Tyre supply in Argentina at risk amid labour dispute

A labour dispute between tyre companies and their union has paralysedtyre production and threatens to paralyse car production in Argentina.

The union and the companies have been unable to reach an agreement after more than five months and thirty-five collective bargaining meetings before the national Ministry of Labour. Tyre companies decided to stop production this week, following a week-long strike by the unions. Inflation in Argentina climbed in August 2022 to almost 80% year-on-year. These high rates have further strained wage negotiations over the last year.