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Argentina’s Small Retail Sales Rise 2.5% in 2025 Even as December Marks Eighth Straight Decline

Holiday-driven buying offered a brief monthly rebound without altering a weak domestic demand trend.

Overview

  • CAME reported a 2.5% annual increase for 2025, helped by a low 2024 base and strong gains early in the year of 25.5% in January, 24% in February, 10.5% in March and 3.7% in April.
  • December sales fell 5.2% year over year at constant prices, although seasonally adjusted sales rose 5.2% from November on holiday spending and year-end bonuses.
  • The downturn has persisted since May with eight consecutive monthly declines, and six of seven categories in December fell, led by bazar and decor (-15%), perfumery (-9.8%) and apparel (-8.5%), while hardware and construction edged up 0.8%.
  • Merchant sentiment remained cautious as 55% saw conditions as unchanged and 27.6% reported deterioration, with investment plans restrained by high costs and low profitability.
  • Official data show manufacturing in a pronounced slump, including an 8.7% drop and ten months of contraction, as the government pushes trade opening and deregulation that many expect to benefit exporters more than the internal market.