Argentina textile industry on edge as factory closures hit

SEVERAL factories have closed, as Argentina’s government struggles to deal with a surge in textile production as demand from China declines.

The shutdowns are in many cases the result of poor management of factory management, and in some cases workers have been left in limbo to face uncertain future after the shutdowns, said Maria María Fernández, head of the textile industry association in the southern city of Alcalá.

The government has shut down factories in several sectors, including textiles, leather, paper, clothing, leather goods and leather goods products, she said.

The industry’s economic growth has been driven by the sale of cheap imports of leather, which has helped the economy recover.

The country’s textile exports rose to $4.8 billion in the first three months of the year from $3.5 billion in 2016, according to the National Institute of Statistics and Economic Development.

But that has been cut by a third as a result of the slowdown in China, which is one of the biggest buyers of Argentinian textile exports, María María said.