Executive Summary
The Story So Far
Why This Matters
Who Thinks What?
Chinese President Xi Jinping met with Spain’s King Felipe VI in Beijing on November 12, 2025, offering a vision of cooperation with “great global influence” as China seeks Spanish support within the European Union. This meeting marks the first state visit by a Spanish monarch to China in 18 years, signaling Madrid’s efforts to boost diplomatic ties and secure fresh investment in the wake of past remarks by President Donald Trump regarding NATO contributions. The discussions aimed to enhance economic security for Spain while China seeks new commercial hubs amid ongoing trade frictions.
Deepening Bilateral Ties
During their meeting at the Great Hall of the People, President Xi stated that China stands ready to work hand-in-hand with Spain to build a comprehensive strategic partnership, emphasizing a more strategically steady and dynamic relationship. He also raised the prospect of Chinese and Spanish firms jointly exploring third markets, particularly in regions like Latin America and North Africa, where Spain has longstanding connections.
Spain’s renewed focus on China is part of a broader diplomatic shift. Madrid unveiled a new foreign affairs program in April, advocating for increased collaboration with Japan and South Korea on supply-chain security, alongside deeper commercial ties with Beijing. This strategy comes as Spain actively courts investment, particularly since President Trump’s past threats to make Spain “pay twice as much” if it did not increase its NATO alliance contributions.
Navigating EU-China Dynamics
The pursuit of closer ties with China carries political risk for Spain, given the broader EU’s mistrust of Beijing. Concerns within the bloc include China’s support for Russia, its state-backed industrial base, and imbalanced trade flows with member states. Despite these sensitivities, King Felipe VI’s role as a constitutional monarch allows for a path of subtle diplomacy, which can operate independently of an elected government during strained political periods.
“The friendship between Spain and China undoubtedly benefits both peoples and is consistent with two countries with a long history and a global vocation,” King Felipe told President Xi, adding that “a relationship of trust has been forged.” However, the United States has previously expressed strong reservations about Europe’s alignment with China; in April, it likened Spain’s decision to pursue closer commercial ties to “cutting your own throat” after Spain’s economy minister suggested Europe should more closely align with Beijing.
Economic Agreements and Trade Tensions
Following their meeting, President Xi and King Felipe oversaw the signing of 10 agreements covering diverse areas, including food safety, phytosanitary standards, language education, and cooperation in space and astronomy. Separately, Chinese Premier Li Qiang met with King Felipe, expressing government support for more Chinese firms investing in Spain, particularly in sectors such as photovoltaic, green hydrogen, and power batteries.
Spain, as Europe’s largest exporter of pork products, has been caught in the crossfire of EU-China trade disputes. In September, China imposed 62.4% tariffs on EU pork products following the European Commission’s decision to levy tariffs on Chinese electric vehicles, a move from which Spain abstained in October 2024. Spanish Prime Minister Pedro Sanchez has since lobbied for the removal of these tariffs and promoted Spain as an investment destination for China, with Spain’s annual pork exports to China amounting to approximately $1.2 billion, representing about a fifth of China’s total pork imports.
The trade relationship remains imbalanced, with Spain’s goods imports from China reaching 45 billion euros in 2024, compared to exports of just 7.5 billion euros. In a move signaling potential de-escalation, China proposed resuming investment talks with the EU last week, negotiations that had been frozen since 2021.
Outlook on Strategic Partnership
The state visit underscores both China’s and Spain’s strategic efforts to diversify economic partnerships and enhance diplomatic influence on the global stage. For Spain, the engagement represents a delicate balancing act between its national economic interests and the broader concerns of the European Union. For China, it signifies a continued push to forge new alliances and secure economic stability amidst evolving global trade dynamics and geopolitical tensions.
