Spain's Bold Economic Moves Amid U.S. Tariff Turmoil

The Spanish government is implementing a €14.1 billion package to mitigate U.S. tariffs' effects, which include financing, soft loans, and repurposing EU recovery funds. Prime Minister Pedro Sanchez criticizes the tariffs and emphasizes the need for new EU trade partners, advocating for industry modernization.

The Spanish government unveiled a comprehensive €14.1 billion aid package to counter the damaging impact of new U.S. tariffs. Prime Minister Pedro Sanchez announced these measures after President Donald Trump's tariff policy, which stirred global markets and challenged decades-long trade liberalization.

Spain, a leading olive oil exporter, also ships auto parts, steel, and chemicals to the U.S. Sanchez condemned Trump's tariffs as an outdated protectionist move and called for Europe to diversify its trade partnerships, with upcoming visits to Vietnam and China planned.

The aid package includes €7.4 billion in new financing, with the rest from existing resources like soft loans. It seeks EU authorization for more aid flexibility and involves repurposing €5 billion in EU funds to support affected industries. Additionally, Spain will provide €2 billion in credit insurance and export risk coverage.

(With inputs from agencies.)