Trump threatens trade penalties on Spain over NATO spending shortfall

Former U.S. President Donald Trump said Wednesday that the United States would make Spain pay twice as much in a future trade deal after Madrid declined to meet NATO’s newly proposed defense spending target of 5% of GDP.

Although NATO leaders endorsed the higher spending benchmark following Trump’s push, Spain rejected the goal, insisting it could fulfill its alliance commitments with a significantly smaller defense budget.

Calling Spain’s position “very terrible,” Trump warned of consequences.
“We’re negotiating with Spain on a trade deal. We’re going to make them pay twice as much,” he said.

However, Spain, as an EU member, does not negotiate bilateral trade deals with the United States. All trade agreements are handled by the European Commission on behalf of the 27-member bloc.

This reality could limit Trump’s ability to impose punitive measures on Spain unless he pushes for specific terms through broader U.S.-EU trade talks.

The Spanish Ministry of Economy declined to comment on Trump’s remarks.