US President Donald Trump has ordered an immediate halt to trade with Spain, sharply escalating tensions with the key North Atlantic Treaty Organization ally over defence spending and Madrid's position during the recent Iran conflict, according to reports.
The NATO Summit Defence Industry Forum 2026, held in Ankara as part of the 2026 NATO Summit, brought together senior NATO and partner government officials, defence industry leaders, investors and innovation stakeholders to discuss transatlantic defence production and cooperation.
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The forum centred on the Alliance's progress toward its landmark goal of investing 5% of GDP in defence, with discussions focusing on boosting defence manufacturing, joint procurement and industrial collaboration to strengthen NATO's collective deterrence.
Speaking alongside Mark Rutte at the opening of the NATO summit, Trump criticised Spain for refusing to back the alliance's priorities and questioned its commitment to collective defence.
According to reports, Trump directed US Treasury Secretary Scott Bessent to immediately stop trade with Spain, saying he no longer wanted the US to conduct business with the European nation. He also accused Madrid of benefiting economically from trade with the US while failing to support Washington on critical security issues.
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The latest remarks underscore Trump's frustration with Spain's decision not to commit to NATO's proposed target of allocating 5% of its gross domestic product (GDP) to defence spending.
The report added that differences also widened during the recent conflict involving Iran, after Spain's Socialist government reportedly declined to allow the US to use Spanish airspace or military bases for operations linked to the war.
The US maintains two key military facilities in Spain — Naval Station Rota and Morón Air Base — both regarded as strategically important for American and NATO military operations.
The move signals a further deterioration in US-Spain ties amid broader disagreements over defence commitments and regional security.
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