Trump threatens Spain to cut off trade, orders protection of Gulf region trade, denies being dragged into war, expects oil prices to plummet.

During a meeting at the White House with German Chancellor Merkel, U.S. President Trump made numerous tough statements covering topics such as the Iran conflict, European allies, oil prices, and the Ukraine situation. After the meeting, he announced that the U.S. would provide insurance coverage for maritime trade in the Gulf region.

According to CCTV News, Trump stated during the meeting that the U.S. had previously negotiated with Iran and judged that Iran was “ready to launch an attack first,” leading to a decision to take “preemptive” action. He denied being dragged into a war by Israel, saying, “If anything, I might have pushed Israel’s hand.” Trump also criticized Spain for “lacking cooperation” in efforts against Iran and announced that all trade between the U.S. and Spain would be cut off because Spain is “a bad ally.”

Regarding oil prices, Trump predicted that once U.S. military action against Iran ends, crude oil prices will drop significantly, possibly below pre-operation levels.

After the meeting, Trump announced on social media that the U.S. would provide political risk insurance for maritime trade through the Gulf and said that, if necessary, the U.S. Navy would escort oil tankers through the Strait of Hormuz. Following the announcement, during midday trading, U.S. crude oil prices quickly narrowed their gains. WTI futures approached $78 per barrel, up nearly 9.5% for the day, and briefly neared $71.70, up less than 0.7% intraday.

Warning Iran of Greater Strikes, Claiming Its Military Capabilities Are Nearly Destroyed

According to CCTV News, Trump stated during the meeting that Iran’s “almost all military capabilities have been destroyed,” including its air force, air defense systems, radar, and detection facilities, with its missile stockpiles rapidly decreasing. He said U.S. forces are continuously striking Iran’s missile storage facilities and launch platforms, “As we destroy all launch platforms and stockpiles, this capability will gradually disappear.”

Trump warned that Iran will “suffer greater strikes” and said it is “no longer capable of air defense and detection.” Regarding Iran’s ongoing rocket launches, Trump said, “They have launched many, and we have shot down many,” and predicted their capabilities cannot last much longer.

On post-conflict arrangements, Trump said the worst-case scenario is “we finish all this, and then someone just as bad comes into power,” admitting, “Many of the people we considered are already gone.”

Merkel repeatedly tried to steer Trump toward a medium- and long-term strategy on Iran, saying, “We need to have a strategic layout for the entire region,” and emphasized that the U.S., Europe, and Israel need to take a “common path.”

He stated that since the U.S.-Israel attack on Iran last Saturday, oil and gas prices have risen, “damaging our economy,” and hopes the war “ends as soon as possible.”

Criticizing Spain and the UK, Praising Germany’s “Outstanding Performance”

According to Xinhua News Agency, Trump criticized Spain during the meeting, saying it disagreed with increasing military spending to 5% of GDP and refused to allow the U.S. to use its military bases in the recent military actions against Iran.

Trump said he instructed U.S. Treasury Secretary Becerra to “stop all dealings with Spain” and stated that the U.S. “does not want any ties with Spain.”

In response to Trump’s threats, the Spanish government said the U.S. must respect its bilateral agreements with the EU. The Spanish government emphasized that Spain maintains “long-standing and mutually beneficial trade relations” with the U.S., and if the U.S. wishes to change this relationship, it “must respect the autonomy of private enterprises, international law, and bilateral agreements between the EU and the U.S.”

According to Xinhua, Spanish Defense Minister Margarita Robles and Foreign Minister Alvárez previously stated that the military bases in Morón de la Frontera and Rota in southern Spain have not provided any assistance to the U.S. and will not be authorized for use in military strikes against Iran.

Regarding the UK, Trump also expressed “dissatisfaction,” criticizing the UK for refusing U.S. military aircraft landing rights at its bases, which causes U.S. forces to detour for hours, and said the current European leadership “are not like Churchill.” In contrast, Trump highly praised Merkel, calling her “outstanding” and a “very successful person,” and referred to her as a “friend.”

All Shipping Companies Can Obtain Gulf Maritime Trade Insurance

After the meeting with Merkel, Trump announced on social media that he had instructed the U.S. International Development Finance Corporation (DFC) to provide “political risk insurance and financial security guarantees” at “very reasonable prices” for “all maritime trade passing through the Gulf, especially energy trade.”

Trump said this coverage will be available to all shipping companies, “all shipping companies can obtain this insurance.”

He also stated that “if necessary, the U.S. Navy will begin escorting oil tankers through the Strait of Hormuz as soon as possible,” adding, “In any case, the U.S. will ensure the free flow of energy to the world,” and boasted of America’s strongest economy and military power, saying, “More actions are coming.”

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