Renault makes adjustments in Córdoba and the union is calling for more restrictions on imports

Renault's plant in Córdoba is undergoing a transition marked by a sustained decline in employment and stagnation in its production. The only active line will be the Kangoo model, while the launch of a new pickup truck is postponed with no concrete start date. Instead of adapting to a globalized industry, the union is demanding more state intervention to maintain the current scheme.

The number of workers dropped from 1,700 in 2021 to 1,100 (2,425 pounds) this year, and all indications are that this figure will continue to fall. The number of trucks leaving with production has dropped drastically, reflecting a paralyzed activity. The company has already implemented rotating suspensions for months and is preparing new voluntary retirement plans.

The outlook is not encouraging:  Nissan Frontier will stop being produced in November, and Renault will suspend the Alaskan, Logan, and Sandero models in 2026. Production will be reduced to a single unit with no clear horizon for new projects. However, the unions are not pushing for structural reforms but rather for measures that maintain the status quo.

“It's a very complex situation: with rotating suspensions for over a year; the implementation of voluntary retirements and early retirements a few months ago, and the decision not to renew contracts,” acknowledged Maximiliano Ponce, general secretary of Smata. But far from promoting modernization or flexibility, he proposes doubling down on state intervention.

A union that insists on sustaining the unsustainable

“With the opening of imports, the reality changes, which is why I insist that it must be regulated to make the necessary modifications to be competitive,” stated Ponce. But regulating is not competing: it is preserving a structure that only survives thanks to artificial barriers and permanent subsidies. Instead of encouraging efficiency, dependence on the public sector is rewarded.

Argentina's automotive industry was for decades a protected stronghold, but that logic is now exhausted in the face of an open market and more demanding consumers. The intention to "retain workers until the new model arrives" means sustaining unproductive employment at society's expense. Meanwhile, technological reconversion and real integration into global chains are postponed.

The new Renault pickup truck announced months ago still has no firm date and only promises activity in 18 months. The workers who trained could find better opportunities if they were not trapped in a corporate scheme that turns them into hostages. Training is not lost: it is wasted if it is condemned to waiting.

The union defense of the current model clashes with the reality of an economy seeking competitiveness without privileges. The Milei model aims to eliminate distortions, open markets, and reduce the weight of the state. Meanwhile, the union insists on more regulations, without acknowledging that these same policies are what led to the current crisis.