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Trump Threatens To Double Spain’s Trade Costs Over NATO Spending Dispute

Muhammad Hadji Gesinde by Muhammad Hadji Gesinde
June 25, 2025
in News, Top Stories
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U.S. President Donald Trump has threatened to impose higher trade costs on Spain potentially doubling them amid a dispute over the country’s refusal to adopt NATO’s new defence spending target of 5% of its Gross Domestic Product (GDP).

Speaking on Wednesday, Trump criticized Spain’s decision to reject the proposed benchmark, despite widespread support from other NATO members. “We’re negotiating with Spain on a trade deal. We’re going to make them pay twice as much,” he stated, describing Spain’s position as “very terrible” and accusing the country of failing to meet its responsibilities within the alliance.

Earlier that day, NATO leaders had backed a significant increase in defence and security expenditure, a move championed by Trump to enhance the alliance’s military preparedness by 2035. While most member states agreed to the target, Spain stood apart, insisting that it could still fulfill its NATO commitments without hitting the 5% threshold.

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Trump’s threat, however, could face legal and diplomatic hurdles. As part of the European Union, Spain does not negotiate trade agreements independently; such talks are conducted by the European Commission on behalf of all 27 EU member states. This means that targeting Spain specifically would require influencing a broader U.S.-EU trade deal.

Spain’s Ministry of Economy declined to comment on Trump’s statement, and there has yet to be an official response from EU officials.

Source: Arise TV reported. 

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