PARIS, France – Twelve countries have announced plans to introduce, support or consider restrictions on trade in goods from Israeli settlements in the occupied West Bank, in a coordinated move that increases pressure on Israel over settlement expansion and the future of a two-state solution.
The countries are Canada, Denmark, Finland, France, Iceland, Ireland, Norway, Poland, Portugal, Spain, Sweden and the United Kingdom. In a joint statement issued Sept. 8, they said Israeli actions in the West Bank were undermining the possibility of a two-state solution and cited rising settler violence and settlement expansion.
The announcement comes as several governments move beyond diplomatic criticism toward restrictions on commercial activity connected to settlements. The measures differ by country and are subject to national procedures, meaning the 12 governments have not adopted a single uniform trade regime.
Britain moves first with a settlement-goods ban
The United Kingdom announced a ban on imports of goods produced in Israeli settlements in the West Bank, alongside additional measures targeting businesses and individuals involved in settlement expansion.
British Foreign Secretary Ed Miliband said the restrictions would target settlements rather than Israel’s broader economy. The British government has maintained that trade with Israel within its pre-1967 borders would continue.
The British measures also include restrictions involving construction, infrastructure, financing and real-estate activity connected to settlement expansion, as well as measures against individuals accused of supporting or inciting settler violence.
The policy follows Israeli moves to advance development in the E1 area of the West Bank. European governments have warned that expansion there could further divide the territory and damage prospects for a Palestinian state.
France and Canada prepare similar measures
France and Canada said they would follow Britain’s lead by proposing national restrictions on goods originating from Israeli settlements.
The broader 12-country statement goes further than those three governments, covering countries that are either preparing national measures or considering and supporting European action.
Several countries had already moved toward restrictions before the latest announcement. Spain introduced regulations in 2025, while Ireland, Norway and the Netherlands have taken steps toward banning settlement goods. Belgium has also committed to a ban.
The different national approaches mean the emerging restrictions are not yet a single coordinated embargo. Instead, governments are developing measures through their own legal and political procedures while also discussing broader European action.
Settlement expansion drives the diplomatic pressure
The 12 governments linked their trade position directly to settlement expansion and violence in the West Bank.
Their joint statement cited the publication of tenders for the E1 settlement project and said the situation was deteriorating because of settlement growth and settler violence. They called on Israel to halt settlement expansion and address violence against Palestinians.
The United Nations human rights office welcomed the announcement, saying the situation in the West Bank required urgent measures. It also pointed to the International Court of Justice’s July 2024 advisory opinion and a 2024 U.N. General Assembly resolution concerning trade and investment connected to Israeli settlements.
The ICJ’s 2024 opinion concluded that Israel’s continued presence in the occupied Palestinian territory was unlawful and said states should prevent trade or investment relations that help maintain that situation. The legal interpretation remains politically contested by Israel.
Israel rejects the restrictions
Israel has condemned the measures and rejected the characterization of its settlement policy as unlawful.
Israeli officials have argued that restrictions could harm Palestinians who work for companies operating in settlements and have accused foreign governments of interfering in Israeli affairs. Israel also disputes the broader international legal position that its West Bank settlements are illegal.
Israel responded particularly sharply to Britain’s announcement, closing its consulate in Jerusalem and taking measures against British officials. The confrontation adds a diplomatic dimension to the emerging trade restrictions.
European governments remain divided
The new coalition does not represent a unified European Union policy.
Ireland, Belgium and the Netherlands have supported broader European restrictions, while Germany and several other governments have opposed EU economic sanctions targeting settlements. The disagreement reflects divisions over how far European governments should go in pressuring Israel while preserving diplomatic channels.
The European Union is Israel’s largest trading partner, making any bloc-wide restrictions potentially more consequential than individual national measures. But reaching agreement among member states remains politically difficult.
For now, the 12-country initiative represents a significant expansion of national pressure on settlement commerce rather than a comprehensive trade embargo on Israel.
Reporting Credit: Governments of the United Kingdom, France and Canada — national measures and planned restrictions targeting trade in goods from Israeli settlements; joint statement by Canada, Denmark, Finland, France, Iceland, Ireland, Norway, Poland, Portugal, Spain, Sweden and the United Kingdom — coordinated position on settlement expansion, settler violence and restrictions on settlement trade; United Nations Office of the High Commissioner for Human Rights — assessment of the West Bank situation and relevant international legal and diplomatic developments; U.K. Parliament — background on national approaches to trade with Israeli settlements.
