Spanish Tile Industry Seeks Stronger Support to Preserve Jobs and Competitiveness

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Direct requests for support have come from the ceramic tile manufacturing sector, which is a pillar of Castellón’s economy. The industry operates within Spain under national authority, not directly under Brussels. Industry representatives stress that the responsible body is the national administration, underscoring the need for continuity to protect a key economic driver for the region.

The association notes that the European Commission outlined in March a provisional framework for state aid. This framework specifies aid limits for member states, with variations by sector. In particular, energy-intensive companies can access up to 2 million euros, and aid can reach 25 million euros for certain loss situations, with up to 50 million euros allocated to sectors particularly affected by the tile industry’s conditions. In Spain, however, the government has set a cap at 400,000 euros, a figure that industry leaders deem inadequate from the outset .

comparisons

Spanish tile manufacturers face stiff competition from European peers. Industry representatives point to Italian producers, who receive substantial support that can translate into price advantages—weighing in at as much as a 40 percent difference on invoices compared with 2019 levels. At a recent European tile industry meeting, it was revealed that many competitors received far more assistance than Spanish firms. Beyond Italy, governments in Portugal, Poland, and the Czech Republic are reportedly delivering more decisive backing than Spain, intensifying concerns about the competitive gap .

The perceived shortfall in Spanish support is linked to a broader erosion of competitiveness within the European market. Some observers note that other nations have allocated large-scale relief measures, while Spain’s aid packages accumulate to a far smaller total. Estimates cited within industry discussions place German support around the high end of the spectrum and Italy and Austria at significant levels, contrasted with Spain’s more conservative totals.

profitable industry

Ascer contends that the Spanish tile sector remains robust and profitable. It stands as the world’s third-largest exporter, ranked first in Europe, and contributed to reducing Spain’s trade deficit by as much as 13 percent in 2021 through sustained export momentum. Yet the industry also remains highly energy-intensive, consuming a notable share of Spain’s industrial gas supply, which creates exposure to energy-price swings. Observers argue that targeted support measures are essential to safeguard a leading European and global industry.

The tile cluster supports thousands of jobs and represents a significant portion of regional employment. Current estimates indicate about 24,000 direct roles and more than 73,000 indirect positions, according to PwC. The sector accounts for roughly 2.7 percent of Spain’s industrial employment, and every direct job links to a broader impact in the economy. Recent announcements of restructuring responses in energy-intensive industries affect several hundred positions, underscoring the need for timely policy action .

“We don’t see any measures”

Alberto Echavarría, general secretary of Ascer, offers a candid assessment: the industry has already shed more than 400 jobs, and more than 7,000 workers remain affected. He emphasizes that urgent government action is needed to prevent further job losses, noting that neighboring European countries are providing stronger protections for their companies while Spain has not matched those efforts.

On the political front, the sector has welcomed discussions in Brussels and calls on policymakers to move quickly to resolve energy-market inefficiencies. High energy prices, especially for gas, have prompted many energy-dependent industries to reduce or pause production. The sector argues that decisive measures are necessary to stabilize production and preserve jobs across Europe .

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