The European Commission is proposing to reimpose duties on Israeli goods in response to the Gaza war and ongoing violations in the West Bank, EU foreign policy chief Kaja Kallas has confirmed.
In an exclusive interview with Euronews, Kallas outlined the strategy to suspend trade-related provisions within the Israel-EU Association Agreement, affecting €15.8 billion worth of preferential trade.
Germany and Italy opposition threatens qualified majority vote
Trade between the EU and Israel totalled €42.6 billion in 2024, with preferential treatment covering 37% of that amount, Kallas confirmed. “So definitely this step will have a high cost for Israel,” the EU high representative for foreign affairs and security policy stated.
European Commission President Ursula von der Leyen first announced the plan during last week’s State of the EU speech. The Commission is due to formally agree to the proposals on Wednesday.
The matter requires approval from a qualified majority of member states, meaning at least one larger country – Germany or Italy – must support the bid for it to succeed. Both countries have previously blocked all EU-level proposals aimed at pressuring Israel to change course in the war.
Kallas challenges blocking countries to provide alternatives
“My question to all counterparts, because it’s not only Germany, was that if you agree on the diagnosis that the situation is extremely grave, the situation is disastrous, and untenable, then the question is, what do we do about this?” Kallas said.
“If you don’t support these measures, then what measures can you support? Bring alternatives,” she concluded.
Germany leads European countries opposing sanctions on Israel due to its historical role in the Holocaust. Italy and the Czech Republic also oppose sanctions against Israel.
Kallas noted that Germany has begun shifting its stance under public pressure by halting arms exports to Israel, calling it “a significant step.”
In July, Kallas presented 10 options responding to Israel’s war in Gaza, including suspending trade preferences and blocking imports from settlements. The Commission also proposed partially suspending the EU’s Horizon Europe research programme, but Germany and Italy opposed these moves.
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