Aid and guarantees for companies hit by US tariffs

Automatic summary, not yet reviewed

1. The Government creates a guarantee line of up to €5 billion so that financial institutions can lend money to companies with direct or indirect exposure to the US market, either to cover liquidity shortfalls or for conversion projects. It will be available until June 30, 2026.
2. It raises the operating limit of the Fund for the Internationalization of Business (FIEMFIEM Fund for the Internationalization of Business: public money that finances Spanish exports and investment abroad.) to €700 million for the current fiscal year, to support exports and investments by companies affected by the tariffs.
3. It raises to €15 billion the limit for state-backed coverage of internationalization risks that CESCECESCE Spanish Export Credit Insurance Company: it insures, on behalf of the State, the risks of selling or investing abroad. can issue, up from the previous €9 billion.
4. It amends the CARICARI Reciprocal Interest Adjustment Agreement: a system that protects companies and banks from interest rate changes when financing exports. system, which protects companies from interest rate changes in export operations. The budget credit used to compensate the ICO may be financed with public debt, so its losses can be compensated quickly.
5. It temporarily suspends the ground for dissolving companies due to losses: losses from 2020 and 2021 will not count until the close of the fiscal year starting in 2025. In addition, companies that had already prepared their 2024 accounts may restate them within one month.
6. Funds will be distributed respecting territorial balance, based on each region's share of exports to the United States. The Minister of Economy, Commerce and Business will report on the Plan every three months before the Congress of Deputies (Congreso de los Diputados).

Who it affects

• Exporting and importing companies with significant direct or indirect exposure to the US market.: They can apply for guarantees and financing to cover liquidity shortfalls or convert their business.
• Spanish companies that export or invest abroad.: They will have more support from FIEM and more state-backed risk coverage through CESCE.
• Companies with losses from 2020 and 2021.: They can avoid dissolution, since those losses will not count toward the dissolution ground.
• Financial institutions and the ICO.: They will grant the guaranteed financing, and the ICO can be compensated for CARI system losses.
• Spain's autonomous communities.: They will take part in monitoring the funds, which will be distributed according to their export exposure to the United States.

Words worth knowing

Aval

State guarantee: if the company does not repay the loan, the State answers for the payment.

FIEM

Fund for the Internationalization of Business: public money that finances Spanish exports and investment abroad.

CESCE

Spanish Export Credit Insurance Company: it insures, on behalf of the State, the risks of selling or investing abroad.

CARI

Reciprocal Interest Adjustment Agreement: a system that protects companies and banks from interest rate changes when financing exports.

Causa de disolución por pérdidas

Rule requiring a company to be dissolved when its losses leave its net assets below half its share capital.

It summarizes the law as published in the BOE. It is written by artificial intelligence and may contain mistakes: the official text is what counts. Read the official text · How we make summaries