Israel Scrambles to Shield Economy from U.S. Tariffs

In response to U.S. President Donald Trump's imposition of a 17% tariff on Israeli goods, Israeli Finance Minister Bezalel Smotrich is working with officials to strategize protection for Israel's economy. The tariffs could threaten economic stability, foreign investments, and trade relations between the two nations.

Israel faces a potential economic upheaval after U.S. President Donald Trump imposed a 17% tariff on its goods. In response, Finance Minister Bezalel Smotrich is convening with ministry officials to mitigate the impact.

Smotrich plans to analyze opportunities and risks, discussing with economic leaders to formulate an action plan. The move comes as Israel recently lifted its tariffs on U.S. imports, complicating trade dynamics established 40 years ago through a free trade agreement.

The Manufacturers' Association warns of possible economic instability and urges comprehensive negotiations with the U.S. to alleviate or reverse the policy, ensuring Israel's competitive edge remains intact.

(With inputs from agencies.)