Spain: component manufacturers appeal to the Government: “We are disappearing”

Spain: component manufacturers appeal to the Government: “We are disappearing”

Production in sharp decline, turnover falling as well, and the demographic outlook for businesses in dramatic contraction. This is why the appeal made by AEC, the association representing Spanish manufacturers of components for footwear and leather goods, carries a clear sense of urgency. Industrial policies and immediate measures are needed to protect the sector — comprising 1,000 companies and 19,000 direct and indirect employees — from even more severe consequences. “We are not talking about individual companies”, commented General Director Álvaro Sánchez. “We are talking about an entire value chain. Businesses simply cannot cope any longer. We need an immediate institutional response that is coordinated and built around an industrial vision”.

The supply chain figures

The figures gathered by AEC paint an unequivocal picture of the sector’s crisis. Between 2020 and 2025, Spain saw the closure of 1,149 footwear factories (-35%). In 2025 alone, when the footwear sector’s industrial production index recorded a year-on-year decline of 9.2%, a further 195 factories closed. Turnover, unsurprisingly, followed a similarly negative trajectory. In August 2025, the turnover index (ICN) for the leather and footwear sector stood at -9.5% year-on-year. The broader fashion, apparel and footwear industry recorded a decline of 7%. All this occurred while pressure from overseas imports continued to intensify.

AEC’s appeal to the Government

AEC points out that the manufacturing structure of Spanish component producers is made up predominantly of medium-sized, small and micro-enterprises “with limited capacity to absorb shocks”. Effective and timely measures are therefore urgently required. In which areas? The association has proposed a package of measures. On the one hand, it is calling for interventions aimed at preventing further business closures — particularly among SMEs — and halting the loss of jobs. On the other, it is urging the allocation of resources to strengthen the competitiveness and production capacity of Spanish companies, protecting them from low-cost competition from Asian manufacturing while helping them to expand internationally.

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