Do all transport modes impact on industrial employment? Empirical evidence from the Spanish regions

•We examine the direct, indirect and total impacts of all transport modes on industrial employment in Spain from 1995 to 2008.•Motorways and ports are relevant for regional manufacturing employment.•Railways and airlines do not have a relevant impact on industrial employment.•Employment in a country's manufacturing activities is related with those transport infrastructures that improve its international connectivity.

This paper examines the direct, indirect and total impacts of all transport modes on industrial employment in Spain from 1995 to 2008. Through spatial econometric methods, this study finds that only ports are able to generate positive total effects, and that the increase in industrial employment that a region obtains from having more kilometers of motorways results in less industrial employment in other nearby regions. In contrast, airports and railways do not have a relevant impact on industrial employment. Overall, the level of employment in a country's manufacturing activities is related with those transport infrastructures that improve its international connectivity.