Trump Threatens Spain With Tariffs Over NATO Defense Spending Dispute

President Donald Trump issued a stern warning to Spain on Tuesday, threatening trade penalties over the country's stance on NATO defense spending.

From Washington, Trump expressed significant displeasure regarding Spain's refusal to increase its defense budget to the 5% level agreed upon by other NATO members.

"I'm very unhappy with Spain. They're the only country that didn't raise their number up to 5%... so I'm not happy with Spain," Trump declared during a White House press briefing.

The President further elaborated on potential consequences, stating, "I was thinking of giving them trade punishment through tariffs because of what they did, and I think I may do that."

Trump's frustration stems from Spain being the sole holdout among the 32-nation alliance that did not commit to boosting military spending to 5% of GDP, a commitment that NATO leaders collectively established in June.

Spanish Prime Minister Pedro Sánchez had negotiated an exception to this agreement, maintaining that Spain would limit its defense spending to 2.1%, which he characterized as "sufficient and realistic."

Madrid's position has been that it offsets its lower financial contribution through substantial troop deployments to NATO missions, including significant military presence in Latvia, Slovakia, Romania, Bulgaria, and Turkey.