Impact of Suspending EU-Israel Trade Agreement
The European Commission, led by Ursula von der Leyen, has proposed a significant step in suspending a free trade deal that Israel has with the European Union. This move comes as a response to the ongoing crisis in Gaza, which has been heavily criticized for not holding Israel accountable during its near two-year invasion.
The commission's proposal is not about suspending trade with Israel, but about demonstrating Europe's readiness to act when principles are violated. According to the EU's foreign affairs chief, Kaja Kallas, the proposed measures are intended to pressure the Israeli government to end the suffering in Gaza.
However, the proposed suspension would end the special preferential treatment given to Israeli goods in the European market. If implemented, the suspension of the free trade deal would mean reimposing import duties on Israeli goods, with export duties ranging from 5% to 16%.
Israeli prime minister Binyamin Netanyahu's government is intensively lobbying to prevent the EU from sanctioning Israel. So far, Germany and Italy, along with Hungary, Austria, and the Czech Republic, have blocked any joint EU sanction of Israel.
The political faultlines on this contentious subject seem stuck in the same place, according to Kaja Kallas. However, diplomats believe that either Berlin or Rome would need to switch positions to secure a qualified majority for the proposal.
Ireland, Spain, and the Netherlands have been leading the push for the EU to do more to restrain Israel from further destroying Gaza. A decision by the EU to suspend the trade deal would be a significant economic and diplomatic blow to Israel.
Expect a divisive debate between the different camps over the coming days and weeks on the proposal to suspend the EU-Israel agreement. The suspension of the free trade deal needs to be backed by a majority of the European Union's 27 member states. The decision to suspend the trade deal does not require the unanimous consent of all 27 states, but instead the support of 15 or more countries, representing at least two thirds of the EU’s population.
Read also:
- United States tariffs pose a threat to India, necessitating the recruitment of adept negotiators or strategists, similar to those who had influenced Trump's decisions.
- Weekly happenings in the German Federal Parliament (Bundestag)
- Southwest region's most popular posts, accompanied by an inquiry:
- Discussion between Putin and Trump in Alaska could potentially overshadow Ukraine's concerns
