Argentina-based steelmaker ArcelorMittal Acindar has announced a temporary one-week halt in operations at its Villa Constitución plant in response to the continued deterioration of domestic steel demand, according to local media reports.
The suspension affects rolled product output and will remain in effect through Friday, October 3. The plant has been running at 50 percent capacity since 2024, reflecting persistent weakness in the industrial and construction sectors. Production fell to 600,000 mt in 2024, a sharp drop from 1.2 million mt in 2023. This contraction is closely linked to a 12.4 percent decline in industrial activity and a 19.5 percent fall in construction output in 2024 compared to 2023, both of which are key steel demand drivers in Argentina.
ArcelorMittal Acindar operates five plants in the country: Villa Constitución, Rosario, San Nicolás, La Tablada, and Villa Mercedes. The current stoppage affects only the Villa Constitución site, but company officials have not ruled out extending similar measures to other locations if demand remains depressed.
Market outlook: weak demand and rising imports
Steel consumption in Argentina remains under pressure amid a construction sector slowdown, which has historically been one of the largest consumers of steel.
According to data from the Argentine Chamber of Steel, crude steel output in June 2025 totaled 320,100 mt, representing an 8.6 percent month-on-month decline, though still 16.5 percent higher year-on-year.
Rolled product output reached 262,500 mt, down 20.9 percent from May, but 12.2 percent above June 2024 levels.
However, industry sources warn that these figures do not fully account for the growing impact of Chinese steel imports, which are increasingly competing in Argentina’s domestic market and adding further pressure on local producers already facing weak consumption.
