Confebask urges the Spanish Government to act without delay to avoid “economic and industrial collapse”

Confebask has urged the Government of Spain and the Basque administrations to take measures “now” to prevent economic and industrial collapse and have warned that you cannot wait until the day March 29when it is planned to approve the National Plan of response to the war in Ukraine to respond to the economic and social impact of the armed conflict. In this sense, he has warned that “many companies” may be “forced to close in a few days” and the Basque industry “will not be able to maintain its activity for much longer”.

In a statement, the Basque employers’ association and its associated organizations – Adegi, Cebek and Sea – have warned that the situation of Basque companies “is rapidly and seriously worsening”, and is reaching “a point of very complicated return”.

Confebask has stated that the “serious” situation generated by the war in Ukraine, which has “triggered” the energy and raw material costs -“already practically unsustainable since before the outbreak of the conflict”- has joined in recent days a transportation strikewhich, together, “is seriously threatening the viability of all sectors of activity, of companies of all types and sizes, and of the Basque economy in general, since it is causing a growing lack of supplies and losses in turnover”.

As indicated, as a result of both factors, “many companies” may be “forced to close in a few days.” For this reason, he has assured that it is “urgent” that the administrations adopt now, without waiting for the 29th date, the necessary measures to reduce energy costs and unblock the lack of supplies.

Confebask recalled that other benchmark countries in Europe, such as Germany, France and Italy, have already taken measures to deal with the economic and industrial consequences of the war in Ukraine, without waiting for the European Summit to be held on the 24th and 25th. of March.

Likewise, the Basque employers’ association has indicated that the Spanish Government’s limiting the price of electricity to 180 euros per MW/h “does not solve the problem” because that price continues to represent an “unaffordable cost” for the entire industry, not just electro-intensive.

On the other hand, Confebask has made an appeal to the parties involved in the transportation strike so that “they act with the utmost responsibility and reach an urgent agreement that unblocks the transport of goods”.

In short, it concludes that, if measures are not taken immediately, “the Basque industry will not be able to maintain its activity for much longer” and that, if the current situation persists, it will have “unpredictable and unknown consequences for the business fabric in Euskadi, as well as for employment and society in general”.