Puerto Rico Retail Sales Near $52.2 Billion in Fiscal Year 2026, But Medium-Sized Businesses Fall Behind

Puerto Rico's retail sector closed fiscal year 2026 (July 2025 to June 2026) with $52,156.4 million in sales, up 1.2% from the previous fiscal year, according to the report the Department of Economic Development and Commerce (DDEC) presented on September 7, 2026 ¹². Governor Jenniffer González Colón and DDEC Secretary Carlos J. Ríos Pierluisi announced the results, which show a sector that keeps growing overall, but unevenly across small, medium, and large chain businesses ¹.

In June 2026 alone, retail sales reached $4,463 million, a 4.0% jump compared to June 2025 ¹². Small and medium-sized enterprises (PyMEs) generated $1,972.5 million that month — 44.2% of all sales on the island — with 3.7% year-over-year growth ¹². But the breakdown reveals a sharp gap: small businesses grew 2.1% in June and 4.8% for the full fiscal year (reaching $12,467.2 million), while medium-sized businesses fell 5.3% in June and 6.7% for the fiscal year, ending at $12,127.6 million ¹.

By sector, June's winners were hardware and construction-materials stores (+20.6%), new and used vehicle dealers (+12.4%), gas stations and convenience stores (+7.7%), sporting goods, music, and entertainment retailers (+6.6%), and cosmetics and perfume shops (+5.7%) ¹. On the other end, department stores fell 7.5%, fuel distributors dropped 3.2%, and gas stations and convenience stores posted an annual decline of 1.7% despite the strong June ¹. The retail sector employs an average of 132,700 people, about 14% of all salaried employment on the island ¹².

Governor González Colón said "these results reflect the importance retail commerce continues to hold within our economy," adding that the more than $52 billion in sales "represents economic activity that translates into opportunities for our merchants, employees, and communities" ¹. Secretary Ríos Pierluisi framed the figure alongside the jobs it sustains: "We're talking about more than $52,156 million in commercial activity during the fiscal year and around 133,000 people working directly in retail commerce" ¹.

The growth comes as Puerto Rico's Planning Board has warned that the federal administration's tariff war is already hitting the island's manufacturing and construction sectors, given its heavy reliance on imports — including a 25% tariff on aluminum and steel that is directly raising construction costs ³. That pressure matters here because hardware and construction-materials stores were precisely the fastest-growing category in June, suggesting demand has stayed firm even as costs climb.

What it means for you

If you run a small business in Puerto Rico, the data is encouraging: small enterprises grew nearly 5% over the fiscal year, outpacing overall retail growth. But if your business falls into the medium-enterprise category, the report confirms a contraction of nearly 7% for the year — something worth addressing before it deepens.

For consumers, the rise in vehicle and hardware-store sales may reflect more households investing in home repairs and transportation, possibly tied to recovery from recent weather events. The decline in department stores and fuel distributors, however, points to discretionary spending still being limited and energy prices continuing to weigh on household budgets.

For the nearly 133,000 people working in retail, the modest 1.2% annual sales growth suggests job stability, but not the kind of accelerated expansion that would guarantee significant new hiring or wage increases in the short term.

How to do it / Checklist

1. If you own a small or medium business, check the DDEC's monthly report to see how your specific sector performed before adjusting prices or inventory ¹.
2. If your business qualifies as a PyME, review the requirements for DDEC's Impulso PyMEs program, designed to strengthen operations, boost sales, and retain jobs ⁴.
3. If you're starting a new business, look into the Capital Semilla incentive for newly created PyMEs through the DDEC portal ⁴.
4. If you need social media visibility, request guidance through DDEC's Digital Marketing Program, available to small and medium merchants ⁴.
5. Sign up for updates from the refuerzoeconomico.ddec.pr.gov portal to learn about new incentive application periods ⁴.
6. If your business is in a declining sector, such as department stores or fuel distribution, seek free guidance at DDEC regional offices to explore a business-model pivot.
7. Track the next retail sales report, which will cover July 2026, the first month of fiscal year 2027, to see whether the growth trend holds.

What's next

DDEC publishes these reports monthly, so the next key data point will arrive with July 2026 figures, already inside fiscal year 2027. That report will offer an early signal of whether back-to-school season moved the needle for PyMEs, especially in categories like clothing, footwear, and school supplies. It will also be worth watching whether the 25% tariff on aluminum and steel flagged by the Planning Board begins to slow the growth the hardware and construction-materials sector has shown so far ³. With the year-end holiday season approaching, the performance of medium-sized businesses — which have now logged nearly seven straight months of year-over-year contraction — will be an indicator that merchants and DDEC officials will be watching closely in upcoming reports.

Sources

¹ Ventas al detal en Puerto Rico superan los $52,000 millones durante el Año Fiscal 2026 - Metro Puerto Rico ² Ventas al detal superan los $52,000 millones al cierre del año fiscal - El Nuevo Día ³ Puerto Rico sintió el efecto de la guerra arancelaria, según la Junta de Planificación - El Nuevo Día ⁴ Refuerzo Económico DDEC - Incentivos a PyMEs