Overview

• The package to be presented Wednesday would suspend certain trade preferences under the EU‑Israel Association Agreement and propose sanctions on extremist ministers and violent settlers.
• Kaja Kallas said the move would impose duties affecting more than one‑third of EU‑Israel trade, with total goods trade valued at €42.6 billion in 2024.
• Adoption of trade measures requires a qualified majority of member states, while sanctions on ministers need unanimity, and Germany and Italy have previously resisted similar actions.
• Israel’s foreign minister Gideon Sa’ar urged Ursula von der Leyen to withdraw the plan, arguing sanctions will not work, could empower Hamas, and were advanced without adequate consultation.
• The Commission says the plan would also freeze bilateral support to Israel, blocking about €6 million in future allocations and suspending roughly €14 million in ongoing payments, as a UN commission reports genocide and Israeli forces push a ground offensive in Gaza City.