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Trump Hits Israel With 17 Percent Tariffs; Israeli Officials Express Shock, Frustration
US President Donald Trump waves as he walks before departing for Florida from the South Lawn at the White House in Washington, DC, US, March 28, 2025. Photo: REUTERS/Evelyn Hockstein
The United States will impose 17 percent tariffs on goods imported from Israel under a major new trade initiative that US President Donald Trump announced on Wednesday, sending shockwaves throughout the Jewish state as Israeli officials expressed frustration with the decision.
The duty on Israel is part of Trump’s newly unveiled sweeping set of tariffs in which the US will impose a 10 percent baseline tariff on all imports to the US and higher duties on some countries with which it has larger trade deficits. Washington decided on the 17-percent figure for Israel because it is half of the 33 percent tariffs that the White House says the Jewish state has put in place for some American products.
Israel sends over $22 billion worth of commodities to the US annually, including diamonds, medications, and electronic devices. Israeli officials reportedly expect the country’s robust high-tech sector to be spared because they believe the US tariffs will not be applied to services.
However, if the tariffs do apply to the high-tech sector, the implications could be profound.
“If the tariffs apply to software products as well, particularly Software as a Service (SaaS) – the main area of activity for many Israeli high-tech companies – this move could fundamentally alter how Israeli companies approach the American market and even discourage potential investors and customers,” Karin Mayer Rubinstein, CEO of Israel Advanced Technology Industries, told The Jerusalem Post.
“We are all going to feel this in our pockets,” Ron Tomer, president of the Manufacturers Association of Israel, told Israeli radio on Thursday, claiming that the American tariffs against the Jewish state are tantamount to “abandonment by a friend.”
Trump’s announcement came one day after Israel removed all tariffs on US goods. Israeli officials had hoped that dropping the tariffs would prevent the White House from placing its own tariffs on the Jewish state.
“The removal of tariffs on American goods is another step … to open the market to competition, to diversify the economy, and to lower the cost of living,” Israeli Prime Minister Benjamin Netanyahu said in a joint statement with Economy Minister Nir Barkat and Finance Minister Bezalel Smotrich.
Jerusalem will reportedly launch efforts to convince the Trump administration to reverse its decision.
Smotrich said that the finance ministry is still “analyzing” the expected and potential impact of the impending tariffs on the country and will be starting “discussions” with key figures across various Israeli industries.
Israel and the United States — the Jewish state’s largest trading partner — completed $34 billion in bilateral trade in 2024. Of that, about $22 billion came from exports from Israel to the US.
Trump announced his so-called “Liberation Day” on Wednesday, in which his administration unveiled an expansive slate of tariffs on international trade partners, citing a “lack of reciprocity in our bilateral trade relationships” that is “indicated by large and persistent annual US goods trade deficits.”
Democratic Majority for Israel (DMFI), a US group advocating pro-Israel policies within the Democratic Party, slammed the Trump administration’s decision to levy tariffs against the Jewish state, arguing that the White House has fractured America’s relationship with arguably its closest ally.
“President Trump made a grave error in slapping a higher tariff on Israel than on Turkey and even Iran, especially given the fact that Israel eliminated all tariffs on American goods,” DMFI President and CEO Mark Mellman said in a statement.
Mellman argued that White House inadvertently helped the boycott, divestment, and sanctions (BDS) movement (BDS) against Israel advance some of its major goals.
“The president’s action helps the BDS movement achieve one of its key goals — damaging the US-Israeli economic relationship,” he said. “This action undermines the longstanding and robust economic relationship between the United States and Israel, a relationship that has been built on trust, mutual benefit, and a commitment to free and fair trade.”
The post Trump Hits Israel With 17 Percent Tariffs; Israeli Officials Express Shock, Frustration first appeared on Algemeiner.com.
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Trump Administration to Release Over $5 Billion School Funding That It Withheld
US Secretary of Education Linda McMahon and President Donald Trump, in the East Room at the White House in Washington, DC, US, March 20, 2025. Photo: REUTERS/Carlos Barria
President Donald Trump’s administration will release more than $5 billion in previously approved funding for K-12 school programs that it froze over three weeks ago under a review, which had led to bipartisan condemnation.
“(The White House Office of Management and Budget) has completed its review … and has directed the Department to release all formula funds,” Madi Biedermann, deputy assistant secretary for communications at the U.S. Education Department, said in a statement, adding funds will be dispersed to states next week.
Further details on the review and what it found were not shared.
A senior administration official said “guardrails” would be in place for the amount being released, without giving details.
Early in July, the Trump administration said it would not release funding previously appropriated by Congress for schools and that an initial review found signs the money was misused to subsidize what it alleged was “a radical leftwing agenda.”
States say $6.8 billion in total was affected by the freeze. Last week, $1.3 billion was released.
After the freeze, a coalition of mostly Democratic-led states sued to challenge the move, and 10 Republican US senators wrote to the Republican Trump administration to reverse its decision.
The frozen money covered funding for education of migrant farm workers and their children; recruitment and training of teachers; English proficiency learning; academic enrichment and after-school and summer programs.
The Trump administration has threatened schools and colleges with withholding federal funds over issues like climate initiatives, transgender policies, pro-Palestinian protests against U.S. ally Israel’s war in Gaza and diversity, equity and inclusion practices.
Republican US lawmakers welcomed the move on Friday, while Democratic lawmakers said there was no need to disrupt funding in the first place.
Education Secretary Linda McMahon separately said she was satisfied with what was found in the review and released the money, adding she did not think there would be future freezes.
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Israel to Resume Airdrop Aid to Gaza on Saturday, Military Says
Palestinians carry aid supplies which they received from the US-backed Gaza Humanitarian Foundation, in the central Gaza Strip, May 29, 2025. Photo: REUTERS/Ramadan Abed/File Photo
Israel will resume airdrop aid to Gaza on Saturday night, the Israeli military said, a few days after more than 100 aid agencies warned that mass starvation was spreading across the enclave.
“The airdrops will include seven pallets of aid containing flour, sugar, and canned food to be provided by international organizations,” the military added in a statement.
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Trump Says Hamas ‘Didn’t Want to Make a Deal,’ Now Likely to Get ‘Hunted Down’
U.S. President Donald Trump speaks during a cabinet meeting at the White House in Washington, D.C., U.S., July 8, 2025. Photo: Kevin Lamarque via Reuters Connect.
i24 News – US President Donald Trump on Friday said the Palestinian jihadists of Hamas did not want to make a deal on a ceasefire and hostage release in Gaza.
“Now we’re down to the final hostages, and they know what happens after you get the final hostages. And basically because of that, they really didn’t want to make a deal,” Trump said.
The comments followed statements by Middle East peace envoy Steve Witkoff and Israel’s Prime Minister Benjamin Netanyahu to the effect that Israel was now considering “alternative” options to achieve its goals of bringing its hostages home from Gaza and ending the terror rule of Hamas in the coastal enclave.
Trump added he believed Hamas leaders would now be “hunted down.”
On Thursday, Witkoff said the Trump administration had decided to bring its negotiating team home for consultations following Hamas’s latest proposal. Witkoff said overnight that Hamas was to blame for the impasse, with Netanyahu concurring.
Trump also dismissed the significance of French President Emmanuel Macron’s announcement that Paris would become the first major Western power to recognize an independent Palestinian state.
Macron’s comments, “didn’t carry any weight,” the US leader said.
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