16 Jun 20

Spain supports automotive with €3.75 billion plan

The automotive sector, a pillar of the Spanish economy representing 10% of its GDP and employing 2 million people, has been heavily hit by the health crisis. Factories have been shut down for several weeks, Nissan announced the closure of its factories in Barcelona, and Ford is cutting workforce at its plant located in Valencia.

To boost the competitiveness of this sector and help the urgent and needed ecological transition, Prime Minister Pedro Sanchez announced a financial plan of €3.75 billion to support the transition towards electric cars, research & innovation and tax incentives. These measures are in line with the government’s transition plan for all new cars to be zero emission by 2040.

He also announced financial support for the tourism sector, another main pillar of its economy. This plan will be presented on Thursday.

Image: Spanish PM Pedro Sanchez in Brussels, 22 February 2020 (source: Shutterstock)

Author: Amandine Duts