The Government of Spain approves the Law on Industry and Strategic Autonomy

Moncloa Palace, Madrid

Ministers answer questions from the media after the Council of Ministers (Pool Moncloa / Jose Manuel Álvarez)

The Council of Ministers has agreed to submit to Parliament the draft Law on Industry and Strategic Autonomy, which will regulate the sector and industrial policy and establish the criteria for collaboration between public administrations.

The Minister for Industry and Tourism, Jordi Hereu, stressed that "reindustrialisation in Europe is a necessity and an enormous opportunity for Spain". Spain's industrial production index is up by more than 6% and the major European indicator, the manufacturing PMI, is growing well above the European average thanks, the minister argued, to the fact that active industrial policy is once again occupying a place on the public agenda.

The future regulation will replace the current 1992 law, which is outdated, and incorporates concepts such as "decarbonisation, digitalisation, strategic autonomy, innovation, talent, gender gap, resilience, green transition and administrative simplification", Hereu remarked.

The Minister for Industry specified that the future law seeks "reindustrialisation to generate opportunities for social and territorial equity, to guarantee our strategic autonomy, attract industrial investment in Spain, promote innovation, competitiveness, the green transition, the decarbonisation of industry and its digital transition". Another of its objectives is to maintain industrial capacities, avoiding and proposing alternatives in relocation processes.

Policy instruments and industrial governance

Jordi Hereu stressed that the text does not merely update the current regulation, but marks a pivotal moment in Spanish industry. The process of transformation and reindustrialisation will be carried out with industrial policy and governance instruments.

The Minister for Industry and Tourism, Jordi Hereu, during his speech at the press conference after the Council of Ministers | Pool Moncloa / Jose Manuel Álvarez

As instruments of governance, the minister pointed to the Spanish Strategy for Industry and Strategic Autonomy, which is the document that will set out the general lines of industrial policy and which will take the form of a three-year state plan and six-year strategies. In addition, the State Council for Industrial Policy (CEPI), a new consultative body, has been created, which will coordinate this policy which the government is tackling from different ministries. This body is joined by the Industry and SME Sectoral Conference, to promote cooperation between the State and the Autonomous Communities, and the High Level Forum of Spanish Industry, which will enable interaction between the Government and the industrial sectors.

As instruments for attracting investment, Jordi Hereu referred to the Strategic Projects for Economic Recovery and Transformation (PERTE) which, beyond the validity of the 'Next Generation' funds, will be aimed at industrial ecosystems.

Protecting existing industrial activity

In addition to attracting new industrial projects, the new law aims to maintain and protect existing activity in Spain. To this end, it stipulates that any company that wants to end its industrial activity in our country will have to give nine months' notice to the government, which will analyse, together with the company, trade unions and the autonomous communities, "the different options available for reversing the decision or, where appropriate, ensuring all the options for maintaining industrial capacities", as the minister explained.

Hereu added that the law stipulates that companies that have received public subsidies of more than three million euros in the last five years must maintain their activity and employment during the period established by the law.

Strategic autonomy

The regulation also includes new instruments to ensure own production capacity in essential goods and products, which are, therefore, critical and strategic, especially in crisis situations such as the pandemic. To this end it creates the Strategic Reserve of National Industrial Production Capacities, which can be mobilised quickly in a crisis situation.

The minister clarified that this is a mechanism that will define a catalogue of products and industrial capacities, identify those companies that can produce them, and establish agreements with them so that, in a crisis situation, they can mobilise their production capacities to meet basic needs.

Protection of intensive industry

The Minister for Industry and Tourism, Jordi Hereu, during his speech at the press conference after the Council of Ministers | Pool Moncloa / Jose Manuel Álvarez

The law gives special protection to energy-intensive industry (electricity or gas). The Government will establish support measures that facilitate the decarbonisation of their processes and their energy transition. It also focuses on boosting SMEs, simplifying administrative processes and promoting Strategic Industrial Ecosystems.

Jordi Hereu reiterated the need for this law, which will provide "modernisation, security, certainty and new instruments to support our industry", whose regulatory text "envisages efficacy, efficiency and effectiveness".

Strengthening the main instrument of Spanish cooperation

The Government has approved the Statute of the Spanish Agency for International Development Cooperation (AECID), the main instrument of Spanish cooperation. The Minister for Foreign Affairs, European Union and Cooperation, José Manuel Albares, has described it as "one of the great milestones" of the reform of Spanish cooperation that began in 2023 with the new law on cooperation. Albares pointed out that the regulatory development of this regulation began with the Statute for Cooperating Persons and will continue with other initiatives.

The aim of the new Statute, Albares explained, is to strengthen the AECID, "a reformed and thoroughly renovated agency that channels the solidarity of Spanish society and allows us, at the same time, to face the great global challenges and humanitarian crises". The minister cited the cases of Gaza, Lebanon, Haiti, the Sahel, the fight against hunger and poverty, the climate emergency, gender gaps and the management of the migratory phenomenon, "tackling its deepest causes".

