Innovation

The Basque Automotive Manufacturing Center (BAM) is leading the way in automotive breakthroughs with automation and digitalization of assembly processes. An offshoot from a joint venture with Mercedes Benz, this initiative was founded in the Basque Country to help small automotive companies improve operational efficiency. In doing so, BAM tackles key bottlenecks faced by these markets with the help of cutting-edge technologies such as artificial intelligence (AI) and process automation — thereby allowing them to better meet market needs.

This innovation falls in line with several United Nations Sustainable Development Goals (SDGs), most notably Goal 9: Industry, Innovation and Infrastructure and Goal 8: Decent Work and Economic Growth. The adoption of established technologies by BAM is not only increasing productivity but also providing them with a comparative advantage in an increasingly green world market. Furthermore, BAM actively contributes to Goal 12: Responsible Consumption and Production by encouraging sustainable practices that eliminate the wanton waste of resources in manufacturing processes.

The activities by BAM facilitate the creation of an open ecosystem within which the collaboration and exchange of knowledge and ideas are nurtured. Building such an ecosystem is beneficial not only for the companies but also for the whole automotive industry within the Basque Country thus achieving a better and more economically stable society. Focused on closing technology gaps and encouraging forms of development, BAM also helps move the automotive industry closer to its sustainable future.

Inspiration

BAM's creative endeavors are motivated by a strong dedication to advancing technology and enabling small automakers. The CEO explained, "Most small companies in the automotive industry want to understand what the state-of-the-art technology is right now and how they can solve some problems regarding the processes," clearly expressing this drive. This emphasizes a core objective -- to provide these businesses with the skills and resources they need to prosper in a market that is becoming more competitive.

The CEO explained, “I think in most instances the biggest obstacles are people who should really use these little businesses… They don't want change.” This confirms the necessity of overcoming resistance, highlighting BAM's role as an innovation enabler to help businesses adapt in a changing world.

The leader aims to foster not just technology but also a collaborative ecosystem. When asked about their motivation, they replied, "You put a lot of effort into something when you actually have the target and wish to change." This commitment to being the change we want to see in our industry is part of a broader move toward sustainability, resulting in a more innovative and responsible business landscape. These insights demonstrate BAM's desire for innovation and commitment to assist the automotive sector in moving toward sustainability.

Overall impact

BAM's innovation is transforming the automotive industry across economic, environmental, and social dimensions. By integrating automation and digital tools into car assembly, BAM empowers small automotive companies to enhance their competitiveness in a rapidly changing global market. The use of advanced technologies, including artificial intelligence and process automation allows these companies to optimize their operations and adapt to modern demands, thereby strengthening the automotive sector, particularly in the Basque Country.

Economically, BAM is contributing to Spain's recovery by creating job opportunities, which is vital in addressing youth unemployment. The planned opening of an 11,000 m² R&D facility in 2025 will advance electric vehicle (EV) technology, positioning the Basque Country as a leader in this field. This initiative fosters local economies through job creation and encourages partnerships with major industry players like Siemens and Mercedes-Benz. Supported by the Basque government, BAM is fostering a collaborative ecosystem that fuels research and innovation, benefitting both regional and national economies.

Environmentally, BAM aligns with Spain’s green initiatives by focusing on electric vehicles and sustainable manufacturing thus reducing emissions and contributing to cleaner urban air. Its efforts support the transition to sustainable urban mobility in cities like Madrid, where stricter eco-friendly policies are in place. Additionally, through government incentives for EV purchases, BAM is making electric vehicles more accessible, promoting a shift towards greener transportation options that enhance public health and reduce environmental impacts.

Business benefit

The Basque Automotive Manufacturing Center (BAM) is making strides in the automotive sector by helping small companies thrive through advanced automation and digital solutions. By improving car assembly processes with cutting-edge technologies like artificial intelligence, BAM enables these businesses to operate more efficiently, reduce costs, and stay competitive in a fast-paced market. This focus on streamlined, cost-effective operations positions BAM as an essential resource for smaller companies aiming to adapt to industry shifts and adopt the latest tech to enhance their workflows.

Looking ahead, BAM’s upcoming 11,000 m² R&D center, set to open in 2025 in the Basque Country, underscores its commitment to leading the charge in electric vehicle (EV) innovation. This facility will support BAM’s work in areas like AI-driven manufacturing, laser technology, and smart production systems, aligning with the rapid growth of Spain’s EV market that is expected to expand significantly over the next few years. This expansion positions BAM to seize opportunities in a booming market.

Additionally, BAM’s collaborations with industry leaders like Siemens, Gestamp, and Mercedes-Benz provide valuable insights and resources and secure added support from the Basque Government. These partnerships strengthen BAM’s R&D and manufacturing capabilities, equipping the center to drive forward a more sustainable, tech-focused automotive sector. By leveraging these alliances and resources, BAM is carving out a vital role in the industry’s future, helping secure its success in an increasingly competitive field

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Social and environmental benefit

By emphasizing electric vehicle (EV) technology, BAM contributes significantly to advancing environmental sustainability. Anticipated to open by 2025, the company's intelligent manufacturing plant combines artificial intelligence (AI) and cutting-edge digital tools to lower emissions and boost productivity. BAM guarantees sustainability across its whole production process by working with suppliers to provide environmentally friendly products. These initiatives show the company's dedication to reducing its environmental effects and align with Spain's national push toward greener energy options.

Significant societal advantages are also provided by BAM's advances. The company's work contributes to the transition to cleaner urban mobility by limiting non-electric vehicles through measures like Madrid's eco-friendly zones, which cut air pollution and improve public health. Additionally, BAM addresses youth unemployment, a critical issue in Spain, by generating new jobs in production and research. Their partnerships with Siemens, Mercedes-Benz, and the Basque Government guarantee that the benefits are felt not just in local communities but also at the national and European levels.

Furthermore, BAM's initiatives contribute to making electric vehicles more widely available. More people are adopting sustainable transportation options because of government incentives, including 15% subsidies for EV sales. With these technologies, BAM supports the global shift to carbon-neutral mobility and promotes long-term economic growth, public well-being, and environmental sustainability.

Interview

Mariluz Villamor Ruiz, CEO of an innovation association