Bilbao used to be the heart of Spain’s industrial revolution and that came with an incredibly active metalworking industry. The city’s rich history in iron, steel, and shipbuilding has long been integral to the Basque economy, but as the metalworking industry faced significant decline toward the end of the 20th century, Bilbao had to reinvent itself. Today, the industry remains a significant driver of the local economy, but the city has had to seek out other avenues.
The roots of Bilbao’s metalworking industry date back to the late 19th century, when the city became a hub for iron and steel production, supported by nearby mines, the bustling port, and expanding trade. Companies like Altos Hornos de Vizcaya (AHV), founded in 1902, dominated the region, and made Bilbao one of Spain’s most important industrial centers. The Euskalduna shipyards, founded in 1900, became another pillar of Bilbao’s economy. These companies contributed to the rapid urban and architectural growth that reshaped the city. However, by the late 20th century, Bilbao’s metalworking industries, especially iron and steel, entered a period of decline, as global competition and changing market dynamics led to a significant crisis. The closure of the Euskalduna shipyards in 1988 marked a defining moment. Workers’ protests and intense demonstrations reflected the gravity of the situation as Bilbao grappled with economic restructuring.
Despite these setbacks, Bilbao has found ways to push forward. Over the past few decades, the city has adapted to the new economic realities, shifting towards high-tech industries, tourism, and a growing service sector, while still maintaining a strong industrial presence. Modern metalworking businesses in Bilbao now focus on advanced technologies, such as precision engineering, aerospace components, and renewable energy solutions. Companies are increasingly integrating automation, robotics, and sustainability into their production processes.