EU Commission Proposes Trade Restrictions on Israel Over Gaza War 
Amichai Luria presents a bottle of his wine, produced on the West Bank settlement of Shilo, mainly for export, and labeled "Product of Israel," in November 2015. An EU court has ruled that goods from the settlements – Jewish communities in the West Bank, Golan Heights and east Jerusalem – must be specifically labeled, infuriating Israel. (Menahem Kahana/AFP via Getty Images)

EU Commission Proposes Trade Restrictions on Israel Over Gaza War 

The European Commission has put forward a proposal to suspend free-trade arrangements with Israel in response to the ongoing war in Gaza, though the plan does not yet have the support needed among European Union (EU) member states to be adopted. 

EU foreign policy chief Kaja Kallas announced the initiative alongside a broader package of sanctions targeting Israel’s National Security Minister Itamar Ben-Gvir, Finance Minister Bezalel Smotrich, violent settlers, and members of Hamas. 

“I want to be very clear, the aim is not to punish Israel. The aim is to improve the humanitarian situation in Gaza,” Kallas said. “The war needs to end. The suffering must stop, and all hostages must be released.” 

The EU is Israel’s largest trading partner, making any suspension of trade benefits potentially significant. The move follows remarks last week by European Commission President Ursula von der Leyen, who told the European Parliament in Strasbourg that she would seek sanctions and a partial halt to trade arrangements. 

“We will put our bilateral support to Israel on hold. We will stop all payments in these areas, without affecting our work with Israeli civil society or Yad Vashem,” von der Leyen said. She added, “Man-made famine can never be a weapon of war. For the sake of the children, for the sake of humanity. This must stop.” 

Despite these calls, the 27-nation bloc remains divided on its policy toward Israel and the Palestinians. Several governments have voiced caution over imposing trade or political measures, leaving the future of the Commission’s proposal uncertain. 

The debate in Brussels comes as the humanitarian situation in Gaza remains at the center of international attention. Nearly 400,000 people are estimated to have fled Gaza City, while the Israel Defense Forces press ahead with an intensified military operation. 

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