Spanish PM supports EU-US trade deal but expresses reservations

Monday 28 July 2025 - 15:50

By: Dakir Madiha

Spanish PM supports EU-US trade deal but expresses reservations

Spanish Prime Minister Pedro Sánchez announced on Monday his conditional support for the recently concluded European Union trade deal with the United States, though he admitted doing so “without any enthusiasm.”

The agreement, brokered on Sunday by US President Donald Trump and European Commission President Ursula von der Leyen, sets a baseline tariff of 15 percent on EU exports to the US. While this is a reduction from the initially threatened 30-percent blanket tariff, it significantly increases the duties compared to previous rates.

A measured response

At a press conference, Sánchez acknowledged the efforts of the European Commission in securing the deal but voiced his reservations. “I value the constructive and negotiating attitude of the president of the European Commission. In any case, I support this trade agreement, but I do so without any enthusiasm,” he stated.

The Spanish government has noted that the economic impact of the tariffs on the national economy is expected to be limited, as Spain’s exposure to the US market is relatively small compared to other EU nations. However, certain sectors, such as olive oil and wine, face elevated risks due to their growing dependence on American consumers.

Industry concerns

The Spanish Federation of Food and Beverage Industries, representing over 18,000 exporters, criticized the agreement, stating it undermines free trade principles. “An agreement is better than an open trade war, but we do not accept that exports of our products to the United States should be penalized,” the federation said in a statement.

The United States ranks as Spain’s sixth-largest export market for goods, with trade primarily focused on services rather than tangible products, according to the Bank of Spain. However, the agricultural and food sectors remain particularly vulnerable, with olive oil and wine producers among the hardest hit.