Israel cancels remaining import tariffs on U.S. goods to win 'reprieve' from Trump's equivalent tariffs
According to the Israel Times, on Tuesday, Israeli Finance Minister Smotrih signed a directive to immediately cancel all remaining import tariffs on U.S. goods, apparently in an attempt to win a "reprieve" of reciprocal tariffs that the Trump administration is expected to announce on Wednesday. The order was coordinated by Israeli Prime Minister Benjamin Netanyahu and Economy Minister Barkat, but still needs final approval by the Knesset Finance Committee. In a March 20 letter sent to Balkat and Agriculture Secretary Avi Dicht, Smotlich called for the elimination of tariffs on U.S. products, mainly in agriculture. Israel and the United States signed a free trade agreement in 1985. Under the agreement, the United States and Israel implemented phased tariff reductions that culminated in the almost complete elimination of tariffs on manufactured goods in 1995. However, the agreement does allow the United States and Israel to maintain some import and tariff restrictions, such as agricultural product quantity limits and charges, primarily to safeguard local production and food security.
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