business

The Catalan economy is getting stronger, according to the latest growth figures published on Thursday by the Catalan Ministry of Economy and the Office of Statistics (IDESCAT). Catalan GDP grew 0.7% between January and March, a 0.2% increase in comparison with the two previous quarters. The labor market is also improving, with April figures showing the largest decrease in unemployment in that month in 21 years. With 425,751 people without jobs, Catalonia is reaching the pre-crisis levels of unemployment. The official data shows that unemployment fell by 4.54% between March and April 2017, and by 12% year-on-year.

The Catalan company Abertis reached an agreement with the minority shareholders of its Italian subsidary, A4 Holdings, to buy an additional 22.52% of the business' assets. The group will pay a total amount of €125 million, €89 million by the end of July, 2017 and the final €36 million by the end of January, 2018. As a result of the transaction, Abertis will now control 85.36% of A4 Holding, reinforcing its growth strategy and, in particular, its business in Italy, an attractive market for the group. The company said in a press release that the deal “demonstrates Abertis' ability to grow internationally in an attractive way while maintaining its financial discipline”. The purchase also fits with its management strategy which, according to the company, “allows investments in assets it knows well and where it faces no competition, reducing its operational risk profile”.

The Barcelona Bridal Fashion Week (BBFW) has completed its most international edition ever. Between April 25–30 more than 25 leading national and international firms presented their collections on the catwalk, and more than 300 brands from 25 countries offered their wedding designs to more than 800 key buyers from 70 countries during the professional trade fair. Renowned Catalan designer Rosa Clara was chosen to open the catwalks of the 27th edition of BBFW at the Barcelona’s Fira exhibition center.

American Airlines new direct link between Barcelona-El Prat airport and Chicago is expected to increase the airline's passengers in Catalonia by 15%. The new flight will operate from the 6th of May and will be offered alongside the current flights to Miami and New York. American Airlines also flies seasonally direct from Barcelona to Charlotte and Philadelphia. The Regional Sales Director of American Airlines in Spain and Portugal, José A. Blázquez, confirmed these figures in a press conference this Tuesday in the Catalan capital. Barcelona is a key destination for American tourists, said the U.S. Consul General, Marcos C. Mandojana, who highlighted the growing number of connections from Catalonia to his country.

Catalan Minister for Territory and Sustainability, Josep Rull, and Catalan Minister for Business and Knowledge, Jordi Baiget, called for a “clear”and “verifiable”calendar for the Mediterranean Railway Corridor. They voiced these demands to the Spanish Minister for Public Works, Íñigo de la Serna, during the meeting of the Strategic Board for the Mediterranean Railway Corridor in Madrid. In response, de la Serna promised to promote this key infrastructure, which is set to transport freight and passengers non-stop from Gibraltar to Central Europe along the Mediterranean coastline, and explained that the delays in the construction resulted from a “lack of administrative capacity”to carry them out. The Board gathers together representatives from the parliamentary groups in the Catalan chamber, trade unions, business associations, chambers of commerce, professional colleges, universities, chartered institutes, and city halls.

Hong Kong-based multinational Thunder Power, which specializes in electric vehicles, is planning to open an R&D center in Catalonia. The center will become operational in 2018, involve an initial investment of €80 million, and create 200 jobs, a company statement revealed last Thursday. The group is also considering building a plant in Catalonia for assembly and distribution. This project will be ready by 2020, will create 1,000 jobs, and could produce up to 50,000 vehicles per year. The agreement was signed during the unveiling event of the first running prototype at the prestigious Eaton House in Hong Kong. Over 250 business professionals from Barcelona, Catalonia, and Hong Kong participated in the showcase, including the Catalan Minister for Business and Knowledge, Jordi Baiget, and the Second Deputy Mayor of Barcelona, Jaume Collboni.

Catalan exports totalled €65.14 billion in 2016 and set a new record for the sixth consecutive year, according to data released by the Spanish Ministry for Economy and Competitiveness. The figure not only represents a 2% increase in comparison to last year but a higher growth than that registered in the whole of Spain (1.7%) and the Eurozone (0.17%). Thus, Catalonia continues to lead exports in the whole of Spain. This good trend is the result of “the persistent and permanent efforts of Catalan companies, which are amongst the most internationalised in our environs”, explained Catalan Secretary for Business and Competitiveness, Joan Aregio. The sectors which grew the most in 2016 in terms of exports were equipment goods (+10.4%), followed by chemical products (+1.3%). On the other hand, exports in the automotive sector fell by 0.4%.

The number of Catalan companies which will attend the 12th edition of the Mobile World Congress (MWC), to take place from the 27th of February to the 2nd of March in Barcelona will be higher than ever. There will be 105 Catalan businesses represented at the world’s largest event of the mobile and cell phone-related industries, exceeding for the first time the threshold of 100, explained Catalan Minister for Business and Knowledge, Jordi Baiget. 68 of these companies will be located in the Catalan Government’s pavilion, which will be set up at the centre of Fira de Barcelona. Barcelona’s Mayor, Ada Colau, emphasised the “good understanding” between the public administrations which share the organisation of the MWC: the Catalan Government, Barcelona’s City Hall and the Spanish Government.

