https://arab.news/nubgy
The EU is set to its association agreement with Israel, a pact that governs its political and economic relations with Tel Aviv. This announcement was made by the EU’s top diplomat, Kaja Kallas, last Tuesday. The decision was backed by a majority of 17 of the bloc’s 27 member states and was driven by the “catastrophic” situation in Gaza.
Led by Spain and Ireland, several European countries have long been calling for a review of the EU-Israel Association Agreement in response to the unfolding humanitarian crisis in Gaza and Israel’s disregard for international law. As expected, totally rejected the decision to review the agreement. If the review leads to a suspension or blocking of the agreement, it will have dire consequences for Israel.
In February of last year, the prime ministers of Spain and Ireland reached out to European Commission President Ursula Von der Leyen, Israel’s compliance with the human rights provision of the EU-Israel Association Agreement. Of course, their request fell on deaf ears. However, as famine is now looming, more countries joined the call to review the agreement. The Netherlands renewed the call and issued a similar request to Spain and Ireland’s. Its initiative received from Finland, Portugal, Sweden and France.
Revoking the trade agreement would mean Israel would lose its perks with the EU. While the world is amazed by the Israeli economic miracle, it is important to note that Tel Aviv’s economic success is no miracle at all. It has been successful economically mainly because of the support it receives from the Western world.
If the review leads to a suspension or blocking of the agreement, it will have dire consequences for Israel
Dr. Dania Koleilat Khatib
The West has been trying to handle its guilt over failing the Jews and humanity during the Holocaust. Israel benefits greatly through its association agreement with the EU. Through this agreement, Israeli products and services have preferential access to the EU market. Many Israeli industrial benefit from tariff exemption. Article 8 states that customs duties on imports and exports between the European community and Israel are prohibited. Agricultural products also benefit from reduced tariffs. This gives Israel a competitive edge.
But the perks are not limited to customs duties. As part of this agreement, Israeli products align with European standards, which helps attract investment into Israeli companies. Israel also benefits from European funding for its research programs. And Israeli institutions can partner with European institutions.
The EU is Israel’s most important trading partner. It accounted for 32 percent of Israel’s total trade in goods in 2024. More than 34 percent of came from the EU, while 28.8 percent of its exports went to the bloc. If Israel loses this agreement, it would be a big blow to an already struggling economy.
Last year a decline in the number of small and medium-sized businesses in Israel, while Ultra Finance has warned of a “shock wave” to come in 2025 as owners contend with the fallout of the Gaza war. Israel’s economy is also suffering from a shortage of workers, as young men and women are being drafted into the military. Exports have suffered greatly, as more and more people are boycotting Israeli products.
It is time for punitive action. The war on Gaza will only stop when a majority of Israelis realize that it is affecting them negatively and that they would be better off making peace with the Palestinians rather than trying to eliminate them.
The Israeli leaders have to realize that the world has something to say. Punitive action is needed
Dr. Dania Koleilat Khatib
Israel has not stopped at anything so far. Neither the International Court of Justice’s nor the International Criminal Court’s arrest for Prime Minister Benjamin Netanyahu have deterred Israel. The country’s leaders know they have lost their reputation. They do not care about their image anymore. They know it has already been destroyed.
The only way to coerce them into stopping this genocide is by affecting their economy — i.e., the livelihood of the average Israeli. This is the only way they will realize that the war is backfiring. Otherwise, they will not stop. Beyond empty words of condemnation, the world has taken no real action. Israel has deliberately killed journalists, medics and international aid workers and there have been no consequences.
The Israeli leaders have to realize that the world has something to say. Punitive action is needed. This is the only way to drive the Israeli public to reject the war. As long as they see that the world tolerates the criminality of their state, they will support the war, or at least will not push the government enough to end it. Views on the war are divided; Israeli society is very polarized. There is no decisive majority that wants the war to end.
International pressure is needed to prevent the looming famine in Gaza. The average Israeli needs to understand that this barbaric war will make their state a pariah and all the privileges they enjoy can be lost at the stroke of a pen. A suspension of the EU-Israel Association Agreement would create enough pressure for the war to stop and aid to flow into Gaza.
It is time for Europe to make a moral choice. This is a moment that will haunt the generations to come if Europe does not make the ethical choice. Every European country’s leadership should look 30 years into the future and wonder what they will tell their people then. Can they tell them that they could have stopped a famine but did not?
History will judge Europe’s leaders if they turn a blind eye while Gazans are perishing from famine.
- Dr. Dania Koleilat Khatib is a specialist in US-Arab relations with a focus on lobbying. She is co-founder of the Research Center for Cooperation and Peace Building, a Lebanese nongovernmental organization focused on Track II.