European Union (EU) foreign ministers are discussing new measures in Brussels today to restrict trade in response to Israel's accelerating settlement activities in the occupied West Bank.
A senior EU diplomat and a European official told Reuters that the talks will be based on a confidential document prepared by the European Commission. The document includes three options: an import licensing system, high customs duties, and a full trade ban.
Earlier sanctions decision
In May, the EU imposed sanctions on four entities and three individuals over serious and systematic human rights violations against Palestinians in the occupied West Bank.
Assessing expectations for today's closed-door session, a diplomat said, "What you will witness today will be a discussion on the options, and we will get a clearer picture of each side's stance."
Diplomats do not expect any concrete decision to emerge today due to disagreements among member states. The question of how a decision would be taken is also at the center of the disputes.
Division over decision-making process
While some diplomats argue that a trade ban on Israeli settlements could be adopted by qualified majority (at least 15 member states representing 65% of the total population), the Commission document indicates that a ban might require unanimity. The unanimity requirement makes decision-making extremely difficult.
European Commission spokesperson Paola Pinho confirmed that the document had been shared with member states but declined to comment on its content.
Pressure and divisions among member states
The EU often struggles to take strong decisions on Middle East issues due to deep and persistent divisions among its 27 member states. The recent increase in settler violence and Prime Minister Benjamin Netanyahu's government's intensive expansion of settlements have increased pressure on member governments to act.
According to a Politico report based on four diplomats, a group of EU countries including Belgium, the Netherlands, and Spain is trying to push the Commission to present a proposal to restrict trade with Israeli settlements.
Spanish member of the European Parliament's Foreign Affairs Committee Nacho Sánchez Amor said settlements are illegal, adding, "The best solution is to simply ban the import of all goods produced in the settlements."
A senior European diplomat said Germany plans to veto or abstain on any decision that would impose customs duties on Israel.
ICJ opinion and Israel's reaction
In its advisory opinion published in July 2024, the International Court of Justice (ICJ) stated that Israel's occupation of Palestinian territories and settlement construction in the West Bank are unlawful, and stressed that states must take steps to prevent trade or investment relations that help maintain this situation.
Israeli Foreign Minister Gideon Saar last year described efforts by some European governments to implement the advisory opinion as "shameful".
Record increase in settlement activities
On July 3, Israel approved a plan to establish 13 new settlement units in the central West Bank. The Palestinian Jerusalem Governorate warned that this step would fragment the West Bank and isolate Jerusalem.
According to data from the Palestinian Center for Israel Studies (MADAR), there has been an unprecedented surge in settlement outposts in recent years. While an average of 8 new outposts were established annually between 2012 and 2022, this number rose to 32 in 2023, 62 in 2024, and 86 in 2025.
In late June, the Israel Hayom newspaper reported that settler movements in the West Bank had prepared a plan to radically alter the region's map and target Area A, which is under full Palestinian control. According to the newspaper, the plan, led by the "Settlement Farms Union" and the "Habita" (Homeland) forum, envisages a mechanism for deploying forces to about 100 strategic points in a scenario called "order day" and constitutes a clear violation of the Oslo Accords.