Spain deploys $14.100 billion economic shield against US tariffs

 

The president of the Government, Pedro Sánchez, has unveiled a far-reaching economic plan to safeguard the Spanish economy from the growing threat of commercial war unleashed by the US tariffs"The Spanish government is not going to wait to see what happens in the coming days. We are going to respond proactively, to be prepared, with the immediate deployment of the plan, so that if the storm breaks, Spain will have a double umbrella: the European and the Spanish one," Sánchez declared during the meeting with representatives of the Spanish productive sector.

 

The plan, which will mobilize €7.400 billion in new financing and another €6.700 billion in existing instruments, focuses on two key pillars: protecting businesses and jobs, and relaunching Spain's productive capacity. To achieve this, specific measures have been established, such as: lines of guarantees and intermediated financing from the ICO, a Fund to Support Productive Industrial Investment, and a new MOVES plan for the automotive sector.

 

“Our workers and our companies are the engine of our prosperity. And that is why we are going to defend them,” emphasized Pedro Sánchez, underlining the importance of protect employment and support affected companies. In this regard, a Social Dialogue Roundtable has been established with employers and unions, and the RED mechanism, similar to the ERTE (temporary layoff plan) during the pandemic, will be activated to prevent layoffs.

 

 

Spain will also request that the necessary work be accelerated to achieve ratification of the agreement with Mercosur.

 

 

Furthermore, the government seeks to redirect Spanish production capacity towards high-demand sectors, taking advantage of the current situation to promote modernization and internationalization. "We need to have a long-term vision, seeing opportunities where others only see obstacles," Sánchez stated, emphasizing the need to transform challenges into opportunities.

 

At the international level, Spain has launched a campaign entitled "Buy your own, defend ours" He is requesting urgent measures from the European Commission, such as activating a special state aid framework and creating an aid fund for the affected sectors. "The European Union will react proportionally, with unity, and with the strength that comes from being the world's largest trading bloc," the president asserted.