US president Donald Trump has threatened to slap Spain with trade tariffs as punishment for its refusal to meet NATO’s defence spending target of 5%.
Speaking to reporters from the White House on Tuesday, Trump said Spain was “doing very well off our backs” and that its refusal to boost defence spending was “very disrespectful to NATO.”
He said: “I’m very unhappy with Spain. They’re the only country that didn’t raise up their number to 5 percent. Every other country in NATO raised up to 5 percent.”
“I was thinking about giving them trade punishment through tariffs because of what they did,” he added.
It came after Trump and Spanish prime minister Pedro Sanchez shared smiles and handshakes in an apparent easing of tensions on Monday, as world leaders gathered in Egypt for the signing of the Gaza peace plan.
Speaking on his meeting with Trump following the summit, Sanchez told Cadena SER Radio on Tuesday: “It was a very cordial exchange. I have had the opportunity to have several meetings and encounters with him during his first administration, in 2018 and 2019. And the truth is that it was very cordial.”
He added: “Beyond the obvious disagreements we may have on certain policies, I believe relations between the United States and Spain are very positive and deeply rooted.”
Sanchez went on to defend his government’s defence spending policies, arguing that Spain was doing “more than enough” by devoting 2% of GDP to military spending.
“We are committed to the defence and security of NATO and, at the same time, equally committed to safeguarding our welfare state,” he said.
Trump has been critical of Europe’s reliance on the US’ military protection since his electoral campaign in 2022.
He has repeatedly slammed Madrid over its conservative defence spending since NATO allies agreed to set the new target of 5% in June at a meeting in The Hague, in the Netherlands.
Spain was the only country that refused to meet the new requirement, arguing it did not need to spend as much as other countries to fulfil the strategic goals set by the alliance.
In a bid to meet an earlier NATO target, Sanchez promised in April to boost Spain’s defence spending to 2% of GDP by the end of the year.
But the uptick still falls short of Trump’s latest request of 5%.
In 2024, Spain allocated 1.3% of its GDP to the military – the lowest among NATO members.
Yet, contrary to the US president’s claims, only a small number of allies – such as Poland – currently devote around 5% of their GDP to defence.
Under NATO’s agreement, members have until 2035 to meet the goal.
Sanchez has drawn criticism from several EU partners – particularly those bordering Russia and Ukraine – after suggesting earlier this year that Moscow does not pose an immediate security threat to Spain.
Trump has argued that Spain enjoys a natural security buffer due to its southern European location, saying the country “gets protection” simply because of “the way they’re located.”
Last week, the US president further escalated controversy after describing Spain as a “laggard” and suggesting it could be booted out of NATO – which is currently impossible, as the alliance has no mechanism to remove a member state.
“Maybe you should throw them out of NATO, frankly,” Trump told Finland’s President Alexander Stubb. “I think you people will have to start speaking to Spain.”
READ MORE: ‘Throw them out’: Donald Trump suggests Spain should be kicked out of NATO
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