EU chief diplomat calls on Germany to back trade sanctions on Israel

European Union foreign affairs chief Kaja Kallas on Tuesday called on Germany to support plans for trade sanctions on Israel or propose alternative measures to exert pressure.

The European Commission is to propose additional sanctions on Israel over its actions in the Gaza Strip on Wednesday.

The measures are to include the suspension of certain trade benefits that are part of an agreement between the EU and Israel.

Whether the proposal will receive the required support by EU member states is unclear. A previous proposal to suspend research funding has so far failed to receive sufficient backing. Germany is opposed to the move.

"If we agree that the situation is untenable and we want the Israeli government to change course, then what can we do in order to achieve that?" Kallas said in an interview with broadcaster Euronews.

Anyone who does not support the proposed measures in response to Israel's actions in the Gaza Strip should suggest alternatives, she said.

The planned trade sanctions would be very costly for Israel, Kallas said.

Israel's trade with the EU accounts for around a third of Israel's total trade in goods, making the EU Israel's most important trading partner.

At the same time, however, Israel is not a major trading partner for the EU, according to commission figures. The EU's share of trade with Israel is less than 1%.

The total volume of trade in goods between the EU and Israel amounted to around €42.6 billion ($50.4 billion) in 2024, Kallas told Euronews.

The provisions in the trade agreement between the EU and Israel regulate which goods can be traded duty-free or at reduced rates.

European Commission President Ursula von der Leyen had foreshadowed the plans last week, admitting that she was aware that it would be difficult to find a majority in favour as the EU is deeply divided on how to respond to the widespread allegations of Israel's human rights violations in Gaza.

The additional measures are also expected to include a halt to payments from an EU fund for international cooperation.

The announcement came as the Israeli military launched its long-awaited ground offensive in Gaza City.

"The EU has consistently urged Israel not to intensify its operation in Gaza City. A military intervention will lead to more destruction, more death and more displacement," said a spokesman for Kallas.

"We have been clear that this will also aggravate the already catastrophic humanitarian situation, and also endanger the lives of hostages. It is high time to break the cycle of violence, of destruction, and of suffering, and this must end now," he said.