Crisis with Algeria: Pressure Continues to Mount on Pedro Sánchez

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The head of the Spanish government, Pedro Sánchez finds himself again under pressure in his country because of his reversal on Western Sahara and the crisis with Algeria.

Spanish companies penalized by the crisis with Algeria have formed an association to put pressure on the Spanish government so that it finds a solution to their situation, reports the Spanish newspaper El Confidencial on Wednesday 10 May.

These Spanish economic operators criticize the Spanish government for not exerting enough pressure through the  European Commission to resolve the trade dispute with Algeria.

“None of this has been done,” said the Spanish newspaper, citing a Spanish diplomatic source.

Little chance of seeing the EU intervene against Algeria

The process of incriminating Algeria for discriminating against Spanish companies through the European Commission seems complicated.

Indeed, Algeria has not enacted any law excluding Spanish companies and which could be considered as discriminatory against them, notes El Confidencial which recalls that the note of the association of banks and financial institutions was withdrawn 48 hours after its broadcast and cannot constitute proof in this sense.

Another point moves away the hypothesis of a binding action of the European Commission towards Algeria. In the context of the war in Ukraine, the energy crisis in Europe does not allow us to deprive ourselves of a partner as important as Algeria, which supplies gas to Italy, Spain and France as well as to other countries. other European countries.

“Algeria is an alternative to Russia’s hydrocarbons and the Member States which have strengthened their energy relations with this country, such as Italy and France, are not at all inclined to put it in difficulty from Brussels”, reveals the same source.

The powerless Spanish government

Meanwhile, the Spanish authorities seem powerless and increasingly under pressure in the face of grievances from economic operators impacted by the crisis with Algeria.

The association of Spanish companies impacted by the crisis with Algeria called AECA will meet next Friday under the chairmanship of Julio Lebrero.

The companies gathered within the framework of this association accumulate losses that “exceed 100 million euros”, according to its spokesperson, Barbara Breva.

The number of companies impacted is greater than that of those who have embarked on this association. Some operators fear being banned from the Algerian market for having “raised their voices in Spain”, notes El Confidencial.

Concretely, it is the government of Pedro Sánchez that sees the pressure increasing on him a few months before the general elections in Spain scheduled for the end of 2023.

Relocation, the painful solution

Indeed, the companies gathered within the framework of the said association undertake to make “a claim of the patrimonial responsibility of the Spanish State” since the losses suffered were caused by a political decision of the government, recalls Julio Lebrero.

Some companies have found the solution of relocation to be able to return to the Algerian market, as is the case of Ferrovial which went into exile in the Netherlands, notes the Spanish business manager.

” Me, on the other hand, they push me to relocate my production of public works machinery abroad, to be able to continue to work with Algeria, but also to lay off in Spain”, the entrepreneur is indignant. “The government is doing nothing to hold me back,” he concludes.