EU angry as Spain 'keeps' tobacco advertising.

The European Union has reacted angrily to a recent ruling by Spain, which could mean that MotoGP and Formula One events will be exempt from tobacco advertising restrictions until 2008.

At present, Spain hosts MotoGP events at Catalunya, Jerez and Valencia, with the former also the scene of the annual Spanish Formula One Grand Prix. Under an EU directive that came into effect from August 1, all such events should take place without tobacco advertising.

However, Bloomberg reports that a December 15 ruling by Spain has made its MotoGP and Formula One events exempt from such restrictions. "The country is protecting its important motor sport industry," said a spokeswoman for the Catalan nationalist party, which requested the exemption.

Spain is not the first country to use an 'alternative interpretation' of the tobacco advertising rules, in the case of international motorsport, with Hungary also allowing tobacco adverting at its F1 GP. However, the EU is angry at what it sees as a clear violation of the new rules.

"Sponsorship of cross-border events by the tobacco industry is no longer permitted,'" European Commission spokesman Philip Tod told Bloomberg. "The commission is reviewing interpretation of the directive by each country."

At the 2005 season-ending Valencia Grand Prix, which took place on November 6, the Fortuna Yamaha and Camel Honda teams both carried full tobacco branding, while the Ducati Marlboro Team opted for no logos (pictured).