Spain's Bold Economic Rescue: Navigating U.S. Tariff Turmoil

Spain is launching a €14.1 billion package to mitigate impacts from new U.S. tariffs, focusing on aiding industries like olive oil and auto parts. The initiative includes loans and reallocated EU recovery funds. Prime Minister Pedro Sanchez criticized the tariffs and urged for new trade partnerships in Asia.

The Spanish government is stepping up with a substantial €14.1 billion support package to buffer its economy against the fresh wave of U.S. tariffs. Prime Minister Pedro Sanchez announced the measures, which signal Spain's strategic response to an unfolding global trade crisis.

Following U.S. President Donald Trump's announcement of new tariffs, Spanish officials swiftly condemned the move, calling it detrimental to global trade dynamics. Sanchez characterized the tariffs as 'terrible news' and marked by '19th-century protectionism'. He emphasized the urgent need for Europe to seek alternative markets.

This economic package, pending parliamentary approval, is poised to redirect €5 billion of EU recovery funds and engage in soft loans and insurance coverage to protect Spanish industries. Sanchez reaffirmed Spain's commitment to turning this trade conflict into an opportunity for industrial innovation and global outreach.

(With inputs from agencies.)