Algeria said on Thursday it was suspending foreign trade in products and services with Spain as of June 9, Radio Algeria International reported, part of an escalating dispute over the status of Western Sahara.
The move comes after the country suspended on Wednesday a 20-year-old friendship treaty with Spain that committed the two sides to cooperation in controlling migration flows, and also banned imports from Spain.
The Spanish government will "firmly defend" its national interests in the light of Algeria's decision, Foreign Minister Jose Manuel Albares told reporters on Thursday.
"We are analyzing the reach and the national and European consequences of that measure in a serene, constructive way, but also with firmness in the defense of Spain and the interests of Spaniards and Spanish companies," Albares told reporters.
He said Spain was monitoring gas flows from Algeria, its biggest supplier, and these are at present unaffected by the diplomatic spat.
Spain's Energy Minister Teresa Ribera also said she is confident Algerian state-owned gas company Sonatrach will respect its commercial contracts to supply natural gas to Spanish utilities.
"We won't think (the contracts) could be broken in a unilateral manner by a decision from the Algerian government," she said in an interview with Spanish radio station Onda Cero.