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EU delays decision on ban of trade with Israeli settlements

Israeli Raid In Jenin Camp

Brussels, Belgium. European Union foreign ministers did not agree on Monday to introduce a ban on products from territories occupied by Israel, with fewer than half of member states backing action. EU foreign policy chief Kaja Kallas said the option receiving the most support was a ban on trade with settlements deemed illegal under international law.


Member state positions

France and Sweden led the push for a settlement trade ban, supported by Belgium, Ireland, the Netherlands and Spain. Germany, Italy and the Czech Republic were among countries that expressed reservations.

Kallas said all 27 EU member states agree that Israeli settlements are illegal under international law, while existing EU policies have not done much to limit trade with the settlements.

EU ambassadors in the EU Council were tasked with advancing the issue, and Kallas said an extraordinary meeting could be held. The next regular meeting of EU foreign ministers is scheduled for October 12.

Possible measures

The European Commission, led by Ursula von der Leyen, provided an options paper outlining possible measures, including a trade ban, an import licensing system and targeted tariffs.

According to Eurostat, overall EU-Israeli trade was worth €43.3 billion in 2025, compared with less than €250 million in exports from settlers and a €14 million cultural freeze. Israel also remains eligible for billions of euros in EU grants under the Horizon science and research and development programme.

Belgium, Ireland, the Netherlands and Spain have called for further action, including ending EU-Israel association agreement trade preferences on human rights grounds.

Gaza war

Israel’s war in Gaza began after Hamas launched a cross-border attack on October 7, 2023, killing about 1,200 people and taking around 250 hostages. Israel responded with a large-scale military campaign that expanded into multiple regional theatres and has drawn international scrutiny over humanitarian casualties.

A UN commission of inquiry, several human rights groups and the world’s leading association of genocide scholars have concluded that Israel has committed genocide in Gaza. Israel denies the accusation.

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