EU Commission’ expected to propose trade restriction options against Israeli settlements

Speaking to Euronews’e, five diplomats from the European Commission are expected to present options on how to restrict imports of goods from Israeli settlements in the occupied Palestinian territories ahead of the EU Foreign Ministers' meeting in July.

After months of stalemate, the EU administration is under constant pressure from the majority of European governments to put forward a concrete proposal to restrict trade with settlements deemed illegal under international law.

At a meeting of foreign ministers in ’, Luxembourg on Monday, EU Commissioner for the Mediterranean ’ Dubravka Šuica said that given strong pressure from member states, the Commission will prepare some options ahead of ’'s next ministerial meeting on 13 July, Euronews’e quoted five diplomatic sources as saying.

However, it is not yet clear what types of options will be offered. The Commission has been reluctant to put forward proposals to restrict trade so far, bearing in mind that Council ’ could not find a qualified majority to suspend the EU-Israel Association Agreement; This is already a much more important measure and is already on the table.

Last week, a report by advocacy group Global Echo Litigation Center suggested that agricultural products produced in Palestinian-occupied areas entered the EU market mislabeled as legitimate Israeli goods.

In this context, the Commission may submit corrective measures if the evidence in the report is verified.

EU foreign policy chief Kaja Kallas told reporters after the meeting that “Many member states have called for proposals from the Commission on trade with illegal settlements. I will submit this request and ask the Commission ’ to draw up a list of options for possible trade measures, including measures aimed at preventing imports of goods from illegal settlements, ahead of the next Foreign Affairs Council.”

Israel has recently implemented measures aimed at strengthening its control over the West Bank and East Jerusalem in areas such as property law, planning and licensing; These steps are contrary to the important agreements signed under the Oslo peace agreement of 1993.

According to the opinion of the International Court of Justice (ICJ), ’, which found Israeli settlements illegal in 2024, settlement activities in the Palestinian territories are considered illegal.

In 2019, the Court of Justice of the European Union (CJEU) ruled that food products produced in Israeli settlements in the occupied territories should be clearly labeled as ’ from the settlement of “Israel, rather than simply being identified as ”Israel Product“.

Proposal to impose tariffs on goods from Israeli settlements, at least for the total population of AB’ %At least 65 of the EU member states representing ’ini %It will be decided by a qualified majority vote requiring the support of 55 ’i.

A group of member states, including France and Sweden, have already advocated this approach, arguing that tariffs fall under trade policy and therefore require only a qualified majority.

French Foreign Trade Minister Nicolas Forissier recently euronews’e saidAB’ said restricting trade with Israeli settlements was normal “, not an attacker.

In turn, the Commission stressed that such tariffs would constitute sanctions under EU law, require unanimity among member states and cannot be agreed on.

Council Legal Service ’, the institution's effective legal advisory body, reportedly opposed this view and strengthened pressure on trade restrictions to curb the illegal expansion of ’ in the West Bank of Israel.

The Israeli government rejects the illegal identification of these settlements and classifies them as “ temporary areas.

In May, after the new Hungarian government lifted the previous veto imposed by former Prime Minister Viktor Orbán’, the EU adopted restrictive measures against extremist settlers and the organizations that support them.

Kallas, “There was a clear understanding that options should be clear. I'll take this back to the Commissioners, ” said.