBRAER 91.65 ▼ 1.46% EMBRAER ADR 71.93 ▼ 1.17% JBS 13.69 ▼ 0.07% JBS BDR 69.90 ▼ 0.91% MBRF3 16.46 ▼ 1.85% MBRFY 3.24 ▲ 3.85% INTER 5.72 ▲ 0.18%

Argentina · DEFENCE

Key Facts

—The authorization. President Javier Milei’s Decree 717/2026 permits Brazilian naval personnel and equipment to enter Argentina from 10 to 24 August for the bilateral Fraterno XXXIX exercise.

—The exercise. The drills run from 13 to 24 August at Puerto Belgrano and Mar del Plata naval bases and in Argentine waters between them.

—The mission. Fraterno trains the two navies in combined naval, air-naval and amphibious operations, including antisubmarine warfare.

—The legal route. Milei used an emergency decree because Congress had not considered the annual bill authorizing foreign-force entries and Argentine deployments abroad.

—The Brazilian force. Annex I lists Tamandaré- and Niteroi-class frigates, the submarine-rescue vessel Guillobel and a Riachuelo-class submarine, carrying about 450 personnel between them, plus staff officers and specialists.

—The cost. Argentina budgets ARS1.309 billion (about US$875,000) for the operation from existing Argentine Navy funds.

—The contrast. Reuters reported, citing a Brazilian government source, that Brazil had reduced its representation in Buenos Aires to chargé d’affaires level after Milei again insulted President Luiz Inácio Lula da Silva.

Milei approved a Brazil-Argentina naval exercise for August, keeping Fraterno XXXIX on schedule despite a sharp deterioration in diplomatic relations.

Casa Rosada, the seat of Argentina's presidency in Buenos Aires

One-stop reference

Company Intelligence

Every listed company in Latin America — financials, ownership and structure for 1,450+ companies across 26 exchanges, in one place.

Browse the directory →

What Milei authorized

Decree 717/2026, signed on 5 August and published the following day, authorizes Brazilian naval personnel and assets to enter Argentine territory from 10 to 24 August. Fraterno XXXIX itself is scheduled for 13–24 August at the Puerto Belgrano and Mar del Plata naval bases and across the Argentine exclusive economic zone between them.

Annex I lists a Tamandaré-class frigate with about 135 personnel, a Niteroi-class frigate with about 200, the submarine-rescue vessel Guillobel with about 80 and a Riachuelo-class submarine with about 35, plus Brazilian staff officers and specialists. It puts Argentina’s operating cost at ARS1.309 billion (about US$875,000), financed from the Argentine Navy’s budget.

Why Fraterno matters to both navies

Argentina and Brazil have conducted Fraterno annually since 1978. The exercise is designed to standardize planning and command procedures while improving interoperability in naval, air-naval and amphibious operations. Argentina’s decree specifically identifies antisubmarine warfare as a reason for participating.

The Argentine government argued that withdrawal would significantly weaken training for high-complexity tactical operations with Brazil. That language frames participation less as a diplomatic gesture than as a practical requirement for maintaining combined naval skills.

An emergency decree fills Congress’s gap

Under Argentina’s constitutional framework, Congress authorizes the entry of foreign troops and the deployment of national forces abroad. The executive had submitted a bill covering the combined-exercise program from 1 September 2025 through 31 August 2026, but lawmakers had not acted on it.

With the first Brazilian arrivals due on 10 August, Milei’s cabinet used a decree of necessity and urgency. The same instrument also authorizes Argentine participation in Viekaren XXVI with Chile and in Siforex XIV and Unitas LXVII in Peru. The decree must now be reviewed by Congress’s Permanent Bicameral Commission under Argentina’s DNU procedure.

Military links survive the diplomatic freeze

The timing gives the exercise political significance. Reuters reported, citing a Brazilian government source, that Brazil told Argentina relations would be handled at chargé d’affaires level and that Ambassador Julio Bitelli would not return to Buenos Aires for now. The move followed Milei’s renewed attacks on Lula during an Argentine television interview.

Argentina’s foreign minister, Pablo Quirno, said Buenos Aires would not answer with a reciprocal diplomatic measure. Milei and Lula have not held a formal bilateral meeting since the Argentine president took office in December 2023. Yet the decision to proceed with Fraterno shows that professional military channels can remain functional even when presidential diplomacy is nearly frozen.

Why this matters for Latin America

Brazil and Argentina share long South Atlantic coastlines. Their naval cooperation supports shared procedures in waters carrying regional trade and helps prevent a personal political conflict from spreading into every layer of the bilateral relationship.

For governments and companies watching regional risk, the distinction matters. Diplomatic downgrades can slow political coordination, but they do not automatically dissolve technical arrangements built over decades. Fraterno XXXIX is a test of whether that institutional insulation still holds under unusually hostile rhetoric.

What to watch next

The immediate test is whether the authorized Brazilian personnel and equipment begin entering on 10 August and the full exercise starts on 13 August as planned. Beyond the drills, watch the bicameral commission’s review of the emergency decree and whether Brazil keeps its embassy at the lower level after Fraterno ends. Any operational reduction or cancellation would signal that the political rupture is beginning to affect defense cooperation.

Frequently Asked Questions

What is Fraterno XXXIX?

It is the 2026 edition of an annual Argentina–Brazil naval exercise held since 1978 to improve combined planning, interoperability and tactical training.

When and where will the exercise take place?

Brazilian personnel and equipment are authorized to enter Argentina from 10 to 24 August. The drills run from 13 to 24 August around Puerto Belgrano, Mar del Plata and the Argentine waters between them.

Why did Milei use an emergency decree?

Congress had not considered the annual bill authorizing foreign forces to enter Argentina and Argentine forces to deploy abroad before the exercise dates.

Has Brazil broken diplomatic relations with Argentina?

No. Reuters reported, citing a Brazilian government source, that Brazil downgraded its representation in Buenos Aires to chargé d’affaires level and that Ambassador Julio Bitelli would not return for now.

What will the two navies practise?

The decree identifies naval, air-naval and amphibious operations, standardized command procedures and antisubmarine warfare training.