11 November 2026 | Curated by Vishaljeet Singh, Lisbon, Portugal
Portugal is stepping up efforts to attract American investment in technology, energy, healthcare, defence and aerospace, positioning itself as a European base for companies seeking to produce, innovate and export within the European Union. The appeal was made by Economy Minister Manuel Castro Almeida at a Portuguese-American business forum in Lisbon on 10 November, as the government seeks to turn stronger transatlantic economic ties into long-term industrial capacity.
The initiative comes at a time when governments across Europe are reassessing supply-chain resilience, energy security and defence capabilities. Lisbon is presenting Portugal not simply as a destination for foreign capital, but as a strategic location where US companies can develop technology and serve the wider European market.
US investment in Portugal has more than doubled
Figures from the Bank of Portugal show that the value of US investment in the country rose from €6.7 billion in early 2019 to €16.8 billion at the end of 2025. The United States has become Portugal’s third-largest foreign investor, behind Spain and France, and ahead of the United Kingdom and China.
The growth reflects a broader expansion of American commercial activity in Portugal, including semiconductor-related operations, automotive electronics and energy equipment. Major US technology companies such as Microsoft, IBM and Google also have an established presence in the country.
For Lisbon, the figures provide a foundation for its pitch to investors: Portugal already has links with US industry, and the government wants the next phase of investment to deliver more production, research, skilled employment and exports.
Four sectors at the centre of the investment drive
Castro Almeida identified four priority areas for deeper cooperation between Portuguese and American businesses: technology and digital platforms; energy and infrastructure; pharmaceuticals and healthcare; and defence and aerospace.
Technology is a major focus as demand for data centres, artificial intelligence infrastructure, semiconductors and digital services grows. Portugal is seeking to attract projects that can use its connections to European markets, skilled workforce and expanding digital infrastructure.
Energy and infrastructure are also central to the strategy. Investment in power systems, grid capacity, renewable energy and related equipment can support industrial expansion while helping Europe manage the transition to lower-carbon energy. For American companies, Portugal offers a route into projects shaped by EU energy policy and regional demand.
In healthcare and pharmaceuticals, cooperation could involve manufacturing, research, medical technology and supply-chain development. Defence and aerospace have a strategic dimension: European governments are increasing attention to industrial readiness, equipment supply and the ability to sustain critical capabilities with trusted partners.
Sines emerges as a major AI infrastructure location
One of the most prominent projects supporting Portugal’s technology ambitions is Microsoft’s planned investment of $10 billion in artificial intelligence infrastructure in Sines. The project has helped draw attention to Portugal’s potential role in Europe’s data-centre and cloud-computing ecosystem.
Large data-centre developments can bring substantial capital expenditure and demand for construction, energy, connectivity and specialist services. They can also create pressure on electricity networks, water resources, land use and local infrastructure. The long-term value for Portugal will depend on whether such projects are integrated with national capacity-building and deliver wider economic benefits beyond the facilities themselves.
For the government, attracting investment is only one part of the challenge. It must also ensure that the energy supply, planning processes, digital connectivity and skills base are capable of supporting projects of this scale without creating bottlenecks for households and other industries.
Economic diplomacy meets European security priorities
The investment campaign has a geopolitical dimension. Castro Almeida linked the current international environment with the need for security, industrial resilience and cooperation among allies. His message reflects a wider European effort to reduce strategic vulnerabilities in sectors such as energy, digital infrastructure, pharmaceuticals and defence.
For Portugal, closer economic ties with the United States can support that effort while strengthening its role inside the European Union. American companies gain access to the EU single market through a Portuguese base, while Portugal can seek investment, technology transfer and jobs from firms with global reach.
However, the strategy also requires careful balance. Portugal remains committed to the European regulatory framework and must assess foreign investment in areas that affect national security, critical infrastructure and sensitive data. Attracting capital does not remove the need for oversight, competition rules or environmental safeguards.
Why Portugal is competing for this investment
Portugal offers access to the EU market, Atlantic connectivity, renewable-energy resources and an established technology sector. Its geographic position can also make it attractive to businesses looking to connect European operations with markets in North America, Africa and other regions.
But competition is intense. Other European countries are offering incentives and infrastructure to attract data centres, advanced manufacturing and defence-related investment. Portugal will need to demonstrate that projects can be delivered on time, that energy and transport networks are reliable, and that the country can supply the skilled workers required by high-value industries.
There is also a question of how widely the benefits are shared. Large projects can raise national investment figures, but their impact on wages, regional development and domestic suppliers depends on how deeply they connect with the local economy. Building partnerships with Portuguese universities, research centres and small businesses will be important if investment is to generate lasting capabilities.
What businesses and policymakers will watch next
- Whether the investment campaign produces new commitments in semiconductors, AI and digital infrastructure.
- How quickly energy and grid capacity can support large data-centre and industrial projects.
- Whether US firms expand partnerships in pharmaceuticals, healthcare, defence and aerospace.
- How Portugal balances foreign investment with EU rules on competition, security and critical infrastructure.
- Whether new projects create skilled jobs and opportunities for Portuguese suppliers and research institutions.
The bigger picture
Portugal’s pitch to American investors is about more than attracting money. It is an attempt to strengthen the country’s position in Europe’s technology, energy and defence supply chains at a moment when economic policy and national security are increasingly connected.
The rise in US investment to €16.8 billion by the end of 2025 gives Lisbon a strong starting point. The next test is whether the government can convert interest into productive projects, resilient infrastructure and high-value employment. If it succeeds, Portugal could become a more influential Atlantic bridge between American capital and European industry.
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