Higuain joined Inter Miami in September 2020, and has scored 15 goals in 44 MLS games for the team co-owned by David Beckham.
The 34-year-old is out of contract in December, and reports had suggested the former Real Madrid and Juventus striker was planning to move back to Argentina at the end of the campaign.
However, speaking to TNT Sports, his father, Jorge, said his son has told him he intends to end his career after he is finished in Miami.
"He is not going back to Argentina," his father, a former River Plate and Boca Juniors player, confirmed. "He told me that he is retiring at the end of the year. He is ending this year and is retiring from football.
"I would love for him to continue to be linked to football after playing. He is a boy who knows a lot, who has played in several places, he has everything to succeed. For me, it would be an insult if he does not continue in football."
After moving from River Plate to Madrid in December 2006, Higuain made a name for himself at Santiago Bernabeu, scoring 107 goals in 190 LaLiga appearances before moving to Napoli, where he famously broke the all-time Serie A record for goals in a single campaign (36 in 2015-16).
A big-money move to rivals Juventus saw him spend two seasons with the Bianconeri before loan moves to Milan and Chelsea. He spent one more year with Juve before heading to the United States in 2020.
He scored 31 goals in 75 games for Argentina.