Overview

• The College of Commissioners adopted a package to suspend the commercial part of the EU–Israel Association Agreement, propose sanctions on Itamar Ben‑Gvir and Bezalel Smotrich along with violent settlers and certain groups, and freeze bilateral aid.
• Only the funding freeze can be enacted unilaterally, and the Commission has already blocked specific lines worth about €20.3 million, while it says up to €32 million in bilateral funds are within immediate reach.
• Suspending trade preferences requires a qualified majority of member states, and sanctions on individuals need unanimous approval in the Council.
• If the Council backs a partial suspension, it would take effect 30 days after formal notification to the Association Council.
• Brussels estimates a limited direct impact from trade measures, affecting about 37% of Israeli exports to the EU and implying roughly €227 million a year in extra tariffs, as Israel protests the move and key capitals such as Germany and Italy remain hesitant.