Key facts
- President Donald Trump threatened to cut off all U.S. trade with Spain.
- Trump cited Spain's perceived lack of participation and payment within NATO as a reason for the threat.
- The U.S. president also criticized Spain's refusal to support U.S. military operations related to the Iran war.
- Spain's government responded by stating it treats the remarks as "business as usual" and emphasized the EU's role as a single trading bloc.
- Trade between the U.S. and Spain totaled approximately $48 billion in 2025.
President Donald Trump has threatened to cut off all U.S. trade with Spain, labeling the country a "terrible partner" within NATO and criticizing its stance on the Iran war. Trump instructed Treasury Secretary Scott Bessent to "cut off all trade with Spain, please, including visits." This is not the first time Trump has expressed frustration with Spain; in March, he threatened similar trade cuts after Spain closed its airspace to U.S. aircraft involved in the Iran war and barred U.S. military bases from being used.
The Spanish Prime Minister's Office responded with "tranquility and normality," emphasizing that the European Union operates as a single trading bloc and that individual member states cannot be singled out for trade negotiations. The office also noted that Spain has a trade deficit with the U.S. and that economic ties are largely forged by private companies.
Trump's criticism also focused on Spain's defense spending, as the U.S. pushes NATO allies to spend 5% of GDP on defense by 2035. Spain currently spends around 2%, having increased from 1.4% to 2.1% between 2024 and 2025. NATO Secretary General Mark Rutte acknowledged that Spain had made progress in increasing its spending but noted that "issues we have to solve" remain.
Trade between the U.S. and Spain totaled approximately $48 billion in 2025. Following Trump's remarks, Spain's main benchmark stock market index, the IBEX 35, fell nearly 3% by midday local time.