Spanish interim Prime Minister Carlos Cuerpo downplayed President Trump’s recent threat to sever all trade ties with Spain, emphasizing the robust and historical bilateral commercial and investment relationship between the two countries. Cuerpo stated that there are currently no measures on the table that would restrict trade, transport, or travel, and reiterated that the European Union's exclusive prerogative in negotiating trade agreements means individual member states' trade policies are governed by the EU.
Cuerpo highlighted that the US is Spain's largest foreign investor, with over $100 billion in investment stock from Spanish companies in the US. He underscored the interconnectedness, noting that American companies operating in Spain are considered Spanish companies. The Spanish government confirmed its commitment to supporting businesses facing potential tariffs and continuing to open new trade offices in the US.
The recent tensions arose after Trump accused Spain of being a "terrible partner in NATO" and instructed Treasury Secretary Scott Bessent to "cut off all trade with Spain, please, including visits." This follows a prior instance in March where Trump similarly threatened trade cuts, partly due to Spain's refusal to allow the US to use military bases for operations related to the Iran war. Spanish Prime Minister Pedro Sánchez had an informal, tension-free chat with Trump at the NATO summit, where Sánchez outlined Spain's contributions to NATO and Ukraine, including raising defense spending to 2% of GDP.
