The industrial index of INDEC recorded a strong year-on-year and monthly decline.
Fourteen of sixteen sectors retreated, with marked declines in textiles and machinery.
Sharp drop in industrial activity
Industrial activity in Argentina deepened its negative trend in February 2026. According to the report from the National Institute of Statistics and Censuses (INDEC)he Manufacturing Industrial Production Index (IPI) recorded a drop of 8.7% year-on-year compared to the same month of 2025.
The deterioration was also reflected in the seasonally adjusted monthly measurement, which marked a drop of 4,0% compared to January. With these results, the cumulative figure for the first two months of the year shows a contraction of 6.0% year-on-yearconsolidating an adverse scenario for the sector.
Widespread impact on almost the entire industry
The setback had a wide scope within the productive network. Of the 16 divisions that make up the manufacturing industry, 14 recorded year-on-year declines during February.
This behavior shows a generalized contraction, with an impact on both sectors linked to mass consumption and those related to the production of capital goods.
Sectors most affected by the fall
Among the hardest hit items, the report highlights the collapse of “Textile products”which fell 33.2% year-on-yearbeing the largest drop of the month.
They followed:
- “Machinery and equipment”: -29,4%
- “Other equipment, apparatus and instruments”: -24,6%
- “Motor vehicles”: -24,6%
In terms of incidence, the division of “Food and drinks”the one with the greatest weight in the index, registered a fall of 6.9% year-on-yearwhich deepened the impact at the general level.
Other sectors with significant declines were:
- “Rubber and plastic products”: -15,7%
- “Tobacco products”: -14,9%
- “Basic metal industries”: -12,5%
- “Furniture and mattresses”: -12,3%
Declines were also observed in:
- “Clothing, leather and footwear”: -18,2%
- “Non-metallic mineral products”: -7,2%
- “Metal products”: -5,7%
- “Wood, paper, publishing and printing”: -1,5%
The only exceptions: oil and chemicals
In contrast to the general trend, only two large categories managed to grow in February. The block of “Petroleum refining, chemicals, rubber and plastic products” registered an increase of 2.7% year-on-year.
Within this group, the division of “Oil refining, coke and nuclear fuel”with an increase of 19,7%powered by:
- Gasoil: +23,8%
- Oil: +10,8%
For its part, “Chemical substances and products” grew 3.7% year-on-yearbecoming the only sector with a significant positive impact on the general level.
Disparate behaviors within the categories
Despite the negative scenario, some specific activities showed improvements. In “Food and drinks”the category of milk products grew 8.1% year-on-yearcontrasting with falls in:
- Oilseed grinding: -21,9%
- meat products: vaccine -8.2% and poultry -7.4%
In the case of the textile sector, the adjustment was more pronounced. The “Weaving and finishing of textile products” they collapsed 47,0%while the “Cotton yarn” they fell 30,7%. Only the “Preparation of textile fibers” showed an increase of 21,5%although with low incidence in the total.
February’s performance confirms the continuity of a contractionary cycle in the industry, in a context of falling consumption and difficulties in different productive segments.
Although some specific sectors managed to cushion the decline, the magnitude and extent of the falls reflect a scenario of structural weakness in the short term. The evolution of the coming months will be key to determining whether the trend manages to stabilize or worsens its deterioration.
