More than 30,000 layoffs: 7 out of 10 industries laid off workers during Javier Milei's first year in office.

Industry in Argentina is going through a critical period under the administration of Javier Milei . According to a report by the organization Misión Productiva, 30,657 jobs were lost in the manufacturing sector between November 2023 and November 2024. Of the 265 sub-branches that comprise the industry, 184 registered declines in formal employment, equivalent to 70% of the total.

The hardest hit was felt in the automotive and auto parts industry. Motor vehicle manufacturing lost 2,096 jobs, while vehicle parts and accessories manufacturing reported 2,050 losses. Furthermore, two of the three most affected sectors in percentage terms were in the textile industry: athletic footwear manufacturing fell 33% and textile yarn manufacturing 25%. Electronic component manufacturing also suffered a 26% decline.

The data collected correspond to the statistical series on the covered working population published monthly by the Superintendency of Occupational Risks, under the Ministry of Human Capital . The analysis by Misión Productiva warns of a "deep and widespread contraction" in the industry, affecting a vast majority of sub-branches and jeopardizing productive recovery.

Among the main causes of this decline is the sharp decline in domestic consumption, resulting from the loss of purchasing power, which was particularly acute in the first months of 2024. Added to this is the paralysis of strategic sectors, such as construction, which typically boost related industries like the building materials industry.

Another factor that worsened the situation, although not considered decisive, was the dismantling of public policies supporting production. The elimination of credit lines for SMEs, sectoral incentives, and technological assistance tools deepened an already adverse situation, the report highlights.

Despite the industrial outlook, the economy as a whole is showing a different dynamic. The Monthly Estimator of Economic Activity (EMAE) recorded growth of 0.7% in February compared to the previous month and 5.7% year-on-year. However, industry continues to lag behind other sectors that managed to recover after the initial adjustments under Milei's administration.