La Seu d'Urgell, in Catalonia's Alt Pirineu i Aran, was the setting on Thursday and Friday for Josep Borrell's warning that Spain's economic growth figures are “misleading”. The former Spanish foreign minister and president of CIDOB said the numbers do not reflect a fall in per capita productivity, and argued that the same problem affects Europe as a whole.
Borrell made the remarks during the Trobada Empresarial al Pirineu, a business meeting that brought together more than 900 business leaders. He said the issue is linked to demanding competition and regulation policies, and warned that Europeans are producing less per hour worked.
He also said Europe has focused too much on investment in sectors such as hospitality and secondary residences, while losing influence in strategic technology areas such as microchips, an industry he said is largely dominated by China and Taiwan. For more Catalonia business coverage, see our news tag.
On energy, Borrell acknowledged progress in renewable power, especially in Spain, but said Europe “cannot do without oil” because it remains “the basis of our civilisation”. He cited asphalt, fertilisers, iron, cement and plastics as examples of materials that still depend on it.
He also pointed to high energy costs as a burden on European industry and said global competition is intensifying, with China a key example. He noted that Chinese vehicle exports have multiplied in recent years, and said China “can produce two out of every three cars entering the market”.
Borrell's remarks also touched on migration and geopolitics. He said around 250,000 Latin American people arrive in Spain each year, adding pressure to the housing market, but stressed that immigration is essential to the economy because it provides needed labour. In his talk, titled “The New (Dis)order World”, he also said the United States no longer wants to be Europe's protective umbrella, called for greater European strategic autonomy, and argued that NATO members import 64% of their weaponry from the United States. He added that since the start of the war between Ukraine and Russia, Europeans allocate around €100 billion a year to support Ukraine.
