Peabody Argentina Stops Production, Shifts to Imports
Peabody Argentina has ceased local manufacturing, moving production to Paraguay and Asia, citing high costs and taxes, with significant job losses. The post Peabody Argentina Stops Production, Shifts to Imports appeared first on The Rio Times .
Peabody, an Argentine appliance brand owned by Goldmund S.A., has ceased local production and shifted manufacturing to Paraguay and Asia. The company has dismantled its La Tablada plant and now operates solely as a commercial importer. Peabody’s decision to move production is driven by higher labor costs, taxes, and a heavier cost structure in Argentina.
The climatization line, including air conditioners, will be produced in Paraguay and imported from Asia, while finished goods will be imported from Asia. This strategic shift is part of a broader trend in Argentina’s appliance sector, as many companies move to lower-cost production bases. The company's workforce decreased from 158 to 111 during the bankruptcy proceeding, resulting in a loss of 47 jobs.
The longer-term reduction is expected to be much larger, with the company having around 350 workers in 2023. This move reflects the challenges faced by the Argentine appliance industry, where local manufacturing is giving way to imports and regional production due to high costs and economic instability. Peabody's import strategy will be closely watched to determine its survival in the competitive market.
Written by urgent.news from The Rio Times's reporting — not their text. Machine-written — it may contain errors, so check the original before relying on it.
