Trump Wields Tariff Stick Against Spain, EU Vows Appropriate Response

  • 2025-10-16


Trump Wields Tariff Stick Against Spain, EU Vows Appropriate Response

  After Spain refused to increase its defense spending to 5% of its Gross Domestic Product (GDP), U.S. President Trump threatened on Tuesday to impose "punitive" tariffs on Spain. The European Union responded to this threat on Wednesday.

  According to comprehensive reports from sources including CCTV News, the European Commission stated on October 15 local time that the EU would, "as always, respond appropriately to any attack targeting one or more of our member states."

  Regarding this, Trump told reporters at the White House: "They are the only country in NATO that hasn't raised their defense spending to 5%. Spain has been doing very well with our support, so I am very unhappy. I am considering trade punishment against them through tariffs."

  Experts pointed out that the U.S. imposing targeted tariffs on individual EU member states is a rare move, but not without precedent.

  "The dispute over defense spending is not about increasing spending for the sake of it, but about addressing real existing threats," the Spanish Ministry of Economy and Trade said in a statement. "We are doing everything we can to develop the necessary (defense) capabilities and contribute to the collective defense of our allies."

  The Trump administration has repeatedly urged NATO members to increase their defense expenditures, claiming that Europe cannot "free-ride" on the U.S. for defense matters and that the U.S. will not defend NATO countries that underinvest in joint defense.

  Under pressure from the U.S., at the NATO summit in June this year, member states committed to gradually increasing their annual national defense spending to 5% of GDP by 2035—a figure proposed by Trump. However, Spanish Prime Minister Sánchez insisted on increasing Spain's defense spending to only 2.1% of GDP. The Spanish government believes that a defense spending level of 2.1% is sufficient.

  According to relevant data, Spain's nominal defense spending has increased from 0.98% of GDP in 2017 to 2% this year, equivalent to 32.7 billion euros (38 billion USD).

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