EU says Algeria violating agreement with bloc by halting trade with Spain

OVIEDO, Spain

The European Union on Friday said that Algeria appears to be violating the EU-Algeria Association Agreement by blocking trade and stopping financial transactions with Spain.

“Trade policy is an exclusive EU competence, and the EU is ready to stand up against any type of coercive measures applied against an EU Member State,” said a joint statement from EU foreign policy chief Josep Borrel and Trade Commissioner Valdis Dombrovskis.

“However, the EU continues to favor dialogue first to solve controversies.”

On Thursday, Algeria started freezing all financial operations related to trade with Spain, essentially halting all commercial exchange between the nations, with the exception of natural gas.

Algeria made the move in response to Spain’s stance on the independence of Western Sahara.

Meanwhile, Spanish Foreign Minister Jose Manuel Albares took an emergency trip to Brussels on Friday to discuss the crisis.

“Spain and the EU agree that Algeria’s unilateral move yesterday violates the association agreement, and although it’s directed at Spain, it affects the European single market and commercial relations with Algeria,” said Albares in a news conference.

Spain’s main aim, said Albares, is to restore dialogue and trade relations with Algeria as soon as possible.

“Spain and the EU also agreed that we’ll firmly defend our businesses and Spain’s interests, which are also European businesses and European interests,” he added.


Insisting that Spain will do everything to avoid escalation of the conflict, he alluded that the EU has several tools it could use to rectify the situation.

“I hope Algeria, in this turbulent context in Europe and around energy, continues playing its role as a trustworthy gas supplier that has provided so much stability,” he concluded.