Spain is in a lab-to-fab transition, emerging as a serious contender in Europe’s electronics and semiconductor landscape. The first step is confident electronics site selection, which entails translating complex regulatory, energy and sustainability conditions into actionable decisions.
Site selection for electronics and semiconductor facilities is no longer a purely technical exercise, it is a complex strategic decision. It is shaped by sustainability requirements, regulatory frameworks, permitting processes, and constraints around energy availability and funding timelines.
Against this backdrop, Spain is emerging as a serious contender in Europe’s electronics and semiconductor landscape. Yet for many international investors and operators, the country remains relatively unfamiliar territory. At Deerns, guiding clients through this complexity has become a critical part of enabling successful electronics projects.
Scheduling, funding and risk-led decision making
Spain’s electronics sector is moving rapidly from research-led laboratories to industrial-scale production. This lab-to-fab transition requires experience in cleanroom environments, advanced tooling and large-scale operations.
Electronics projects rely on 3 tightly aligned early-stage decisions:
- Interdependent timelines: Permitting, design maturity, tool procurement and construction sequencing must be coordinated from the outset, with long lead times driving early design decisions.
- Funding-driven scheduling: Publicly funded projects depend on strict milestones; missing one can jeopardise eligibility.
- Expectation and risk management: Site selection often challenges initial assumptions. Where risks can be mitigated, solutions are presented with cost and residual risk clarity. Where sites are unsuitable, early transparency prevents far greater losses downstream and builds trust.
Site strategy is further shaped by regional dynamics. Less densely populated regions often offer faster permitting and stronger political incentives, while major urban centres remain critical for attracting skilled talent.
Regulation, permitting and early risk visibility
Permitting is often the first major bottleneck for electronics projects in Spain. Building permits, environmental authorisations and utility approvals must be aligned early, as delays can jeopardise funding and delivery. This is particularly critical because many electronics projects in Spain depend on European or public funding mechanisms, which impose strict milestone requirements and completion deadlines.
4 early-stage regulatory considerations include:
- National and regional permitting procedures and approval durations
- Environmental constraints tied to land use and emissions
- Fire safety and industrial compliance requirements
- Municipality-specific planning interpretations
By mapping these constraints at the outset, clients gain a realistic view of whether a site can support both the project ambition and the funding schedule.
Power availability as a strategic constraint
Compared to many European countries, Spain benefits from relatively strong power availability. However, this does not remove risk. Power allocation remains a decisive factor in electronics site selection, not because capacity is absent, but because timing matters. Securing the required electrical capacity can take up to two years, depending on location and grid conditions.
For electronics facilities, where tool selection, cleanroom design and utility sizing are tightly interlinked, uncertainty around power availability can cascade into wider programme risk. Deerns therefore evaluates power feasibility at the very beginning of the site assessment.
Water availability is also reviewed, though for most electronics facilities in Spain it is rarely a limiting factor. The focus remains firmly on electricity as the dominant utility constraint.
Environmental and site-specific technical constraints
Electronics and semiconductor facilities are far more sensitive to environmental conditions than most industrial developments. As a result, early identification of site-related risks is critical to project viability and long-term performance.
3 key considerations include:
- Flood risk: Sites are assessed against 100-year and 500-year flood events. Where exposure exists, early mitigation measures such as building elevation or layout adjustment may be viable, provided they are identified at feasibility stage.
- Vibration and electromagnetic interference: Proximity to roads, railways and industrial neighbours can compromise tool performance. A high-level desktop assessment is used to classify risk, with detailed studies undertaken where necessary.
- Geotechnical conditions: Soil quality, bearing capacity and settlement behaviour directly affect structural design and operational stability. Early screening helps eliminate unsuitable sites before significant investment is committed.
Seveso regulation and population proximity
" Electronics facilities often exceed chemical thresholds defined under Seveso regulations, classifying them as high-risk installations.
This has direct implications for site selection, particularly regarding proximity to residential areas. Not all sites are legally permissible, regardless of technical suitability.
Deerns evaluates chemical inventories early to determine whether Seveso thresholds are triggered and what separation distances are required.
Waste management adds another layer of complexity. Municipal waste regulations vary across Spain, requiring direct engagement with local authorities.
Greenfield versus brownfield feasibility
Increasingly, clients are exploring brownfield or existing building solutions in Spain to accelerate delivery. These options introduce additional technical constraints that must be carefully assessed.
3 critical brownfield considerations include:
- Slab-to-slab heights, typically requiring 5-7 metres
- Floor load capacity to support heavy equipment
- Structural adaptability and reinforcement potential
Where limits are identified, Deerns works with structural engineers to evaluate whether reinforcement or adaptation is feasible, balancing technical solutions against cost and risk.
Feasibility as a strategic enabler
" Site selection for electronics facilities in Spain is no longer merely about finding available land; it is about aligning regulation, energy, environmental, funding and procurement factors into a coherent strategy.
By partnering with clients from the earliest stages, Deerns helps transform uncertainty into informed decision-making, ensuring that electronics projects in Spain are not only technically feasible, but strategically resilient, fundable and deliverable.
Early feasibility, grounded in local knowledge and international experience, is the single most effective way to reduce risk and protect investment.
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