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New 15.7 billion euro investment by Amazon Web Services to expand its data centres in Aragon

The Amazon Web Services project will support the creation of 6,800 full-time jobs annually in Aragon between 2024 and 2033. 

The President of the Government of Aragon, Jorge Azcón, announced this Wednesday the investment of 15.7 billion euros that Amazon Web Services (AWS) is going to make through its Cloud Region, located in Aragon, between 2024 and 2033, to expand its availability areas in the region, the largest economic investment by a company in the history of the autonomous region and the largest technological investment in Spain and southern Europe to date.  

In the words of the head of the regional government, ‘this new investment by AWS positions Aragon not only as a technological power in Spain, but also as a technological hub of the first order on a continental and global level’. 

Over the next decade, this project will support the creation of 17,500 full-time jobs per year in Spain, of which 6,800 will remain in Aragon. Of course, these new jobs will have an impact on the technology sector, but also on other economic areas of the autonomous community, which will benefit from the tractor effect of this initiative.  

The impact of this investment on Aragon’s Gross Domestic Product (GDP) will be colossal, around 12,900 million euros (of the 21,600 million euros expected to have an impact on Spain’s GDP), according to initial estimates. This figure is equivalent to more than 30% of Aragon’s current GDP which, at the end of 2022, the latest figure available, totalled 41,763 million euros. 

Also speaking at the announcement event was Suzana Curic, Managing Director of AWS in Spain and Portugal, who said: ‘Aragon was always our winning horse when we were considering where to locate our Region and our data centres. The availability of land, access to sustainable energy sources, a solid and consolidated business network, local talent and the huge growth potential were the main reasons why we had to be here. A year and a half after the opening of our centres, and with this new investment we are announcing today, we at AWS reinforce our commitment to Aragon and its people, as well as to Spain’. 

After announcing the investment, Azcón thanked Amazon Web Services for its decision to ‘choose our region to develop this historic project’. ‘Thank you for driving the transformation of our economy towards a more technological and sustainable model with such a promising future,’ he added. 

The president also congratulated the company ‘for having chosen the best possible place’. ‘Aragon has the talent, the natural resources, an international vocation and the privileged position to lead the changes that are going to shape our society’, he added. 

‘The Government of Aragon applauds your commitment and we will redouble our efforts to lead the European technology sector. We are going to do this through education, by multiplying the number of university places and vocational training degrees that are most in demand by companies. And, of course, as we announced last week, we are going to promote business activity related to technology through a large technology park of more than 40 hectares in Zaragoza that will come into being soon”, he added. 

AWS also highlighted its commitment to the training of talent and the creation of technological jobs, recalling some of the different initiatives underway in Aragon, such as its Think Big Space programme to train students from local schools, or the different educational programmes available at a national level to help all kinds of audiences, from unemployed people looking to retrain, to more technical profiles who want to specialise, including programmes focused on STEAM (Science, Technology, Engineering, Art and Mathematics) initiatives to inspire young people to pursue technical studies in the future. 

The immense technological potential of Aragon 

President Azcón wanted to highlight that this new investment by Amazon Web Services responds to ‘the incredible potential of our land’. ‘Our geographical position allows us to be one of the main logistic hubs at national and European level and we have exceptional natural resources, which allow us to lead the generation of renewable energies’, he said. 

Furthermore, Aragon ‘enjoys a consolidated social peace, the same peace that has helped us decade after decade to grow within the competitive industrial market, because in Aragon we are all on the same side, on the side of dialogue and progress, of growth’. 

Source: Aragonhoy

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Magna will invest 15 million euros and create 50 new jobs backed by aid for R&D from the Government of Aragon

Magna Automotive expands its production in Aragon boosting their line of electric vehicles

Aragon consolidates its commitment to R&D subsidizing 28 new business projects that promoted an investment of 60 million euros

Magna Automotive will invest 15 million euros in its Pedrola plant over the next two years, which will be allocated mainly to new production lines for components for electric vehicles and the improvement of current processes, supported by aid for R&D in mobility of the Department of Economy, Planning and Employment of the Government of Aragon. With these projects under development and other products in the launch phase, the company expects to generate 50 new jobs.

Magna Automotive has been awarded a total of nearly 1.2 million euros through the two calls for R&D grants aimed at the automotive sector launched to date by the Department of Economy. The last of them, published last year, has made it possible to support one of Magna’s experimental development projects and ten other business proposals linked to sustainable mobility, in addition to four business initiatives in the pharmaceutical sector and 13 in the circular economy. These 28 subsidized business R&D projects in 2021 have made it possible to promote an investment of 60 million euros in Aragon.

In 2019, the Department of Economy had convened for the first time this type of R&D aid aimed exclusively at the development of the electric vehicle, subsidizing another nine different projects that have generated an investment of 53.9 million euros in Aragon. In that first call, Magna received a grant to create a hot stamping battery tray for electric vehicles.

The company has thanked the Government of Aragon for its support in their current and future plans which reinforces the commitment to the territory, people and industry as an economic engine for development.

