Trade Row Looms as Trump Threatens Spain After Refusal to Support Iran Strikes

Trade Row Looms as Trump Threatens Spain After Refusal to Support Iran Strikes

US President Donald Trump has threatened to halt all trade with Spain after Madrid refused to allow US military aircraft to use Spanish bases for operations linked to recent strikes on Iran, escalating tensions with a key NATO ally. The warning came during a White House meeting with German Chancellor Friedrich Merz, where Trump also criticised the United Kingdom for what he described as limited cooperation.

Spain’s leftist administration under Prime Minister Pedro Sánchez maintained that US forces could only use bases in Rota and Morón for operations consistent with the United Nations Charter, noting that the bases were not involved in recent strikes. Trump dismissed this position, calling Spain “terrible” and asserting that he had directed Treasury Secretary Scott Bessent to suspend all economic dealings with Madrid.

Trump also targeted Spain for not meeting his preferred NATO defence spending target of 5% of GDP, arguing that the US bears too much of the alliance’s costs. “So we’re going to cut off all trade with Spain. We don’t want anything to do with Spain,” Trump said, claiming he could terminate business ties immediately.

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Legal experts have questioned the feasibility of Trump’s threat, noting that trade agreements with Spain are negotiated through the European Union, limiting any unilateral action. Madrid responded by describing its US trade relationship as mutually beneficial, emphasizing adherence to international law, EU agreements, and the ability to mitigate potential economic impacts while diversifying supply chains.

Sánchez has consistently called for diplomatic solutions to the Iran conflict, arguing that opposing repressive regimes does not justify military escalation. Spain has also been critical of Israel’s actions in Gaza, accusing its government of genocide — a claim Israel denies.

Trump’s criticism of the United Kingdom focused on restrictions regarding the use of UK bases in Cyprus and Diego Garcia, which are limited to “specific and defensive” operations. He also expressed frustration over the UK’s agreement to return the Chagos Islands to Mauritius, home to the Diego Garcia base.

The dispute highlights mounting strains in transatlantic relations, exposing disagreements over military strategy, defence spending, and the conduct of operations in the Middle East. Analysts warn that such tensions could complicate NATO coordination and EU‑US relations if left unresolved.

Trade Row Looms as Trump Threatens Spain After Refusal to Support Iran Strikes