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Trump Orders Trade Cutoff With Spain, Declares Iran Ceasefire Over

Created at 8 Jul · 8:19 AM5 sources↑ Market-relevant5 events
IN SHORT

President Donald Trump ordered Treasury Secretary Scott Bessent to cut off all trade with Spain, citing defense spending and its refusal to allow U.S. strikes on Iran from its bases. Trump also declared an interim accord with Iran to end the conflict "over."

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Key Numbers

5%NATO defense spending target
2%Spain's current defense spending as % of GDP

Who's Involved

Donald Trump
U.S. President ordering trade cutoff with Spain and declaring Iran ceasefire over
Scott Bessent
Treasury Secretary ordered to cut off trade with Spain
Pedro Sánchez
Spanish Prime Minister responding to Trump's threat
Trump Orders Trade Cutoff With Spain, Declares Iran Ceasefire Over

↳ Why This Matters

The pronouncements by President Trump signal potential shifts in U.S. foreign policy and international relations, impacting trade dynamics with allies and the ongoing conflict with Iran.

Key facts

  • President Donald Trump ordered Treasury Secretary Scott Bessent to cut off all trade with Spain.
  • Trump described Spain as a 'terrible' partner and a 'wasted cause' within NATO.
  • The U.S. president cited Spain's refusal to allow U.S. strikes on Iran from its bases and its defense spending as reasons for the threat.
  • President Donald Trump declared an interim accord with Iran to end the conflict 'over'.

President Donald Trump has ordered Treasury Secretary Scott Bessent to cut off all trade with Spain, describing the nation as a "terrible partner" and a "wasted cause" within NATO. The U.S. president cited Spain's refusal to allow American strikes on Iran from its bases and its perceived failure to meet NATO's defense spending target of 5% of GDP as reasons for the directive. Spain currently spends 2% of its GDP on defense, ranking seventh among NATO's 32 members, according to Prime Minister Pedro Sánchez's government.

Trump's remarks came as he arrived for a NATO summit in Ankara, Turkey. He stated he did not speak to Spain and does not want to do any trade business with Spain anymore, reiterating his threat to cut off trade with Spain and calling it a 'wasted cause' during the summit.

Separately, President Trump declared an interim accord with Iran aimed at ending the conflict "over," calling it a "waste of time" to deal with following renewed strikes.

Frequently asked questions

President Trump cited Spain's refusal to allow U.S. strikes on Iran from Spanish bases and its perceived failure to increase NATO spending as reasons for the threat.

Spanish Prime Minister Pedro Sánchez strongly rebutted the threat, emphasizing his opposition to war and the breakdown of international law. The EU and France also expressed solidarity with Spain.

It is unclear how such a trade cutoff would be implemented, as the European Union negotiates trade deals on behalf of its 27 member countries.

What Happens Next

01It remains unclear how Trump would implement a trade cutoff with Spain, given the EU's role in negotiating trade deals for its member countries.
02Further statements are expected from NATO leaders regarding defense spending and international relations.

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Cadence

How It Developed

President Donald Trump ordered Treasury Secretary Scott Bessent to cut off all trade with Spain.
Trump described Spain as a 'terrible' partner and a 'wasted cause' within NATO.
The U.S. president cited Spain's refusal to allow U.S. strikes on Iran from Spanish bases and its defense spending as reasons for the threat.
President Donald Trump declared an interim accord with Iran to end the conflict 'over'.
Trump stated he did not speak to Spain and does not want to do any trade business with Spain anymore.
Trump reiterated his threat to cut off trade with Spain, calling it a 'wasted cause' during the NATO summit.
Spanish Prime Minister Pedro Sánchez stated Spain has reached 2% of GDP in defense spending, ranking seventh among NATO members.
President Trump declared the Iran ceasefire 'over' and a 'waste of time' to deal with, following strikes.

Sources

T1
Trump says he ordered cutting off all trade with SpainReuters
T1
Trump again attacks Spain: calls it a 'lost cause' and urges cutting tradeEuronews
T1
Trump: Iran ceasefire is over, it is a waste of time dealing with themMiddle East Eye
T1
Trump orders a halt to US trade with SpainPOLITICO Europe
T2
Trump threatens to cut off trade with Spain | AP Newsapnews.com
T2
Spain's Pedro Sánchez hits back at Trump threat to sever trade ... - BBCbbc.com
T2
Trump threatens to halt trade with Spain over air base accessbbc.com

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