• Trump threatens to end all trade with Spain over its refusal to allow military base use against Iran.
• Spanish Prime Minister Pedro Sánchez firmly opposes the Iran war, declaring "No to war."
• Spain insists on adhering to international law and bilateral agreements with the US and EU.
• Concerns arise over the potential impact of a trade embargo on Spain's economy.
• EU states that it will protect its trading interests and stand in solidarity with Spain.

President Donald Trump has threatened to "cut off all trade with Spain" following the country’s refusal to allow military use of its bases for attacks on Iran. During a meeting with German Chancellor Friedrich Merz, Trump lamented, "Spain has been terrible" for not supporting U.S. operations and called on Treasury Secretary Scott Bessent to "cut off all dealings" with the country. The U.S. president's comments were a direct response to Spain's insistence on adhering to international law over military cooperation, particularly in light of recent U.S.-Israeli military actions against Iran, which Madrid has condemned as unjustifiable and dangerous, according to SCMP, Al Jazeera, and LA Times.

In a televised address, Sánchez reaffirmed Spain's position, stating that the government will not permit U.S. military operations that contravene the United Nations Charter, emphasizing the need for peace and dialogue over warfare. He articulated a stark warning: "This is how humanity's great disasters start," highlighting the concerns over escalating military conflicts, particularly in Iran, while drawing parallels to past U.S. interventions, according to BBC and LA Times.

The Spanish government underlined its resilience against potential economic impacts from Trump's trade threats, stating it has the resources to mitigate any adverse effects on affected sectors. Madrid cautioned that if the U.S. intends to review trade agreements, it must honor international law and existing bilateral agreements with Europe, which represent commitments through the EU, according to Al Jazeera and The Local.

The European Union has reacted by stating its readiness to protect member states' interests, reinforcing the notion that Trump's threats may not significantly impact Spain given its status as a member of the EU. Despite Trump’s declaration, experts suggest that his ability to implement a trade embargo may be limited, particularly following a Supreme Court decision that curtailed his authority to impose tariffs arbitrarily, according to Dawn and Al Jazeera.

As the situation unfolds, Sánchez criticized the militaristic approach of U.S. foreign policy, aligning with public sentiment in Spain where opposition to Trump’s policies is considerable. Recent polls indicate a significant fraction of the Spanish population disapproves of U.S. military interventions, positioning Sánchez as a contrasting figure among European leaders advocating for dialogue over military action, according to BBC and LA Times.