Spain's Industry: Raw Materials and Energy Landscape

SPAIN

Raw Materials Used by Spanish Industry

The Spanish industry utilizes both organic raw materials and minerals.

• The organic raw materials come from agriculture, livestock, forestry, and fisheries.
• The mineral raw materials have lost importance compared to the past because of the exhaustion of many deposits or increased difficulty in their exploitation. Currently, Spain produces metal minerals such as iron, lead, and zinc. Non-metallic minerals include industrial rocks like limestone, gypsum, and granite, or mineral energy sources such as coal and uranium.

Traditional Energy Sources

Traditional energy sources form the basis of Spanish energy consumption.

• Coal is produced in 13 major basins, with the Asturias-Leon-Palencia area being prominent. This sector is currently in crisis due to extraction difficulties.
• Oil is the main source of energy consumed.
• Natural Gas primarily comes from Algeria, Nigeria, and Libya.
• Hydroelectric Power, along with nuclear energy, supplies 100% of national needs.
• Alternative Energy sources have increased their participation in energy production and consumption in Spain, although their use is still scarce. Commonly used alternatives include wind, biomass, and small-scale solar (travelers from small scale).

Characteristics of Spanish Industrial Activity

The current industry faces several problems that are being addressed through industrial promotion policies.

Key Industrial Challenges

• Employed Population tends to decrease due to the decline of traditional industries and the adoption of technological advances.
• Technology in many lagging industries shows dependence on foreign sources or a lack of proprietary technology.
• Investment in research and development (R&D) is reduced, accounting for 1.13% of GDP.
• Companies are mostly small or medium-sized, making them less competitive internationally.

Industrial Sectors

The industrial sectors present the following characteristics:

• Traditional sectors still hold significant weight. These include steel, metal processing, white goods, shipbuilding, and textile, leather, and footwear.
• Dynamic sectors are represented by the automobile, chemical, food, and construction industries.
• High-tech sectors have been implemented with delays due to external dependence on research and technology preparation, and insufficient skilled manpower.