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Argentina’s footwear industry faces deepening crisis

Oct 19, 2026 Argentina

Amid falling domestic demand, rising imports and concerns over smuggling, Argentina’s footwear industry has lost around 10,000 jobs and seen approximately 100 factories close

Horacio Moschetto, president of the Chamber of the Footwear Industry, told El Destape: “The sector is in a very precarious situation. Over the last two years, 100 factories have closed and 10,000 jobs have been lost”. The downturn in the sector is attributed to weaker domestic consumption, increased import competition and concerns over smuggling.

The impact has been particularly severe in Buenos Aires province. In La Matanza, one of the country’s main footwear manufacturing centres, employment and production have declined significantly. The closure of factories, including a footwear plant in Coronel Suárez, has exacerbated concerns regarding industrial activity and local employment.

In response, the Buenos Aires provincial legislature is considering a bill that would declare a 12-month economic, productive and employment emergency for the footwear industry, with the possibility of an extension. Proposed measures include tax relief and payment plans for outstanding tax liabilities, as well as protection against disconnection of public utilities for eligible businesses. The proposal also stipulates that companies must retain registered employees in order to access the benefits.

Facundo Tignanelli, leader of the Unión por la Patria bloc in the Buenos Aires Province Chamber of Deputies, argued that “the proposed declaration of a state of emergency is a temporary and exceptional measure designed to create the conditions needed to get through this critical period, safeguard jobs, and sustain economic activity until normal operations can resume”.

Meanwhile, manufacturers, suppliers, retailers and trade union representatives are organising a national demonstration in Buenos Aires on the 27^thof October. The aim is to call for measures that will support domestic footwear production and safeguard jobs.

Sources: motoreconomico.com.ar; pagina12.com.ar; eldestapeweb.com

Image Credits: Rafael Rodrigues on Unsplash

Argentina Economy Employment Footwear