New roles, responsibilities and resources for the AECID

The Statute establishes the regulatory framework for the renewal of the AECID in accordance with its new functions, the principles that should guide its work and the internal organisation of the body, which has doubled its budget in the last three years and now manages more than 700 million euros. José Manuel Albares assured that the agency is thus adapting to the "complex and growing international challenges", assumes more responsibilities, such as the coordination of cooperation actors to promote joint work, gains in human and material resources, and has a more agile and flexible regulatory framework.

The Foreign Affairs Minister also stressed that the Statute means moving from a cooperation that was very much focused on aid to one that is more dedicated to alliances. In this way, in addition to continuing to work with its own projects and programmes, it will generate more synergies with civil society, universities and social organisations.

The Minister for Foreign Affairs, European Union and Cooperation, José Manuel Albares, during the press conference after the Council of Ministers | Pool Moncloa / Jose Manuel Álvarez

In addition, the human resources system is being reformed to "attract highly qualified talent for the challenges of the future", said Albares, who announced that "shortly" the agency will launch a new call for project managers as permanent staff at its headquarters in Madrid and its more than 50 offices around the world. Finally, the text calls for a more efficient, dynamic, flexible AECID committed to continuous improvement, learning, innovation and accountability. "We are making an enormous effort so that AECID can measure the results of its work," Albares said.

In short, Spanish cooperation is equipped with a "solid, modern and innovative architecture", in the words of the minister, who recalled the commitment contained in the law on cooperation to dedicate 0.7% of gross national income to official development aid by 2030. The reform of the AECID is also "a key step" for the success of the International Conference on Financing for Development to be held in Seville in June 2025.

Foreign Action Report 2023

The Council of Ministers also approved the Annual Report on Foreign Action 2023, which sets out the foreign action of the State as a whole during that year. Minister Albares summed up this foreign policy in four principles: a pro-European vocation, multilateralism, strategic bilateralism and a commitment to solidarity.

Europeanism, he argued, was demonstrated by the Spanish Presidency of the Council of the European Union, participation in enlargement to the east and the opening of negotiations with Ukraine and Moldova. With regard to Ukraine, Albares highlighted Spain's "decisive contribution" to supporting the country in the face of Russian aggression.

Defending multilateralism and international law

The minister referred to Spain's "active and coherent participation" in the Middle East, promoting the two-state solution and encouraging Euro-Arab dialogue. In addition, he maintained that Spain has become a "fundamental actor" in the United Nations through its voluntary contributions, which exceeded 700 million euros, the inauguration of a new headquarters in Madrid and the election of Spain as a member of the executive boards of the World Food Programme and UN Habitat, among other initiatives.

The commitment to the promotion of human rights, respect for international law and the fight against impunity for war crimes are, in Albares' opinion, another hallmark of Spanish foreign action.

With regard to strategic bilateralism, the government has continued to focus on strengthening relations with key regions and partners. The Spanish-French Summit in Barcelona, the Spanish-Portuguese Summit in Lanzarote and the European Union-CELAC Summit, "an absolute milestone in relations with Latin America", are some of the events highlighted by José Manuel Albares.

The best expression of Spain's commitment to solidarity was the new law on cooperation approved in 2023, said Albares, who stressed that another axis of foreign action is to protect Spanish citizens. In this regard, four evacuations took place last year, in Sudan, Niger, Ethiopia and Gaza and Israel.

Evacuation of Spaniards from Syria

The minister reported that another evacuation of Spaniards began yesterday, in this case in Syria, following the fall of the previous regime. Albares detailed that a convoy of 26 people led by the chargé d'affaires of the embassy in Damascus crossed the border into Lebanon by road, where embassy staff in Beirut were waiting. Another group of Spaniards has indicated to the embassy that, for the time being, they intend to remain in Syria, together with their families. The embassy in Syria will not close and remains operational, adapted to current security conditions. And as soon as Damascus airport reopens, "we will evaluate new evacuation phases, if necessary", added Albares.

The minister stressed that Spain will work to bring about a peaceful transition in Syria that maintains its territorial integrity and makes possible a peaceful, inclusive political future that respects the rights of all minorities, whether ethnic or religious. "The new leaders are showing moderation in these initial moments and are ensuring the protection of minorities and a return to normality, objectives that Spain supports, but we must be cautious," he said.

Promoting transparency and accountability

The Minister for Digital Transformation and Public Function, Óscar López, at the press conference after the Council of Ministers | Pool Moncloa / Jose Manuel Álvarez

The Council of Ministers has made progress on two axes of the Action Plan for Democracy: transparency and accountability, on the one hand, and the media, on the other.

