Overview

• EU foreign policy chief Kaja Kallas proposed suspending trade concessions that would add tariffs on roughly $6.87 billion of Israeli exports and immediately freeze about €32 million in Commission‑controlled bilateral funds.
• The plan urges sanctions on far-right ministers Itamar Ben‑Gvir and Bezalel Smotrich, designated 'violent' Israeli settlers, and 10 Hamas leaders, with asset freezes and EU travel bans envisioned.
• Kallas said the measures aim to pressure Israel’s government to change course and to ease Gaza’s humanitarian crisis rather than punish Israelis.
• Several EU capitals have not signed on, including Germany, leaving the package without the support needed for adoption under EU voting rules.
• Israel condemned the proposal, with Foreign Minister Gideon Sa’ar calling it 'morally and politically distorted' and warning of reciprocal steps, as analysts note the EU is Israel’s largest trading partner.