Israel Bans Import of Goods Made by Forced Labor to Counter US Tariff Hike

The Israeli government approved a ban on importing goods produced wholly or partly by forced labor, aiming to combat worker exploitation and improve Israel's trade standing. The decision, submitted by Prime Minister Benjamin Netanyahu, instructs Economy and Industry Minister Nir Barkat to establish regulations prohibiting such imports based on international legal standards. This move responds to US President Donald Trump's recent tariff increase on imports from over 80 countries, including Israel, where tariffs rose from 10% to 12.5%. Professor Avi Simhon, chairman of the National Economic Council and proponent of the measure, expressed hope that Israel's action will lead to a rollback of the US tariffs back to 10%. The government will form an interministerial team led by the National Economic Council to develop enforcement mechanisms within 90 days, including authorized decision-makers, criteria for identifying forced labor products, reporting systems, and appeal procedures. Simhon stated the initiative is expected to strengthen Israeli exporters' positions in global markets, improve trade conditions with key partners, and reduce trade barriers that harm Israel's economic competitiveness.