Trump threatens to cut off trade with Spain after it disallowed US use
of joint bases in Iran war
[March 04, 2026]
By FATIMA HUSSEIN and SUMAN NAISHADHAM
WASHINGTON (AP) — President Donald Trump on Tuesday threatened to end
trade with Spain, citing a lack of support over the U.S. and Israeli
attacks on Iran and the European nation's resistance to increasing its
NATO spending.
“We’re going to cut off all trade with Spain,” Trump told reporters
during an Oval Office meeting with German Chancellor Friedrich Merz. “We
don’t want anything to do with Spain.”
The U.S. president's comments came a day after Spanish Foreign Minister
José Manuel Albares said his country would not allow the U.S. to use
jointly operated bases in southern Spain in any strikes not covered by
the United Nations’ charter. Albares noted that the military bases in
Spain were not used in the weekend attack on Iran.
Trump said despite Spain's refusal “we could use their base if we want.
We could just fly in and use it. Nobody’s going to tell us not to use
it, but we don't have to.”
It is unclear how Trump would cut off trade with Spain, given that Spain
is under the umbrella of the European Union. The EU negotiates trade
deals on behalf of all 27 member countries.
“If the U.S. administration wishes to review the trade agreement, it
must do so respecting the autonomy of private companies, international
law, and bilateral agreements between the European Union and the United
States,” a spokesperson from Spanish Prime Minister Pedro Sánchez’s
office said Tuesday.
The EU said it expects the Trump administration to honor a trade deal
struck with the 27-nation bloc in Scotland last year after months of
economic uncertainty over Trump’s tariff blitzkrieg.
“The Commission will always ensure that the interests of the European
Union are fully protected,” said European Commission spokesperson Olof
Gill.
It was just the latest instance of the president wielding the threat of
tariffs or trade embargoes as a punishment and came on the heels of a
Supreme Court decision that struck down Trump's far-reaching global
tariffs. While the court said that the International Emergency Economic
Powers Act does not authorize the president to unilaterally impose
sweeping tariffs, Trump now maintains that the court allows him to
instead impose full-scale embargoes on other nations of his choosing.
Trump also complained anew Tuesday about Spain's decision last year to
back out of NATO's 5% defense spending target. At the time, Spain said
it could reach its military capabilities by spending 2.1% of its GDP, a
move that Trump roundly criticized and responded to with tariff threats
as well.
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President Donald Trump speaks during a meeting with German
Chancellor Friedrich Merz in the Oval Office at the White House,
Tuesday, March 3, 2026, in Washington. (AP Photo/Mark Schiefelbein)
Spain, Trump said, is “the only country that in NATO would not agree
to go up to 5%” in NATO spending. "I don’t think they agreed to go
up to anything. They wanted to keep it at 2% and they don’t pay the
2%.”
Merz noted that Trump was correct and said, "We are trying to
convince them that this is a part of our common security, that we
all have to comply with this.”
Spain defended its position Tuesday, saying it is "a key member of
NATO, fulfilling its commitments and making a significant
contribution to the defense of European territory,” the spokesperson
in Sánchez’s office said.
During the Oval Office meeting, Trump turned to U.S. Treasury
Secretary Scott Bessent for his opinion on the president's embargo
authority.
Bessent said, “I agree that the Supreme Court reaffirmed your
ability to implement an embargo." Bessent added that the U.S. Trade
Representative and Commerce Department would "begin investigations
and we’ll move forward with those.”
A representative from the U.S. Treasury Department did not respond
to a request from The Associated Press for additional comment.
Sánchez has been critical of the U.S. and Israeli attacks on Iran,
calling it an “unjustifiable” and “dangerous” military intervention.
His government has demanded an immediate de-escalation and dialogue
and also condemned Iran’s strikes across the region.
Trump said, “Spain has absolutely nothing that we need other than
great people. They have great people, but they don’t have great
leadership."
Spain’s position on the use of U.S. bases in its territory marks the
latest flare-up in its relationship with the Trump administration.
Under Sánchez, Europe’s last major progressive leader, Spain was
also an outspoken critic of Israel’s war in Gaza.
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Naishadham reported from Madrid. AP journalist Sam McNeil in
Brussels contributed.
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