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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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Israel to Send Delegation to Qatar for Gaza Ceasefire Talks

Israeli Prime Minister Benjamin Netanyahu speaks during a news conference in Jerusalem, Sept. 2, 2024. Photo: Ohad Zwigenberg/Pool via REUTERS
Israel has decided to send a delegation to Qatar for talks on a possible Gaza hostage and ceasefire deal, an Israeli official said, reviving hopes of a breakthrough in negotiations to end the almost 21-month war.
Palestinian group Hamas said on Friday it had responded to a US-backed Gaza ceasefire proposal in a “positive spirit,” a few days after US President Donald Trump said Israel had agreed “to the necessary conditions to finalize” a 60-day truce.
The Israeli negotiation delegation will fly to Qatar on Sunday, the Israeli official, who declined to be named due to the sensitivity of the matter, told Reuters.
But in a sign of the potential challenges still facing the two sides, a Palestinian official from a militant group allied with Hamas said concerns remained over humanitarian aid, passage through the Rafah crossing in southern Israel to Egypt and clarity over a timetable for Israeli troop withdrawals.
Israeli Prime Minister Benjamin Netanyahu, who is due to meet Trump in Washington on Monday, has yet to comment on Trump’s announcement, and in their public statements Hamas and Israel remain far apart.
Netanyahu has repeatedly said Hamas must be disarmed, a position the terrorist group, which is thought to be holding 20 living hostages, has so far refused to discuss.
Israeli media said on Friday that Israel had received and was reviewing Hamas’ response to the ceasefire proposal.
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Tucker Carlson Says to Air Interview with President of Iran

Tucker Carlson speaks on July 18, 2024 during the final day of the Republican National Convention at the Fiserv Forum in Milwaukee, Wisconsin. Photo: Jasper Colt-USA TODAY via Reuters Connect
US conservative talk show host Tucker Carlson said in an online post on Saturday that he had conducted an interview with Iranian President Masoud Pezeshkian, which would air in the next day or two.
Carlson said the interview was conducted remotely through a translator, and would be published as soon as it was edited, which “should be in a day or two.”
Carlson said he had stuck to simple questions in the interview, such as, “What is your goal? Do you seek war with the United States? Do you seek war with Israel?”
“There are all kinds of questions that I didn’t ask the president of Iran, particularly questions to which I knew I could get an not get an honest answer, such as, ‘was your nuclear program totally disabled by the bombing campaign by the US government a week and a half ago?’” he said.
Carlson also said he had made a third request in the past several months to interview Israeli Prime Minister Benjamin Netanyahu, who will be visiting Washington next week for talks with US President Donald Trump.
Trump said on Friday he would discuss Iran with Netanyahu at the White House on Monday.
Trump said he believed Tehran’s nuclear program had been set back permanently by recent US strikes that followed Israel’s attacks on the country last month, although Iran could restart it at a different location.
Trump also said Iran had not agreed to inspections of its nuclear program or to give up enriching uranium. He said he would not allow Tehran to resume its nuclear program, adding that Iran did want to meet with him.
Pezeshkian said last month Iran does not intend to develop nuclear weapons but will pursue its right to nuclear energy and research.
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Hostage Families Reject Partial Gaza Seal, Demand Release of All Hostages

Demonstrators hold signs and pictures of hostages, as relatives and supporters of Israeli hostages kidnapped during the Oct. 7, 2023 attack by Hamas protest demanding the release of all hostages in Tel Aviv, Israel, Feb. 13, 2025. Photo: REUTERS/Itai Ron
i24 News – As Israeli leaders weigh the contours of a possible partial ceasefire deal with Hamas, the families of the 50 hostages still held in Gaza issued an impassioned public statement this weekend, condemning any agreement that would return only some of the abductees.
In a powerful message released Saturday, the Families Forum for the Return of Hostages denounced what they call the “beating system” and “cruel selection process,” which, they say, has left families trapped in unbearable uncertainty for 638 days—not knowing whether to hope for reunion or prepare for mourning.
The group warned that a phased or selective deal—rumored to be under discussion—would deepen their suffering and perpetuate injustice. Among the 50 hostages, 22 are believed to be alive, and 28 are presumed dead.
“Every family deserves answers and closure,” the Forum said. “Whether it is a return to embrace or a grave to mourn over—each is sacred.”
They accused the Israeli government of allowing political considerations to prevent a full agreement that could have brought all hostages—living and fallen—home long ago. “It is forbidden to conform to the dictates of Schindler-style lists,” the statement read, invoking a painful historical parallel.
“All of the abductees could have returned for rehabilitation or burial months ago, had the government chosen to act with courage.”
The call for a comprehensive deal comes just as Israeli Prime Minister Benjamin Netanyahu prepares for high-stakes talks in Washington and as indirect negotiations between Israel and Hamas are expected to resume in Doha within the next 24 hours, according to regional media reports.
Hamas, for its part, issued a statement Friday confirming its readiness to begin immediate negotiations on the implementation of a ceasefire and hostage release framework.
The Forum emphasized that every day in captivity poses a mortal risk to the living hostages, and for the deceased, a danger of being lost forever. “The horror of selection does not spare any of us,” the statement said. “Enough with the separation and categories that deepen the pain of the families.”
In a planned public address near Begin Gate in Tel Aviv, families are gathering Saturday evening to demand that the Israeli government accept a full-release deal—what they describe as the only “moral and Zionist” path forward.
“We will return. We will avenge,” the Forum concluded. “This is the time to complete the mission.”
As of now, the Israeli government has not formally responded to Hamas’s latest statement.
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