They could have played it safe. Against a backdrop of American trade tensions, inflationary pressure on raw materials and geopolitical instability in the Middle East, German companies established in Spain have nonetheless reaffirmed their commitment. The AHK España Spring 2026 Barometer, conducted between 16 March and 10 April among major German multinationals operating on Spanish soil – Volkswagen, Mercedes, Bayer, Siemens, Merck, Braun… – delivers an unambiguous verdict: confidence is growing, investment intentions are strengthening, and the trend that began in autumn 2025 is consolidating.
The figures speak for themselves: 35% of the companies surveyed plan to increase their investments in Spain over the next twelve months. The same holds true for employment, with 40.5% of companies planning to expand their workforce — a sign that investment decisions go hand in hand with a long-term human resources strategy.
Madrid, epicentre of German ambitions in Spain
Why does Spain and Madrid in particular stand out so clearly? While the German economy struggles to regain momentum – with national growth expected at around 1.3% of GDP in 2026 – Spain stands out as a resilient and particularly dynamic market. In this context, the Madrid region occupies a place of its own.
The Madrid region concentrates the bulk of German investment flows: the leading destination for German capital, it combines a world-class services ecosystem, high-quality logistics infrastructure, a skilled workforce and an institutional environment that is welcoming to foreign companies. It also ranks 3rd among European regions for foreign direct investment attraction strategy, according to the European Cities and Regions of the Future 2025 ranking by fDi Markets. The region has actively pursued this positioning, notably by attending Hannover Messe in 2025 to engage German decision-makers directly, highlighting its competitive tax framework and its fast-growing tech ecosystem.
At a broader macro level, economic relations between the two countries have never been more intense. Bilateral trade could approach €100 billion this year, and Spain is poised to re-enter the top 10 of Germany’s export markets for the first time since 2009. A return that is as symbolic as it is economic, illustrating the depth of the German-Spanish relationship — and one in which Madrid is, more than ever, the operational capital.