Overview
- The sector contracted 0.9% in 2025 versus 2024 and remains about 20% below its recent peak, according to ADIMRA.
- Activity fell 1.3% from November, with broad declines across subsectors led by foundries (-19.8%), farm machinery (-8.5%), electrical equipment (-7.1%), auto parts (-5.8%) and capital goods (-5.4%), while bodies and trailers rose 1.5%.
- All major provinces recorded year-over-year drops in December, including Buenos Aires (-9.2%), Córdoba (-8.6%) and Santa Fe (-7.3%), with smaller declines in Mendoza (-2%) and Entre Ríos (-1.6%).
- Capacity utilization in metalworking slid to 44%, near pandemic lows, compared with 57.7% for overall manufacturing in November per INDEC.
- Trade pressures intensified as metal product imports rose 18.9% year over year in November and exports fell 10.4%, while ADIMRA warns its series shows import growth running above 70%; employment declined 2.5% year over year and eight in ten firms foresee flat or lower output without hiring.