In relation to the first point, the government has created the Organising Committee of the IX Open Government Partnership (OGP) Global Summit, to be held in Vitoria from 7 to 9 October 2025. The Minister for Digital Transformation and Public Function, Óscar López, recalled that the Alliance was created in 2011 in the context of the United Nations and that Spain has recently assumed its presidency.

Óscar López announced that, before this summit, the government will address a law on open government, the regulation of interest groups and a new open government strategy. "Spain is a highly recognised and advanced country in terms of transparency and open government, but we are committed to continue making progress," he said.

Aid for digitalisation of the media

In addition, the government has approved an aid plan for the media with a budget of 124.5 million euros. The objective, as explained by the minister for Digital Transformation and Public Function, is to facilitate the adaptation of the media in an environment with challenges such as digitalisation and the emergence of large platforms and new operators, "often disseminators of hatred and fake news".

Óscar López has framed the plan within the framework of the new European Media Freedom Act (EMFA) and the Constitution, article 20 of which recognises the right to truthful information. "It is therefore not only about protecting a sector, but also about guaranteeing a citizen right," he said. The minister also stressed that the European Commission recognises that there is a "market failure" in the media and recalled that in 2022 alone, the governments of different EU countries granted more than 1.2 billion euros in aid to the media. "There are reasons, arguments, a legal framework and coherence with what is being done in the rest of Europe," he said.

Incorporating digital technologies and improving cybersecurity

Pilar Alegría, together with Jordi Hereu, José Manuel Albares and Óscar López, explain the agreements adopted by the Council of Ministers | Pool Moncloa / Jose Manuel Álvarez

The plan, for which the sector and representative bodies were consulted during its preparation, will be articulated through different calls for subsidies. Three of them will be published shortly. Firstly, through the Cybersecurity Institute, 15 million euros will be made available for cybersecurity capacity building and training courses. The other two items, allocated 10 million each, correspond to the State Secretariat for Digitisation and Artificial intelligence; this will be allocated to projects for the integration of artificial intelligence in the mainstream media and the promotion of innovation through the creation of data-sharing spaces.

A fourth call, by the Spanish Society for Technological Transformation, will offer 19.5 million euros in loans for digitisation projects, content dissemination and the adoption of new tools.

Fifthly, through the agency Red.es, 65 million euros will be granted for the technological transformation of the print media. "The priority here is paper, which has to make the greatest effort to digitise," the minister said.

Lastly, Óscar López highlighted the 5 million euros for a 'digital kit' for small media, which will especially benefit the many regional and local newspapers in Spain.

In addition, at the press conference following the Council of Ministers, López welcomed the European Commission's announcement that Spain will host one of the first seven European artificial intelligence factories of the 'AI Factories' programme.

Current Affairs

The Minister for Education, Vocational Training and Sports and Government Spokesperson, Pilar Alegría, during her speech at the press conference after the Council of Ministers | Pool Moncloa / Jose Manuel Álvarez

During her speech at the press conference, the Minister for Education, Vocational Training and Sports and Government Spokesperson, Pilar Alegría, referred to the meeting held yesterday between the President of the Government,Pedro Sánchez, with the Chairman of CATL, Robin Zeng. The Chinese company, together with the company Stellantis, announced today its decision to set up a large battery factory in Zaragoza that will entail an investment of more than 4.1 billion euros. Alegría stressed that this investment is the result of the work and the commitment of the government to encourage foreign companies to invest in our country.

In the same vein, the Minister for Industry and Tourism, Jordi Hereu, stated that the decision of these two large multinationals is based on the enormous competitiveness of the Spanish industrial ecosystem and the implementation of an active industrial policy with industrial instruments such as the PERTE.

José María Ángel Batalla, Special Commissioner for reconstruction in Valencia

Pilar Alegría has announced that the Council of Ministers has appointed José María Ángel Batalla as Special Commissioner for the Reconstruction and Reparation of the damage caused by the DANA.

Alegría emphasised his status as a career civil servant since 1982 and recalled that, among other responsibilities, José Ángel Batalla was head of the Valencian Agency for Security and Emergency Response under the previous government of the Generalitat Valenciana, where, in the minister's opinion, he carried out "great work".

Conference of Presidents

The Minister for Education, Vocational Training and Sports and Government Spokesperson, Pilar Alegría, during her speech at the press conference after the Council of Ministers | Pool Moncloa / Jose Manuel Álvarez

The Government spokesperson referred to the most important political event of the week, the 27th Conference of Presidents, to be held on Friday in the city of Santander, a forum in which issues related to housing, regional funding, immigration and health will be discussed.

Alegría, who pointed out that this meeting will follow an agenda previously agreed by all parties, assured that the government hopes for a "fruitful" and "constructive" dialogue, as the issues to be addressed are "of the utmost interest to the public".

Non official translation