Spain-US relations 'normal' despite Trump's trade threats, Spanish minister says

MADRID, March 10 (Reuters) - Relations between Spain and the United States are "operating normally" despite U.S. President Donald Trump's threats to cut trade with Madrid over its opposition to the U.S.-Israeli war on Iran, the Spanish foreign minister said on Tuesday.

The leftist government of Prime Minister Pedro Sanchez drew Trump's ire last week after rejecting the war as reckless and illegal while banning U.S. aircraft from using jointly operated bases in southern Spain in the offensive against Tehran.

Foreign Minister Jose Manuel Albares told reporters both Spain's embassy in Washington and the U.S. embassy in Madrid were operating with "absolute normalcy".

"Our embassy in Washington is operating normally and has all the contacts it should have as usual," he said, adding that the same applied to the U.S. embassy in Madrid.

Trump threatened on March 3 to impose a full trade embargo on Madrid, also citing the latter's refusal to meet NATO's new defence spending target of 5% of national output.

Spain later defied those threats , with its deputy premier saying they refused to be "vassals".

On Monday, U.S. Senator Lindsey Graham of South Carolina - a close Trump ally - told Fox News Spain had "lost its way" and called for the U.S. to move its air bases from Spain "into a country that'll let us use them".

Asked about Graham's remarks, Albares said there had not been any contact with the U.S. about the bases in Rota and Moron de la Frontera, which are key logistical hubs used by NATO forces for air-to-air refueling and intercontinental transit.

Albares also said a potential Israeli ground invasion of Lebanon would be a "tremendous" mistake, while also demanding that the Iran-backed Shia militia Hezbollah stop its rocket launches towards Israel.

He added that Spain would send humanitarian aid worth 9 million euros ($10.5 million) to Lebanon, where at least 500 people have been killed and 700,000 forcibly displaced from their homes, according to Beirut and UNICEF.

($1 = 0.8601 euros)