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As part of the proposed measures, the EU plans to suspend parts of a trade cooperation agreement that currently grants reduced tariffs on Israeli exports. This move could impact over one-third of Israel’s exports to the EU—approximately six billion euros—particularly in sectors like agriculture, including products such as dates and nuts.
The European Commission also called for asset freezes and visa bans targeting two far-right Israeli ministers, Itamar Ben Gvir and Bezalel Smotrich, citing their “extremist” rhetoric. These measures, first suggested by Commission President Ursula von der Leyen last week, mark a significant escalation in EU criticism of the Israeli government.
Alongside these proposals, the EU announced it will immediately freeze 20 million euros in bilateral support to Israel. However, this freeze will not affect funds designated for civil society groups or institutions such as Yad Vashem, Israel's Holocaust memorial.
Despite these bold steps, opposition from member states such as Germany, Italy, and Greece is likely to stall or block full implementation. Even a previously suggested measure to cut funding to Israeli tech firms failed to gain traction due to internal disagreements.
Israel has sharply criticized the EU’s move, calling it “morally and politically distorted.” Foreign Minister Gideon Saar warned of an “appropriate response” if any action is taken.
EU foreign policy chief Kaja Kallas clarified that the intention is not to punish Israel but to improve the dire humanitarian conditions in Gaza. This comes amid increasing global outrage over Israel's latest ground assault on Gaza City.
Israel’s military operations have intensified, with a major offensive launched in Gaza City earlier this week. On the same day, a UN investigation accused Israel of committing genocide, naming Prime Minister Benjamin Netanyahu among those allegedly inciting it. Greece, a key Israeli ally, expressed concern but stopped short of endorsing the genocide label.
The current war was triggered by Hamas's October 2023 attack on southern Israel, which killed 1,219 people, mostly civilians. In response, Israel launched a wide-scale military campaign in Gaza that has since resulted in the deaths of at least 64,964 people, also mostly civilians, according to Gaza health authorities. The Israeli military estimates that 2,000 to 3,000 Hamas militants remain in central Gaza City, with 40% of residents having fled the area.