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Spain's government denies cooperating with US operations in Mideast, contradicting White House - AP News

🇺🇸 President Donald Trump threatened to "cut off all trade with Spain" and stated he doesn't want anything to do with Spain over NATO spending during a meeting with German Chancellor Friedrich Merz.

⚔️ A diplomatic dispute erupted between the U.S. and Spain regarding possible U.S. use of Spanish military bases for operations in the Middle East involving Iran.

🗣️ White House spokesperson Karoline Leavitt claimed Spain agreed to cooperate after Trump's comments, but Spanish Foreign Minister José Manuel Albares immediately denied this agreement on Wednesday.

🚫 Spanish Prime Minister Pedro Sánchez stated his government would not allow American armed forces to use jointly operated bases in southern Spain for strikes not covered by the U.N. charter.

🎯 Sánchez called the U.S.-led attacks on Iran "unjustifiable" and "dangerous," warning that the war risks playing "Russian roulette" with millions of lives.

⚠️ Trump asserted he could still use Spanish bases like Rota and Morón if needed, though he noted Spain doesn't have to comply.

💰 U.S. Treasury Secretary Scott Bessent claimed Spain endangered American lives by refusing base access during the weekend attack on Iran.

🏛️ The EU plans to protect its interests and stabilize trade relations with the U.S., following a new trade deal struck last year after tariff uncertainty.

⚖️ Trump's threats mark another instance of him wielding tariffs or embargoes as punishment, though a Supreme Court ruling earlier this month blocked his sweeping global tariffs but allowed full-scale embargoes on specific nations.

🤝 Spanish business groups expressed concern over the trade threat but emphasized Spain views the U.S. as a key economic and political partner.

💸 Data from Spain's central bank suggests Europe's fourth-largest economy is relatively cushioned against Trump's tariffs compared to the EU average, with U.S. trade representing 4.4% of Spain's GDP versus 10.1% for the EU as a whole.

📦 Spanish exports to the U.S. accounted for 16 billion euros in goods, making it the sixth-largest export market for Spain, with pharmaceuticals and olive oil being key products.

Bullish Signals
  • Spain's exports and imports with the U.S. accounted for only 4.4% of GDP, while trade with the EU as a whole was 10.1%, indicating that the U.S. represents a relatively smaller portion of Spain's overall economy compared to Europe.
  • Last year, Spain's central bank issued a report concluding that Europe's fourth-largest economy is relatively cushioned against tariffs from Trump compared with the EU average.
  • Spain's main business groups expressed confidence in their trade relations, calling the U.S. a key partner and trusting that economic ties will not be negatively affected by political tensions.
  • The Spanish military bases Rota and Morón remain under Spanish command, retaining Spain's autonomy over these strategic installations even when considering joint usage with the U.S.
  • Spain maintains strong international standing as a member of the European Union, which continues to work to protect its interests and stabilize trade relationships with the U.S.
  • Pharmaceutical products and other exports like olive oil constitute significant portions of Spain's trade portfolio with the U.S., representing Spain's sixth largest export market for goods valued at $18.6 billion.
Risk Factors
  • President Trump threatened to "cut off all trade with Spain" over NATO spending and alleged cooperation with US military operations in the Middle East.
  • Spain's Foreign Minister Jose Manuel Albares explicitly denied reports that Madrid agreed to cooperate with US military operations, stating their position has not changed one iota regarding bombing of Iran or base use.
  • US Treasury Secretary Scott Bessent warned that Spain's refusal to allow US use of bases endangered American lives during weekend attacks on Iran.
  • The dispute risks severe economic fallout if a trade embargo is implemented against EU-protected Spanish interests, particularly as Spain's exports to the US account for only 4.4% of GDP (16 billion euros).
  • Spain's Prime Minister Pedro Sánchez criticized US and Israeli actions in Iran as an "unjustifiable" and "dangerous" military intervention, risking a costly quagmire similar to Iraq and Afghanistan.
  • US Supreme Court previously struck down Trump's global tariffs but he maintains the ability to impose full-scale embargoes on chosen nations, creating legal uncertainty for Spain.
  • Spain's central bank reports its economy was only relatively cushioned compared to EU average regarding exposure to Trump tariffs, increasing vulnerability to retaliatory US trade actions.
Full Analysis
A diplomatic conflict has emerged between the United States and Spain following President Donald Trump's threat to sever all trade relations with Madrid over NATO spending and alleged non-cooperation regarding military operations in the Middle East. On Tuesday, White House spokesperson Karoline Leavitt stated that Spain had agreed to cooperate with the U.S. military after President Trump told German Chancellor Friedrich Merz that he did not want anything to do with Spain over his administration's views on the war in Iran and spending. Spanish Foreign Minister José Manuel Albares promptly contradicted this assertion, telling Cadena Ser radio that the government's position regarding the Middle East, specifically bombing campaigns against Iran and the use of its bases, had not changed at all. The disagreement escalated after Spanish Prime Minister Pedro Sánchez issued a nationally televised address on Wednesday reiterating that his government would not be complicit in what he deemed unjustifiable military interventions. Sánchez stated that Spain's position could be summarized as "No to the war" and warned that U.S. and Israeli attacks on Iran risked playing Russian roulette with millions of lives, drawing comparisons to past American quagmires in Iraq and Afghanistan. While Trump claimed on Tuesday that his administration could simply fly over Spanish territory to use Rota and Morón installations if he chose to, White House Press Secretary Karoline Leavitt later maintained that Spanish counterparts were actively coordinating with U.S. military efforts despite the Foreign Minister's denials. U.S. Treasury Secretary Scott Bessent defended the potential for an embargo on Wednesday during an interview with CNBC, arguing that Spain's refusal to allow base usage endangered American lives and slowed the prosecution of the war. However, legal questions remain regarding the administration's authority to impose such measures after the U.S. Supreme Court recently struck down similar global tariff actions in late January 2026, noting that the Court allowed Trump to pursue full-scale embargoes instead. Spanish business groups have expressed concern over these threats, with CEOE, CEPYME, and ATA stating they trust trade relations will not be affected, citing a Bank of Spain report from last year which found Spain's economy relatively cushioned compared to the EU average when facing American tariffs, with U.S. exports accounting for 1% of Spanish GDP or 16 billion euros.