Abstract
This article analyses the evolution of competitiveness and the delocalization process of the Spanish manufacturing industry in the period 1999-2006, combining an assessment using aggregate trading data with others using company microdata. The results obtained in the study reveal an unsettling situation in terms of the competitiveness of the Spanish industrial sector, which can be summarized as being that almost 60% of employment in manufacturing is in sectors with serious overseas and domestic competitiveness problems. The key results are: a) a notable heterogeneity both between sectors and products and between companies in competitive behavior; b) dominance of sectors where the overseas and domestic competitive situation has worsened; c) the main problems for competitiveness for Spanish manufacturers is found in the more dynamic activities; d) the sectors where there has been the most deterioration in the overseas and domestic competitive situation is found in activities where there has been a strong increase in internal demand, as is the case of construction related industry. Finally, as regards the delocalization process of production activity, the data shows a drop in significance, primarily when measured on the basis of related employment
