Argentina's metal sector contracts 4.6% in June amid low capacity use

metalurgic decline Argentina capacity utilisation ADIMRA provincial output

The Argentine metal industry recorded a 4.6% inter‑annual drop in production in June 2026, extending a 5.7% cumulative decline for the first half of the year. Capacity utilisation fell to 40.8%, 5.1 percentage points below the same month a year earlier, meaning six of every ten machines were idle. Employment in the sector shrank 2.3% year‑over‑year and 0.2% month‑over‑month.

All metal‑heavy provinces posted negative results. Córdoba led the downturn with a 5.7% fall, followed by Buenos Aires at -5.6%, Entre Ríos -4.5%, Mendoza -3.2% and Santa Fe –1.2%, the latter helped by a partial rebound in agricultural machinery which grew 3.6%. ADIMRA President Elio Del Re warned that “the recovery continues in an environment of clear uncertainty” and called for investment‑driving measures to protect jobs.

The slowdown reflects weak domestic demand and reduced imports, with most of the eight metal sub‑sectors posting declines except agricultural machinery.