Overview
- Industry group ADIMRA reported a 6.2% year‑on‑year drop in January activity, with capacity use down to 40.6%, the weakest reading in four years and 17.9% below recent peaks.
- All metal subsectors declined year over year, led by foundries (-17.8%), autoparts (-8.5%), electrical equipment (-5.5%), and capital goods (-0.6%).
- Sector employment fell 2.7% from a year earlier, while key provinces also shrank, including Buenos Aires (-8.4%), Córdoba (-6.1%) and Santa Fe (-3.2%).
- Metal product imports rose 14.8% year on year in December 2025, and ADIMRA surveys show 7 in 10 firms do not expect production improvements over the next three months.
- High‑profile shutdowns are intensifying concerns—tire maker FATE closed with about 920 layoffs—just as Di Tella’s leading index assigns a 99% probability of recession within six months.