President Donald Trump threatened to end all U.S. trade with Spain during the NATO summit on July 8, 2026, after Spain refused to commit to NATO's new defense spending benchmark of 5% of GDP. Trump repeatedly singled out Spain, calling it a "wasted cause" and urging an end to trade and visits with the country. He stated, "We don't want to do any trade business with Spain anymore, by the way," and further demanded, "Cut off all trade with Spain, please, including visits."

The dispute follows months of growing tensions between Washington and Spanish Prime Minister Pedro Sánchez. Earlier in 2026, Sánchez condemned the U.S.-Israeli military campaign against Iran as an "extraordinary mistake" and called for de-escalation. Spain also refused to allow the U.S. to use the jointly operated Rota Naval Base and Morón Air Base to support offensive operations against Iran under Operation Epic Fury.

In 2025, the United States and Spain traded approximately $47 billion in goods, with U.S. exports to Spain totaling about $26 billion and imports from Spain around $21 billion. Trump's comments came shortly after NATO leaders endorsed the new defense spending target, which Spain rejected.

President Trump was photographed alongside NATO Secretary-General Mark Rutte and British Prime Minister Keir Starmer at the summit in Ankara, Turkey.

Sources