Argentina's Manufacturing Sector Faces Significant Monthly Decline in July
By Editor • September 9, 2026 • 1 min read
Argentina's manufacturing industry experienced a sharp contraction in July, with output plummeting by 5% from the previous month, marking the most significant decrease of 2026 thus far. The National Institute of Statistics and Census (INDEC) released this alarming data on Tuesday, highlighting a troubling trend for the country's industrial production.
In comparison to July 2025, the manufacturing production index fell 4.9%, with the cumulative contraction for the first seven months of the year resting at 2.6%. This decline interrupts a brief recovery seen in June when the sector grew by 2.1% year-on-year. Notably, twelve of the sixteen manufacturing divisions reported annual decreases, with the most severe drops in other equipment, appliances and instruments by 31.4%, and machinery and equipment by 26.7%.
Economist María Castiglioni expressed concern over the unexpected severity of the monthly drop, suggesting that it may lead to downward adjustments in growth forecasts for 2026. She noted that July is often volatile due to the winter holiday period. The textile sector is particularly struggling, facing diminished domestic demand and increased competition from imports, resulting in significant job losses and the closure of many establishments.
Source: en.mercopress.com
