One of the most talked-about procurements in recent years has concluded in Spain: the Ministry of the Interior has officially canceled its contract with Israeli company IMI Systems Ltd, which was to supply the Guardia Civil with 17 million cartridges worth €6.6 million. The cancellation was due to the inability to legally import defense goods from Israel, as a result of imposed restrictions.
The department, headed by Fernando Grande-Marlaska, announced that the company will not receive any compensation except for the return of a €274,500 deposit. This decision may be appealed by standard procedure, but for now, the matter is closed.
The controversy around the deal erupted as early as last spring, when news of the agreement broke. At the time, Prime Minister Pedro Sánchez’s statements about halting all military transactions with Israel amid the Gaza conflict clashed with the actions of the Ministry of the Interior. This led to disagreements within the ruling coalition, with one party even considering leaving the government.
The contract was published on the government procurement platform in April, despite assurances that it had been canceled. Shortly afterward, the country’s president demanded its immediate termination to avoid further political crisis. The Minister of the Interior, who had previously advocated keeping the deal to save budget funds, was ultimately forced to comply.
In July, the armaments service of the Ministry of the Interior requested a license to import the first batch of cartridges, but a month later received a refusal from the relevant agency. The reason was an official ban on the import of defense products from Israel, confirmed by an interdepartmental commission. After the royal decree in September on measures against genocide in Gaza and support for the Palestinians, the government’s stance only hardened.
The cancellation of the contract did not lead to a shortage of ammunition for the Civil Guard. To prevent supply disruptions, the Ministry of the Interior expedited the acquisition of a batch of cartridges from the Czech company Sellier & Bellot, and manufacturers from Italy and Brazil also participated in the tender. This makes stable supply in the future more likely.
In May last year, the minister of the interior was summoned to parliament for explanations. He stated that the origins of the supplying company only became known in October, after which legal ways to terminate the deal without harming the budget were explored. However, all possible options involved financial losses for the state.
Israel responded promptly: IMI Systems announced its intention to take the matter to court, while Prime Minister Benjamin Netanyahu sharply condemned Madrid’s decision, accusing the Spanish government of neglecting security concerns for political reasons.
Tensions between the countries escalated after Spain recognized Palestine’s independence and repeatedly called for a halt to military actions in Gaza. In June, Madrid officially appealed to the International Court in The Hague, requesting to participate in the proceedings accusing Israel of genocide.
