I think you might be generalising, but not having gone to Spain, I can't say. That's certainly not how it works on a universal basis in the UK.
Yes, he is generalising
This is how it works.
Identify themselves as Spaniards ----> Castialians, Galicians, Canarians, Aragoneses, Asturians, Murcians, Baleari, Ceuties, Melillenses and Andalusians. A lot of Catalans and Basques
Identify themselves as Non-Spaniards ----> some Catalans, and some Basques
Identify themselves as Iberians ----> Everyone else
Identify themselves as Non-Iberians ---> Canarians and Baleari*
*I'm not sure, because I haven't met anyone Canarian or Balear.