Producing in Aragon since 2016

The Magna group is one of the main suppliers in the automotive sector, being a leading company in the use of technology and offering advanced solutions to facilitate mobility. Globally, the company has more than 161,000 employees and an organizational structure designed to innovate and adapt with agility. Magna’s 60 years of experience are supported by a unique systems approach for design, engineering and manufacturing that encompasses most vehicle components. Their global network includes 340 manufacturing operations and 89 sales, engineering and product development centers in 28 countries. The company is committed to a business model based on long-term sustainability and integrates Corporate Social responsibility policies into its processes.

After managing its implementation in our Autonomous Community with the support of Aragón Exterior / Invest in Aragon, this Magna division has been operating in Pedrola since 2016. At this time, the plant is focused on the manufacture of components for vehicle bodywork with a high level of automation and has a workforce of more than 300 people. The company expects to reach a turnover of close to 75 million euros in 2022 due to the specialization in hot stamping processes, laser cutting and assembly of parts through resistance welding and MIG/MAG. Components are served to the main automobile manufacturers, not only in Spain but also in several European countries.

As a complement to its productive work and to give greater impetus to its innovation and development activities, the company has been working for several years with the University of Zaragoza and has its own Collaboration Chair. The commitment to local talent and internal development has allowed the company to consolidate a high-level production and technical team through specific qualification programs.

Source:  Aragonhoy

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Logistics Sin categoría

Monzón Intermodal Terminal (TIM) handled 8% more containers in 2020

10 years after its inauguration, the Monzón Intermodal Terminal (TIM), which belongs to aragonese SAMCA group with a participation of Logirail, keeps growing steadily despite the pandemic. In 2020, TIM handled 67.705 containers, an 8.3% increase compared with 2019. 55% of handled containers were for export, many of them being reefers to transport fresh products like pork meat.

The terminal’s new agrifood bulk division handled 34.730 tons of cereal in its first full year of service.

1,096 trains were dispatched in the terminal in 2020, with substantial environmental benefits as this number equals 20.000 truck loads or 3,750 tons of CO2.

See full article in Spanish

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Study shows Aragón’s potential as a logistics hub for pharmaceutics

The current Covid crisis has revealed the criticality of location for the global pharmaceutical industry. Aragon reveals to be an attractive option for pharma distribution thanks to its connectivity, competitive costs and other factors.

Spain is the world´s 10th Scientific power and Europe´s 5th. Its integrated Healthcare System consists of a network of 800 health centers, both public and private.

Aragón is at the heart of the country’s pharma industry: 89% of Spain´s Pharma & Biotech Industry is concentrated within 300 km of the region.

Zaragoza Logistics Center (MIT Global Scale Network) has created an ‘Aragon Pharmaceutical Cluster Map’. This reveals the region to have a strong offer across the board, from levels of government and regulatory support, through university and research centre activity, to relevant ‘clusters’ of companies in the chemical, biotech, packaging and other sectors.

The region scores expecially high in the six key indicators for distribution location decisions, benchmarking against other regions in Europe with a strong presence of pharma companies like Liege in Belgium and Basel in Switzerland.

 

  • Infrastructure
    The Zaragoza Logistics Platform (PLAZA), at over 13 M square metres, is the largest in Southern Europe and ranked fifth (out of ninety) in a recent study. Land purchase prices are just one fifth of those in Basel, and prices in Liege are more competitive, supply is quite limited. (Aragon has high occupation rates, but further land close to existing logistics parks is readily available). Rental costs are below those of Belgium, and significantly below Switzerland.
  • Workforce
    With an unemployment rate high by European standards (although below that of Spain as a whole), workforce availability is good, while employment costs for both higher and lower grades also reflect a lower cost of living – for higher grade positions, salaries are two to three times lower than in Switzerland. On the other side of the coin, the region is a recognised centre for higher level logistics education and study through the doctorate, masters, graduate and executive education programmes of ZLC, University of Zaragoza and others, as well as research collaboration between pharmaceutical companies and the Instituto de Investigacion Sanitaria, and with ZLC on hospital logistics.
  • Technology and regulation
    Digital technologies are a core of Aragon’s strategic agenda, through the regional government, the transport industry’s federation, and with the universities and other research institutes and companies. Regulatory authorities are supportive, and among the many international freight and distribution companies with a substantial presence in Aragon are several that already hold appropriate training and certification for pharmaceutical activity.
  • Transport and logistics capabilities
    Aragon has well developed and modally balanced transport links with the rest of Iberia and, through France, to North West Europe and beyond.
    Zaragoza Airport is a significant hub, hosting some 15 air freight lines. Most of these offer a pharma solution, and the airport has extensive cold chain warehousing and infrastructure.
  • Transport and logistics costs, ease of global shipment
    Air freight rates in and out of Zaragoza are competitive with those to Belgium and Switzerland, and inland transport can be significantly cheaper, whether by road, rail, or bi-modal. For ‘air freight plus last mile’ from New York, Zaragoza’s advantage over other European locations is pronounced.
    Customs and related procedures are efficient.
  • Taxes
    Fees for Customs documentation are generally below those of the comparator locations, and VAT deferral is possible on imports.

Taking all these indicators into account, along with the existing pharmaceutical research nucleus, the existence of industry-relevant clusters of supporting suppliers and service providers, and the regional government’s commitment to technology-led development, ZLC concludes that Aragon makes a strong case as a location for a pharmaceutical company’s gateway into Europe.

Contact us for more information on Aragon’s offer for pharma investments.