The European Union has unveiled its most forceful plan yet to push Israel towards ending the conflict in Gaza, as Israeli forces – tanks, drones and troops – advanced deeper into the devastated coastal enclave, already ravaged by 23 months of war – prompting large numbers of Palestinians to flee. ALSO READ: Felipe VI denounces ‘unspeakable suffering’ and ‘total devastation’ of Gaza.
EU foreign policy chief Kaja Kallas (main image) called on the bloc’s 27 nations to introduce tariffs on certain Israeli products and to sanction Israeli settlers along with two of Prime Minister Benjamin Netanyahu’s cabinet members: National Security Minister Itamar Ben-Gvir and Finance Minister Bezalel Smotrich. She also suggested penalties against 10 Hamas figures.
‘We are proposing these measures not to punish Israel or Israeli people, but to really try to pressure (the) Israeli government to change course and to end the human suffering in Gaza,’ Kallas said at a press briefing in Brussels. ‘The war needs to end, the suffering must stop and all hostages must be released.’
The plan would freeze assets in Europe belonging to the targeted individuals and bar them from travelling in the EU.
Given that the EU is Israel’s leading trade partner, any tariffs could significantly affect an economy already strained by nearly two years of war. Around €32 million in bilateral funding managed by the European Commission would be halted immediately. The commission also provides financial assistance to the Palestinian Authority.
Israel has rejected accusations of famine in Gaza, insisting it permits sufficient humanitarian aid deliveries. ALSO READ: Netanyahu accuses Sánchez of ‘blatant genocidal threat’ against Israel.
This move illustrates a marked deterioration in EU-Israel relations. Just last week, European Commission President Ursula von der Leyen shifted away from her earlier pro-Israel stance and urged European governments to apply pressure on Israel over its Gaza offensive.
‘The horrific events taking place in Gaza on a daily basis must stop,’ von der Leyen said. ‘There needs to be an immediate ceasefire, unrestrained access for all humanitarian aid, and the release of all hostages held by Hamas.’
In response, Israeli Foreign Minister Gideon Saar sent von der Leyen a strongly worded letter, accusing her of emboldening a terrorist group and pledging that Israel would resist European measures.
‘Pressure through sanctions will not work. The State of Israel is a proud sovereign nation, and we will not be bent through threats while Israel’s security is at stake,’ Saar wrote.
EU divisions remain
The EU’s 27 countries remain split over the Gaza war, now in its 23rd month, leaving it uncertain whether the proposed sanctions and trade steps will receive enough backing. ALSO READ: Spain-Israel rift widens as Madrid bars far-right ministers, recalls ambassador.
The conflict has sparked demonstrations in cities across Europe, from Amsterdam to Barcelona, and sharpened criticism of Brussels for failing to exert meaningful influence on Israel or ensure greater humanitarian access. ALSO READ: Spain imposes permanent weapons ban on Israel, among 8 other measures ‘to stop genocide’ in Gaza.
Gazan health officials reported on Wednesday that the death toll had surpassed 65,000 Palestinians since the war began on 7 October 2023, with Hamas’s attack on Israel.
‘The proposed partial suspension is a carefully considered response to an increasingly urgent situation,’ said European Commission trade chief Maros Sefcovic.
Details of the plan
If approved, tariffs worth around €230 million would apply to roughly 37% of the €15.9 billion in Israeli exports to the EU, according to Sefcovic. Those products currently face no tariffs under an Association Agreement between the two sides.
A review by EU diplomats in June concluded that Israel had breached the agreement’s human rights clause, Article 2. Critics within Europe have urged Brussels to suspend the deal altogether in light of the Gaza war.
For now, however, the Commission is proposing to withdraw the zero-tariff status from a selection of Israeli imports and instead apply World Trade Organization rates, which range from 8% to 40%, depending on the product.
This proposal follows von der Leyen’s announcement last week that she would pursue sanctions and partial trade restrictions against Israel because of its Gaza operations.
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Today we propose to sanction extremist ministers and violent settlers, and suspend trade concessions with Israel.
— Ursula von der Leyen (@vonderleyen) September 17, 2025
And put bilateral support to Israel on hold, without affecting our work with Israeli civil society or Yad Vashem.
The situation in Gaza is untenable.
— Kaja Kallas (@kajakallas) September 17, 2025
This war needs to end.
Today, I presented a robust package of sanctions on Hamas terrorists, extremist ministers in the Israeli government, violent settlers and entities that support impunity in the West Bank.
My press remarks ↓ pic.twitter.com/uN02vgIxmM
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