The Catalan Ministry for Business and Knowledge will invest 1.2 MEUR this year to increase Catalonia’s trade and investment office network abroad. In particular, six new centres will be opened in 2017, which will be added to the 36 which are already functioning on each of the five continents. The new offices will be located in Havana, Los Angeles, Tehran, Zagreb, Amsterdam and Nairobi. Thus, Catalan business will be represented in 109 economic regions. “Now Catalonia’s presence in the business field worldwide will be comparable to and even bigger than that of other states”, explained Núria Betriu, Director of Industry of the Catalan Department for Business and Knowledge.

French designer Pierre Cardin’s musical show ‘Dorian Gray, beauty knows no mercy’ opened on Monday the 19th edition of 080 Barcelona Fashion, which will run until the 3rd of February. This year the Catalan fashion fair has chosen the National Theatre of Catalonia (TNC) as its special location in an attempt to boost the synergies between fashion and theatre. Cardin’s exceptional musical was one of the main events of the opening day, during which the French designer, an exceptional patron of 080 Barcelona Fashion, was awarded a special prize by Catalan President, Carles Puigdemont. The first to open the catwalk were childrenswear brands such as Boboli and CND by Cóndor, which were followed by last year’s winners Blame and Miquel Suay, and by TCN.

The European Parliament passed this Thursday a text, promoted by the Greek MEP Kostas Chrysogonos, which explicitly reports the Castor case and the thousand earthquakes suffered by the locals in Valencia and Catalonia’s Ebro Delta. This business project, consisting of an offshore facility that had to store 1.3 billion cubic metres of reserve gas for Spain, failed after causing over 1,000 small earthquakes. The European Parliament called this Thursday to “include the victims of collateral damage linked to prospecting, surveys and the operation of offshore facilities” in the potential beneficiaries of future compensations. “It is very important that all those affected by offshore oil and gas operations, which are proved to be in detriment of the environment and of the activities of other persons be compensated”, Chrysogonos said to the Catalan News Agency, after slamming the “scandal” which is the Castor case.

There has been a recent turn in British investment in Catalonia. While Foreign Direct Investment (FDI) from the United Kingdom in the region was on a downward trend between 2013 and last June, the situation has reversed and Catalonia currently accounts for 4,4% of British FDI in Spain. Indeed, Catalonia is the third territory of Spain in terms of volume of British FDI. Ahead of Catalonia, stand only Madrid and the Basque Country, which received, respectively, €3,258 and €828 million from the UK between 2013 and last June. In the same period, Catalonia received a gross flow of €546 million, according to the Barometer on the Climate and Perspectives for British Investment in Spain and Catalonia, a report that analyses the evolution of direct investment from British companies in Spain.

Norwegian Airlines will double its workforce at Barcelona Airport, from the current 354 people to 755 in August 2017. The announcement was made this Monday by the Vice President of Human Resources of the company, Jan Dahm-Simonsen, during the press conference on the expansion of the airline offices at the installation in Prat de Llobregat. The 755 jobs Norwegian Airlines will have at the company headquarters in Southern Europe, in Barcelona, will include administrative, flight and ground assistance personnel. The expansion of staff responds partially to the rise in operations of the airline at Barcelona Airport, which will connect the city with Los Angeles, San Francisco, New York and Miami from next summer. 

Catalan exports to Cuba grew by 50% in 2015, reaching €294 million. With this in mind, the Catalan Minister for Business and Knowledge, Jordi Baiget, and the director of the centre for the promotion of foreign trade ProCuba, Roberto Verrier, signed on Thursday in Havana an agreement that seeks to strengthen trade relations. ProCuba, under the Cuban Ministry for Foreign Trade and Foreign Investment, works to promote the internationalisation of the industry of the country. According to the agreement, Cuba will now provide Catalonia with information on the investment opportunities in the region in order to promote the arrival of new Catalan businesses to the island. Baiget, who is participating in a trade mission to Panama and Cuba organised by the Port of Barcelona and Acció, the Catalan Public competitiveness and internationalisation agency, stated that the measure was “really important”. It implies “direct capacity for dialogue” with the Cuban body responsible for foreign investment, he added.

Barcelona and Seoul will be connected through three direct flights per week from the 28th of April 2017. The Catalan Minister for Business and Knowledge, Jordi Baiget, announced this Wednesday that next year Korean Air, the largest airline in South Korea, will operate three flights - on Monday, Wednesday and Thursday - with capacity for 248 passengers each. The company currently operates flights to 129 destinations in 46 countries and in 2015 registered around 25 million passengers. Baiget detailed that the negotiation process to achieve an agreement started two years ago, on a trade mission and institutional trip of the Catalan Government to South Korea, and explained that the airline will extend the frequency to four days in the future “if things work well”.