Spain Rejects Trump’s Threats over NATO Spending: “We Won’t Sacrifice Our Welfare State”
BRUSSELS — Spanish Prime Minister Pedro Sánchez on Thursday pushed back strongly against U.S. President Donald Trump’s threats to impose new tariffs on Spain, following Madrid’s refusal to meet NATO’s new 5% GDP defense spending target.
“Europe and the world are already suffering from a U.S.-led trade war, with tariffs we consider unfair and unilateral,” Sánchez told reporters in Brussels. He added, “In Spain’s case, the threat is doubly unjust because we have a trade deficit — not a surplus — with the United States.”
Trump had vowed on Wednesday to negotiate “directly” with Sánchez on trade, warning: “We’re going to make them pay twice as much” through tariffs if Spain does not comply with the defense pledge.
But Sánchez reminded that the EU — not individual states — manages trade talks with the U.S., and that Spain had already secured flexibility in the Hague Summit Declaration signed by NATO allies. The declaration commits countries to reaching 5% of GDP in defense and security investments by 2035, but Spain says its adjusted contributions will reach 2.1% — a level it deems sustainable.
“Spain is committed to the alliance, but we are also sovereign,” Sánchez said. “Meeting the full 5% would require massive tax hikes and unacceptable cuts to our welfare state.”
Trump, however, singled Spain out after the NATO meeting: “Spain is the only country that refuses to pay. They want a free ride — but I won’t let that happen.” The U.S. has already imposed tariffs of 10% on EU goods, 50% on steel and aluminum, and 25% on vehicles.
