Spanish Industrial Evolution: 1885-1975
**Spanish Industrial Evolution: 1885-1975**
**1. History**
**1.1. Beginning of Industrialization (1855-1900)**
- Reasons for the delay:
- Poor capacity in raw materials and energy products.
- Insufficient investment and scarce entrepreneurship.
- Limited demand.
- Lag in industrial technology and the need to import foreign machinery.
- Unfavorable situation:
- War of Independence.
- The loss of colonies.
- Politics: Inadequate protectionism since 1890.
**1.2. Growth in the First Third of the Twentieth Century**
- Growth of domestic coal production due to higher prices of coal imported during World War I.
- Increased industrial investment:
- Repatriation of capital with the loss of the colonies.
- Exports to Europe during World War I.
- Increase in demand for industrial goods due to the momentum of public works.
- Incorporation of the advances of the Second Industrial Revolution.
- Protectionist policy: Elimination of foreign competition.
**1.3. Stagnation in the Civil War and Postwar**
- Civil War (1936-39).
- Autarky (1939-59): Self-sufficiency and import restrictions.
**1.4. Industrial Development (1960-1975)**
- Increased investments: Attracting multinationals (capital from tourism, remittances, and private sources).
- Growth of demand for industrial goods.
- Technical improvements.
- Low energy prices.
- Politics: State development plans.
**2. Industrial Production (1855-1975)**
a) 1850-1900 – First Industrial Revolution: Potentiation of the iron and steel industry and textiles.
b) 1900-1975 – Second Industrial Revolution: Diversification of industrial production.
- State incentive for basic sectors: Creation of INI (National Institute of Industry) in 1941 to stimulate strategic sectors.
- Consumer goods industry: Parallel development to increase the standard of living.
- Industry development: Capital goods in the mid-twentieth century by multinationals.
**3. Industrial Structure (1855-1975)**
a) Diverse Production System
Traditional systems in small industries. Fordist system in large industries: a chain of production, specialization, economies of scale.
b) Contrasted Size of Companies
Small: Majority, scarce investment, technology, and competitiveness. Large: INI protected by the basic sectors, subsidiaries of multinationals.
c) Technological Gap and Dependence on Foreign Countries
Scarce technological investment due to lack of incentive for innovation. External dependency: technological, financial, energy, resulting in a lack of competitiveness.
d) Growing and Skilled Industrial Workforce
**4. Industrial Location (1855-1975)**
**4.1. Classical Factors of Industrial Location**
Proximity to raw materials and sources of energy. Broad consumer market. Abundant and cheap labor or skilled workforce. Efficient transportation systems. Capital or ability to attract it. Supporting sectors: services, infrastructure, industrial equipment. Favorable political climate.
**4.2. Tendency for Industrial Concentration**
- Creation of urban-industrial agglomerations that benefit from external economies.
**5. Industrial Areas**
**5.1. Former Industrial Areas**
a) Concentration in the Periphery (Cantabrian Coast and Mediterranean) and Madrid.
- Different areas in accordance with the predominant factor:
- Areas of extractive based: Malaga, Asturias, Cantabria, Basque Country.
- Areas of homeport: Bilbao, Aviles, Barcelona, Valencia.
- Urban-industrial areas: Power of attraction of cities: Madrid.
b) Rest of the Territory, Scattered Foci Based on Traditional Products.
**5.2. Industrial Areas Between 1900-1975**
- Consolidation of the imbalances.
a) Affirmation of Existing Industrial Regions: Advantages of agglomeration economies.
Regions of the Cantabrian range: specialization in basic sectors, large factories, state support. Mediterranean region: diversification, light industry, and small private companies. Madrid: Consolidating the centralism of the Franco regime, industrial diversification.
b) 1960s: Dissemination of the Industry to New Spaces Due to Diseconomies of Agglomeration
Industrial areas in the suburbs along the roads: Axes of industrial broadcast. Axes: Communication between national industrialized regions (Ebro, Mediterranean). Regional industrial axes: Industrial Development Policy (Galician coast, Andalusia). Isolated enclaves: Installation of basic industries (Puertollano, Ponferrada).
- Centers for promotion or development (Valladolid, Zaragoza).
c) Rest of the State: Industrialization based on scarce and scattered traditional productions.
**6. Industrial Policy (1855-1975)**
**6.1. Framework and Objectives of Industrial Policy**
a) Framework – Protectionism: Lack of incentives for modernization.
State intervention: Creation of public enterprises in strategic sectors.
b) Objectives – Promote industry. Correct territorial imbalances: Development Plans (1964-1975).
**6.2. Industrial Promotion and Decongestion**
Poles to promote and develop:
Development Poles: cities with some industrial base (A Coruña, Vigo, Seville). Promotion Poles: areas in need of major investments (Burgos, Huelva). Grants, official loans, tax breaks, cheap land, infrastructure. Results were lower than anticipated.
Other measures:
Areas of preferential industrial location: Caceres, Cinca Valley, Mieres-Langreo, Campo de Gibraltar, Tierra de Campos, and the Canary Islands. Polygons of preferred industrial location. Large areas of industrial expansion, backward regions (Galicia, Andalusia, Extremadura, Castilla).
Dynamics of industrial decongestion: nearby towns.