ANKARA, Türkiye — Donald Trump has ordered an immediate halt to all US trade with Spain, dramatically escalating a growing dispute with the NATO ally over defence spending and Madrid’s refusal to support Washington’s military campaign against Iran.
Speaking alongside NATO Secretary General Mark Rutte during the NATO summit in Ankara on Wednesday, Trump instructed US Treasury Secretary Scott Bessent to stop all trade with Spain, accusing the country of failing its NATO commitments and calling it a “terrible partner.”
“I don’t want to do any trade with them, alright?” Trump said before turning to Bessent, who replied, “Yes, sir.”
Trump then added: “Take it immediately. Don’t even talk to them. They’re hopeless. They’re bad people. They make so much money with us, and we’re going to see that they make a lot less.”
The latest move follows months of worsening relations between Washington and Madrid. Trump has repeatedly criticised Spain for refusing to commit to NATO’s new target of spending 5% of its GDP on defence, while also expressing frustration over Prime Minister Pedro Sánchez’s refusal to allow the United States to use Spanish airspace and military bases during its military operations against Iran.
This is the second time Trump has threatened to halt trade with Spain. He made a similar announcement in March after Spain blocked the use of the Rota and Morón military bases for US operations targeting Iran. Despite those earlier remarks, trade between the two countries continued without disruption.
During Wednesday’s exchange, Trump also described Spain as a “wasted cause” and said the United States no longer wanted to conduct business with the country.
NATO Secretary General Mark Rutte attempted to ease tensions, noting that Spain had significantly increased its defence spending to around 2% of GDP over the past year, while acknowledging that further discussions on alliance commitments remained necessary.
Spain’s government responded calmly to Trump’s remarks, saying it had anticipated such statements and would not alter its approach toward relations with Washington.
In a statement, Prime Minister Pedro Sánchez’s office said Spain continued to enjoy “excellent” relations with the United States and stressed that economic ties were driven by private companies rather than governments. The government also noted that Spain runs a trade deficit with the United States.
Madrid further pointed out that, as a member of the European Union’s customs union, individual EU member states cannot be singled out for separate trade arrangements, with trade policy falling under the European Commission’s authority.
The European Commission also pushed back against Trump’s announcement, saying it expected the United States to honour its trade commitments with the European Union.
Commission spokesperson Olof Gill said Brussels expected Washington to respect the joint EU-US trade statement signed last year, adding that the Commission would continue protecting the interests of all member states while advocating for stable and predictable transatlantic trade relations.
Trade experts have also questioned whether Trump can legally impose country-specific trade restrictions against Spain. Analysts say such a move would likely require the declaration of a national emergency and legal justification that Spain poses a threat to US national security, foreign policy or the American economy.
Despite the escalating political dispute, major American investors have continued to express confidence in Spain’s economy. Asset management giant BlackRock recently identified Spain as its preferred global equity market for the coming months, citing the country’s strong economic growth compared with other developed economies.
The United States and Spain also maintain close military cooperation through the jointly operated Rota Naval Base and Morón Air Base in southern Spain, with Spanish officials saying there are currently no indications that Washington intends to reduce its military presence at either facility.
