A report prepared by the Department of Economic Studies of the Association of Metallurgical Industrialists of the Argentine Republic (ADIMRA) indicates that the use of the sector’s installed capacity has decreased in line with the data from the worst July since the pandemic.
The metallurgical sector recorded a drop in its production of 11.7% year-on-year in July, although There was a slight growth of 1.3% compared to the previous month, similar to the pandemic exit records. In this way, it accumulates a contraction of 15.9% in relation to the same months of the previous year and configures the worst July since 2020, while compared to December 2023, the drop is 7.4%.
The report prepared by the Department of Economic Studies of the Association of Metallurgical Industrialists of the Argentine Republic (ADIMRA) in the run-up to the Metallurgical Congress, which will take place on September 12, It points out that the use of installed capacity, for its part, has also registered a decrease, standing at -9.6 percentage points below the same month of the previous year and -11% below the average for 2023.
In the analysis of the metallurgical industry, it is observed again, a systemic decline in all the subsectors that make up this industrial framework. These decreases range from -4% to -17%.
According to the detail, the companies Suppliers of the construction, final consumption and automotive value chains are those that have demonstrated the worst relative performances, with falls of up to 17%. However, in this area, a slowdown in the year-on-year decline was observed this month compared to previous months.
On the other hand, Those supplying the oil, gas and agricultural sectors demonstrated the best relative performancesbut they failed to grow compared to the previous year.
The year-on-year variations in the production of companies based on the most important value chains to which they supply also show generalized falls, although with some differences. Given that the metallurgical firms linked to the oil and gas chain continue to record the smallest negative year-on-year variations, followed by those linked to the mining sector and electric power.
The dynamics in the provinces
In the main metallurgical provinces, widespread declines are again observed in all regions. with declines ranging from 8% to 13% and a slowdown compared to previous months:
- In Santa FeAgricultural machinery was the sector that saw the least decrease in relative terms in the province. Something similar occurred in Buenos Aires, with several companies that improved their production levels compared to the previous year.
- Cordoba, Mendoza and Entre Riosfor their part, recorded variations below the average and slight slowdowns in the decline compared to previous months.
Exports and imports of the metallurgical sector
Regarding foreign trade, Both imports and exports of metallurgical products decreasedduring June (latest data available from INDEC), compared to the same month of the previous year.
The Exports totaled US$339 million in July and fell 0.6% compared to the previous year. Imports, on the other hand, amounted to US$1.459 billion and had a negative interannual variation of 42.6%.
In this way, During 2024, more than US$2.2 billion in metallurgical products were exported, while around US$10 billion were imported..
News in development.-
Source: Ambito
