Interview with Pere Navarro, President, Consorci de la Zona Franca de Barcelona (CZFB)

01 Apr Interview with Pere Navarro, President, Consorci de la Zona Franca de Barcelona (CZFB)

How does Catalonia distinguish itself as one of Europe’s key economic drivers?

Catalonia has a history of trade and industry that dates back a long time due to many key factors, including its geographical location. We are located on the Mediterranean coast, very close to France and the rest of Europe. Catalonia developed powerful industries during the Industrial Revolution due to its location, open communications and local entrepreneurial spirit. A historic industrial and logistical ecosystem exists in Catalonia. The automotive industry in Barcelona — which is still very important today — is a prime example. Spanish vehicle manufacturer SEAT is headquartered here along with many other manufacturers, including Silence, which manufactures electric motorcycles. In addition to our excellent climate and gastronomy, we have an environment well-prepared for logistics and communications with the rest of Spain and Europe, especially in recent years. This ecosystem has allowed us to develop a robust base in education and knowledge. We have strong universities heavily focused on technological development, including the University of Barcelona and the Autonomous University of Barcelona. The Polytechnic University of Catalonia was created for this purpose. These factors have created a competitive and prepared environment for companies to begin their journeys or establish their headquarters here. Many companies have decided to set up their digital hubs for all of Europe in Barcelona, attracted by the climate, gastronomy, cultural richness, business opportunities and supportive business environment.

What factors have contributed to Barcelona becoming a European hub for the creation of new SMEs?

The emergence of startups in the region, with or without support, is not a coincidence; the local environment is conducive to new business. A key aspect that we want to continue to cultivate is talent, which stems from our high level of education and the entrepreneurial attitude of individuals. One of our objectives is to create jobs. If businesses are born and grow, they create jobs and contribute to society. There are many support programs in Barcelona and the EU. Established following the pandemic, the NextGenerationEU recovery package focuses on several themes: ecological transition, business transformation and industry. Spain’s Strategic Projects for Economic Recovery and Transformation or PERTE program provides funding for various projects, such as those focused on interconnected electric vehicles. We have created a small circuit to test these vehicles and will install an outdoor 5G connection system. This project is also supported by the Ministry of Industry and Tourism.

What key milestones has CZFB achieved in developing DFactory, the largest Industry 4.0 ecosystem in southern Europe?

In the past, manufacturing abroad was seen as a cheaper model. However, following the pandemic, the complications of long-distance manufacturing became apparent. In 2019, we inaugurated the first 3D printing business incubator in Europe. This technology was not new, but what was new was the ability to print industrialized parts and sell them. A market need has been created, and these companies are becoming competitive. This is aligned with the consortium’s goal of being at the forefront of industrial progress. We now have a 4.0 logistics incubator, which has been operating for two years. This emblematic 17,000-square-meter building began construction in 2019 and operations in 2021. It is a $30.8-million investment. The building is unique in its architecture and interior design. We have more than 35 industrial companies working here related to Industry 4.0 technologies, including nanotechnology, 3D printing, nanorobotics and cybersecurity. All companies interact with each other and generate new projects.

Our general director has a concept called “cubic meter.” The space is rented at equivalent rates to Barcelona’s Passeig de Gràcia, a major avenue in the city. However, we are in an industrial park. Our companies pay the rent due to the building’s image and all the services we provide, such as the ability to network, present projects, use the space for events and appear in media outlets with which we have agreements. There is no building like this in Europe, which gives us more value.

We are currently holding a competition for the second phase of DFactory’s development, which will be 100,000 square meters designated for Industry 4.0. We are transforming the entire industrial area to support Industry 4.0; this powerful development represents a global benchmark. We carefully select our partner companies. The advantage is that the industrial park and the additional 10,000 square meters exist already. What we are creating is an urban plan to improve conditions. The second phase, for which we already have demand, is in the bidding process to build more buildings. We aim to create a dense campus focused on knowledge generation and tight relationships between companies, similar to what they do at Massachusetts Institute of Technology (MIT).

