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Home Business & Economy
Spain cancels major Israel arms deal amid Gaza backlash

Pro-Palestinians protestors hold banners reading 'Israel = terrorism' prior the 21st and last stage of the Vuelta a Espana 2025, a 101 km race between Alalpardo and Madrid, in Madrid on September 14, 2025. The authorities have ramped up security for the Vuelta's final stage in Madrid, which was slightly shortened and will see 1,100 police officers deploy in the Spanish capital. (Photo by Thomas COEX / AFP)

Spain cancels major Israel arms deal amid Gaza backlash

AFP by AFP
September 15, 2025
in Business & Economy
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The Spanish government has cancelled a contract worth nearly 700 million euros ($825 million) for Israeli-designed rocket launchers, according to an official document seen Monday by AFP.

The move comes after Prime Minister Pedro Sanchez announced last week that his government would “consolidate in law” a ban on military equipment sales or purchases with Israel over its offensive in Gaza.

The contract, awarded to a consortium of Spanish companies, involved the purchase of 12 SILAM rocket launcher systems derived from the PULS platform made by Israeli firm Elbit Systems, according to the International Institute for Strategic Studies’ Military Balance.

First reported by local media and the Israeli newspaper Haaretz, the cancellation was formalised on Spain’s official public contracts platform on September 9.

The following day, Sanchez unveiled measures aimed at stopping what his leftist government called “the genocide in Gaza”.

It includes the approval of a decree imposing a ban on military equipment sales or purchases with Israel due to its military offensive in Gaza, launched after the Hamas attacks in October 2023.

Spain applied the ban as Israel stepped up its military onslaught.

Spain has also formalized the cancellation of another contract for 168 anti-tank missile launchers, which were to be manufactured under license from an Israeli company.

That contract, valued at 287 million euros, had been first reported by the press in June.

According to Spanish daily La Vanguardia, the government is undertaking a broader review to phase out Israeli weapons and technology from its armed forces.

Sanchez has emerged as one of Europe’s most outspoken critics of Israeli Prime Minister Benjamin Netanyahu’s Gaza policy.

Relations between the two countries have been tense for months.

Israel has not had an ambassador in Spain since Madrid recognized the state of Palestine in 2024.

Last week, Spain recalled its ambassador to Israel after heated exchanges over Sánchez’s new measures.

The Barcelona-based Delas Centre, a security research institute, estimated in April that since the start of the Gaza war, Spain had awarded 46 contracts worth $1.044 billion to Israeli companies, based on public tender data.

mdm/ds/tw

© Agence France-Presse

Tags: conflictisraelpalestiniansspainweapons
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AFP, or Agence France-Presse, is a major international news agency headquartered in Paris, France. It is one of the world's oldest news agencies, founded in 1835. AFP provides news coverage in various formats, including text, photos, videos, and graphics, in multiple languages. The agency operates with a global network of journalists and regional hubs, aiming to deliver impartial and verified news worldwide.

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