The rupture between Milei and Rocca exposes the cracks within the Government: the ambiguous role of Carlos Torrendell

When Javier Milei assumed the presidency, Techint and its CEO Paolo Rocca were considered strategic allies. The holding company contributed resources to the campaign, and its technical staff joined the administration. However, a confrontation triggered by the decision to import steel pipes from India for a Vaca Muerta gas pipeline exposed not only the rift between the President and the businessman but also the deep divisions within his government team.

The Trigger: a bidding process that became a political conflict

The conflict escalated after the Southern Energy consortium—comprising Pan American Energy, YPF, Pampa Energía, Harbour Energy, and Golar LNG—decided to acquire Indian-made steel pipes produced with Chinese steel for the gas pipeline project connecting Vaca Muerta fields to the Gulf of San Matías. Techint, the country’s leading steelmaker, publicly questioned this decision, arguing it harmed the local industry and employment. Techint’s bid was more expensive according to the Ministry of Deregulation’s analysis, though price was not the only element in dispute. What began as a commercial disagreement turned into an ideological confrontation over the economic openness model that Milei defends without concessions.

Decided to demonstrate that deregulated competition reduces costs, Milei did not hesitate to attack Rocca. From Mar del Plata, during the La Derecha Fest summit, the President launched unprecedented criticisms against the businessman, using his characteristic Manichean language: “Those who produce more expensive and lower-quality goods do not deserve market favor. If they try to impose it through shady dealings with the State, they must disappear and go bankrupt.” The offensive surprised most government officials, who were unaware of the extent of Milei’s antagonism toward one of Argentina’s most influential entrepreneurs.

Confusion within the Cabinet: Carlos Torrendell and strategic ambiguity

The initial reaction from the Executive was fragmented. While Federico Sturzenegger, Minister of Deregulation and State Transformation, publicly supported the Indian pipe purchase, most officials preferred to stay on the sidelines. This defensive stance was especially evident among those with longstanding ties to Techint.

Sandra Pettovello, Minister of Human Capital, highlighted this ambiguity. Pettovello has cultivated close relationships with the country’s most influential entrepreneurs since the start of her tenure and visited the Tenaris Etihad plant in Abu Dhabi. Her Secretary of Labor, Julio Cordero—former employee of Techint’s legal department—also chose to remain silent. Similarly, Carlos Torrendell, Secretary of Education appointed by Pettovello, did not get involved in the debate despite his previous institutional connection to Techint through his role at the Roberto Rocca Technical School. In fact, Torrendell was the one who proposed Ludovico Grillo—who led that institution—as head of the National Institute of Technological Education. None of these appointments were objected to by Casa Rosada, reflecting the complex ties linking the government to the company.

The hidden architects of the rupture

Off the public spotlight, multiple presidential advisors pointed to Santiago Caputo, the President’s chief counselor, as the intellectual architect behind the confrontation. According to various accounts, Caputo suggested to Milei that Rocca had orchestrated a supposed conspiracy to destabilize the government during the political and currency turbulence of 2025. However, several ministers who had never heard Milei mention these accusations privately expressed skepticism. “The real adversaries were others,” a senior official whispered in confidential conversations.

The contrast with other businessmen: Bulgheroni versus Rocca

The differentiated treatment of other industrial magnates highlights the selective nature of Milei’s policy. While Rocca faces open hostility from the government, entrepreneurs Bettina and Alejandro Bulgheroni enjoy evident closeness with the administration. Bettina Bulgheroni was appointed ambassador of the Brand Argentina in March 2024 and became the first woman elected to the Inter-American Council of Commerce and Production. Recently, she and Marcos Bulgheroni, CEO of Pampa Energía, joined the business delegation at the Davos Forum. In contrast, Rocca perceives only signs of hostility from Balcarce 50.

Rocca’s silent strategy and signals of peace

Rocca, described by one interlocutor as a “chess player” in political negotiations, adopted a strategy of non-response to Milei’s accusations, despite being under fire for three consecutive days. He also did not formally file a dumping complaint with authorities. These moves were interpreted by some government advisors as signs that the businessman seeks to resolve the crisis. However, from Casa Rosada, only confrontational statements are perceived, intensified since Sturzenegger took on his ministerial role.

The pending purge: officials with Techint backgrounds

Despite the tension, Milei has ruled out initiating a purge within his administration to remove officials with previous Techint experience or ties to Rocca. “What matters is that they align with the government’s ideas, regardless of their past employment,” say close to the President. This pragmatic stance contrasts with the tone of public confrontation.

Officials such as Ernesto Rona, Luis de Ridder, Horacio Amartino, and Miguel Ponte, among others with Techint backgrounds, have maintained a low profile to avoid speculation. “I was a Techint supporter, and this level of hostility surprises me,” privately commented an advisor involved in assembling La Libertad Avanza’s technical teams.

The symbolic dimension: competition versus loyalty

Ultimately, the conflict between Milei and Rocca goes beyond the specific bidding dispute. It reflects a deep tension between two visions: that of a president ideologically committed to radical deregulation and that of a businessman who believes unrestricted openness could threaten key industrial sectors. At the same time, it reveals how the government operates with significant internal cleavages, where figures like Carlos Torrendell navigate a complex ambiguity between their historical ties to Techint and their current institutional loyalty.

Whether Milei is willing to soften his stance will depend on the next moves of both actors. Meanwhile, Rocca’s calculated silence and the strategic distance of key government officials keep the door open for a possible rapprochement, although the President continues to show willingness to attack anyone he considers an obstacle to his economic liberalization project.