What is PERTE Aerospace?

PERTE Aerospace is a strategic research and innovation project that will empower the Spanish aerospace industry to address the new challenges and opportunities faced by the sector and will position it at the forefront of the world. It is the first international PERTE of the Government of Spain, which combines recovery funds from Spain and Portugal and includes cooperation projects through the European Space Agency (ESA). It is a transformative country project based on space, a basic and often unknown sector, on which the daily life of citizens depends and which represents great growth potential for the economy.

El objetivo general del PERTE Aeroespacial es posicionar al sector aeroespacial español como actor clave ante los nuevos retos y oportunidades asociados a las grandes transformaciones previstas en el sector.

Para conseguir este objetivo, se han establecido metas parciales que contribuyen a la consecución del objetivo global.

PERTE Aerospace is structured in three pillars: Aeronautical, Space and Transversal.

The Aeronautical Pillar is supported by 5 actions, space by 6 and transversal by 7, a total of 18 actions. The additional activities included in the Addendum are currently being negotiated.

This strategic project has an allocated public aid budget, with execution distributed over five years (2021-2025), of €2.193 B. Considering the nature of the aid for the different actions with specific funding included, a drag effect of direct investments from the private aerospace sector is estimated for each, totalling €279.30 m.

The sum of these public grants and direct private investments represents a total investment in direct aerospace R&D of €2.472 B.

This investment in direct aerospace R&D also generates indirect investment, mainly in the private sector, which includes the total investment multiplier 1834 estimated by KPMG. Total investment in R&D&I generated directly or indirectly by this PERTE thus amounts to €4.533 B.

Aerospace sector developments have multiple fields of application.

The different PERTE Aerospace investments and actions are designed to generate significantly positive impacts of a different nature. It is worth highlighting the strengthening and training of the Spanish aerospace industry, which will contribute to increasing its competitiveness and improving its position in the global environment in which it operates.

According to Oxford Economics, the social rate of return generated by aeronautical R&D programmes in GDP is 70% per year. This means that for every 100 euros invested in aeronautical R&D, GDP increases by 700 euros in 10 years. Since the aeronautical sector accounts for 77.4% of the aerospace sector, it is reasonable to assume a similar social rate of return for all aerospace R&D&I activity.Aplicando la citada tasa de retorno social de Oxford Economics a la inversión total en I+D+I aeroespacial de 4534 M € inducida por este PERTE se estima en 10 años un incremento del PIB de 31 735,6 M €. Asumiendo que el PIB registre un crecimiento anual del 2 % en estos 10 años se estima el impacto en el PIB del PERTE aeroespacial en el 0,22 %.

Applying the above-mentioned social rate of return from Oxford Economics to total investment in aerospace R&D of €4.534 bn induced by this PERTE, an increase in GDP of €31.735 bn is estimated in 10 years. Assuming that GDP records an annual growth of 2% in these 10 years, the impact of PERTE Aerospace on GDP is estimated at 0.22%.

Considering the TEDAE direct invoicing/direct employment ratio, the total PERTE investment of €4.534 bn has an impact on direct employment of 1,899 highly qualified jobs (R&D&I and related activities).

Another number of jobs derived from the estimated GDP increase of €31.735 bn induced by PERTE could be added to this figure in the long term. Considering the economic impact ratio of TEDAE invoicing/total employment in 2020 from the KPMG report should double in 10 years, impact on employment would be 14,079 jobs, of which 4,607 would be direct and 9,471 indirect.