As U.S. tariffs on European Union goods continue to reshape global trade dynamics, Spanish small- and medium-sized enterprises (SMEs) are grappling with mounting pressures. Técnica del Decoletaje, a Madrid-based machine tools manufacturer with six decades of expertise, offers a window into the challenges faced by businesses reliant on transatlantic supply chains.
Managing Director Mario Lobato revealed to CGTN that 35% of the company’s products, integral to automotive exports to the U.S., now face higher costs due to tariffs. “The entire automotive industry chain is feeling the strain,” Lobato explained, emphasizing the cascading effects on suppliers and manufacturers alike.
Rafael Rosa, a longtime employee, echoed concerns over rising production costs. “Tariffs haven’t brought positives—only added burdens for businesses of all sizes,” he noted, highlighting the squeeze on profit margins and operational flexibility.
The company’s struggle reflects broader anxieties among EU SMEs, particularly those embedded in cross-border industries like automotive manufacturing. Analysts suggest that such tariffs could accelerate shifts toward regional supply chains, though adaptation remains costly for smaller players.
As policymakers debate trade resolutions, Spanish firms like Técnica del Decoletaje underscore the human and economic stakes of prolonged trade disputes—a story resonating far beyond Europe’s borders.