What motivated the decision to position the industrial park as a leader in logistics innovation?

Barcelona is an important location for industry and logistics; we are close to a port and major trade infrastructure. Logistics has changed rapidly in recent times and has become highly technological. For example, we now use drones for particular forms of transportation, such as transporting sensitive materials for transplants. We also now use artificial intelligence to improve warehouse performance. The annual logistics fair serves as the international benchmark for the entire value chain and is a key reference point for Spain and Southern Europe. Alongside the event, we host a congress focused on exploring and discussing new technologies.

How important is international collaboration in building a world-class innovation hub and industrial free zone?

We are heavily focused on internationalization. The consortium was founded to generate more international and national trade. We are part of the Free Trade Zones Association of the Americas. We are focused on the Atlantic world — Europe, Africa and America. The Federation of National Associations of Freight Forwarders and International Logistics Operators of Latin America and the Caribbean is an organization for freight agencies that prioritizes their relationship with Spain as a key link to the rest of Europe. In the USA, we are in direct contact with MIT to collaborate not only on talent exchange but also on projects. MIT is not just a university; it is closely connected with business and produces many patents. We want to incorporate this link between education, business and patent generation in Barcelona. In March 2025, we will hold the Barcelona Woman Acceleration Week, which began in 2021. One of the roundtable discussions will focus on women in the logistics economy. We want female talent to emerge through these sessions. This year, we will have a panel from Miami. We are in contact with institutions there and working from that perspective.

Can you give us an overview of Consorci de la Zona Franca de Barcelona (CZFB)?

We are a public company established more than 100 years ago to promote economic development. We are at the forefront of the local economy in Catalonia and Spain. Our governance is plural. We have a plenary session that meets twice a year to approve budgets and accounts as well as authorize the purchase and sale of assets. We manage public assets, including an industrial park of 6 million square meters, along with buildings in the city of Barcelona. We have the necessary resources to carry out economic promotion policies. The president of the plenary is the mayor of Barcelona. I am the vice president and act as executive president, appointed by the Spanish Council of Ministers. Additionally, we have four representatives from the Spanish government, two from the regional government, one from each political party, one from business associations, representatives from unions and representatives from the port. Everyone is involved. We are a public company, but highly participative. All decisions made in this plenary are usually unanimous. We have created a space for economic, political and social consensus. With these resources, we generate spaces where the relationship between the public and private sectors is very close. Moving forward, we aim to continue developing our events, such as the Barcelona New Economic Week, which was the first event in 2020 held under a hybrid digital format. In 2025, we will adapt all events to new rapidly changing realities as they unfold.

What are the next steps for CZFB in 2025 and beyond and what major challenges does it need to overcome?

In March 2025, the Barcelona Free Trade Zone is set to become the first in the world to obtain certification from the Organization for Economic Co-operation and Development under a pilot plan for free zones worldwide that guarantees transparency, good practices and democratic participation. This will take place in Paris, and we are confident we will be the first to earn this seal. Our next objective is to guarantee that the United Nation’s Sustainable Development Goals are met from an industrial, economic and logistics perspective.

We are actively working on women’s rights. Although we live in a country with advanced legislation, there currently exist political options that are reducing women’s rights. We must continue pushing to make gender equality a reality. We aim to be a driving force behind the reindustrialization of Catalonia by collaborating in the growth of companies. Siemens has its development team here, which helps create an ecosystem of close relationships and generates jobs. Improving society teaches you many things and is incredibly rewarding. We learn every day from our companies.

CZFB’s challenge is to continue working on its capacity to generate consensus. The consortium is now focused on completing the second phase of development and becoming a more prominent international reference for economic training and industrial promotion and generation. The best compliment we have received is that although we are a public institution, we work at the speed of a startup. We make things happen, and we must continue doing so.