Spanish Royal Decree Law Israel-Gaza report - October 2025
-
Bulletin 13 novembre 2025 13 novembre 2025
-
Royaume-Uni et Europe
-
Assurance commerciale
The purpose of this note is to provide an overview of the legal and commercial implications arising from the entry into force of Royal Decree-Law 10/2025, which introduces a national embargo on defence and dual-use goods in relation to Israel. The report outlines the background to the measure, its key provisions, and the potential impact on trade and contractual relations.
Background
- Following the approval of Royal Decree-Law 10/2025 by the Spanish Government, it is advisable to assess its impact on trade relations between Spain and Israel. This legislative development takes place in the context of a broader international response to the military escalation in the Middle East following the attacks perpetrated by Hamas on 7th October 2023.
- In reaction to the humanitarian consequences of the Israeli military offensive in the Palestinian territories, the international community has adopted a series of political, legal, and economic measures aimed at limiting the scope of the conflict.
- Among these measures, the United Nations has promoted resolutions advocating for peace, the protection of human rights, and compliance with international law. These include calls for a permanent and unconditional ceasefire, the release of hostages, and the lifting of the humanitarian blockade on the Gaza Strip. The International Criminal Court has issued arrest warrants against several Israeli leaders for alleged war crimes and crimes against humanity.
- In parallel, the European Parliament adopted on 11th September 2025 a resolution partially suspending the EU-Israel Association Agreement, which has influenced the Spanish Government’s decision to adopt a more restrictive national position.
Legal measures
- In this context, Spain has, for the first time, imposed a national arms embargo against a foreign state. This embargo is formalised through a general and non-discretionary prohibition, grounded in Law 53/2007 on the control of foreign trade in defence and dual-use goods, and Royal Decree 679/2014, which regulates such trade. Until 25 September 2025, Spain operated under an administrative control system based on the Arms Trade Treaty and Common Position 2008/944/CFSP, which had already led to the denial of most export licence applications to Israel.
- However, the entry into force of Royal Decree-Law 10/2025 introduces a categorical prohibition that may generate legal uncertainty and commercial disruption. This new framework could give rise to claims for compensation, renegotiation of contracts, or even termination of contractual relationships, particularly under force majeure or supervening impossibility clauses.
- Recognising the potential rigidity of a total embargo, the Government has included an exception clause in the first additional provision of the Decree-Law. This clause allows for the authorisation of operations where denial would be detrimental to the general national interest. However, the wording of this provision raises practical questions regarding the criteria for its application and the extent of political or technical discretion involved.
- From a legal standpoint, it is important to note that Royal Decree-Laws must be debated and voted on by the Congress of Deputies within 30 days of their enactment, in accordance with Article 86 of the Spanish Constitution. Although this requirement introduces an element of provisional, it has now been confirmed, that on October 8th, the Congress of Deputies ratified the Royal Decree-Law, thereby granting it full legal effect. This ratification eliminates any risk of a legal vacuum or uncertainty that might arise if the measure had not been ratified.
- As regards the specific provisions of the Decree-Law, Article 1 prohibits the transfer of defence material and any dual-use goods, products, or technology. In accordance with Royal Decree 679/2014, exports and imports of such items to or from Israel are banned. Additionally, any request for authorisation to transit such materials through Spanish territory must be denied, pursuant to the procedure established in Law 53/2007.
- Article 2 introduces measures concerning fuel. While this provision does not directly affect imports of petrol and naphtha from Israel, provided they are intended exclusively for civilian use, it does prohibit the transit through Spanish territory of fuels that may have military applications if their destination is Israel. Consequently, authorisation requests for transporting such fuels will be denied. The article also eliminates the previous exception for the transit of certain fuels used in military aviation (JP-4, JP-5, and JP-8). If these products are destined for Israel, they may not transit through Spain.
- Although the importation of petrol or naphtha for civilian use remains permitted, the regulation reinforces scrutiny over operations with potential military implications. It is therefore advisable to review the nature of the product and its accompanying documentation to avoid regulatory conflicts.
- Article 3 explicitly prohibits the importation of products originating from Israeli settlements in the Occupied Palestinian Territory. This measure does not apply to all imports from Israel but imposes a strict obligation to identify the geographical origin of goods. Specifically, all customs declarations must include the postcode and place of origin. The Spanish Tax Agency will deny entry to products originating from areas listed as illegal settlements.
- To ensure compliance with fuel transport regulations, it is essential to meticulously review the documentation for each shipment. This verification process is crucial to confirm that the fuel does not originate from occupied territories. Non-compliance may be considered smuggling, with the corresponding legal consequences. Although petrol and naphtha are not prohibited per se, their origin may justify blocking imports, necessitating accurate traceability and coordination with Israeli suppliers.
- Finally, Article 4 provides that advertising goods originating from Israeli settlements in the Occupied Palestinian Territory, as well as services provided therein, shall be considered illegal advertising under the General Advertising Law. Promoting products from settlements listed as illegal may result in regulatory infractions.
Conclusions
Royal Decree-Law 10/2025 reflects a coherent and well-grounded interpretation of Spain’s international obligations and political stance. It aligns with the legal framework currently in force and introduces significant restrictions on defence and dual-use goods, fuel transit, and imports from certain territories, as well as implications for advertising practices.
While some provisions may give rise to interpretative challenges or operational uncertainties, the regulation provides a useful basis for internal reflection and strategic planning. It is therefore recommended that operators review their contractual arrangements, compliance protocols, and supply chains in light of the new regulatory environment.
Fin
