US President Donald Trump speaks during an event to announce new tariffs in the Rose Garden at the White House, on April 2, 2025, in Washington. (By AP)
Israeli officials are in shock after US President Donald Trump announced a 17% tariff on all Israeli goods, despite Tel Aviv's recent removal of all duties on American imports.
Trump’s tariff hike came only a day after Israel announced the removal of all tariffs on imported goods from the US.
Experts believe Israel’s decision was in hopes of a similar tariff cut on America’s part.
However, Israeli officials were shocked to learn that the US government not only refused to remove tariffs on Israeli goods, but rather introduced increased tariffs.
“We are in shock. We were sure that the decision to completely cancel tariffs on imports from the US would prevent this move. But it didn't happen," said Israeli journalist Amichai Stein, citing Israeli officials.
US and Israel’s bilateral trade stood at $34 billion in 2024, with America being Israel’s largest trade partner.
The tariff hike was part of Trump's sweeping “reciprocal” tariffs announcement, which included tariff rates for all countries in the world.
Trump's new tariffs on imported goods start at a minimum of 10%, with countries such as Turkey, Egypt and Saudi Arabia being placed in this minimum category.
Commentators have also pointed out that ironically Iranian goods are subject to a lower tariff rate (10%) than Israeli goods, although the US has long imposed a trade embargo on Iran.
It remains unclear how the Trump administration deliberated for setting the new tariff rates for individual countries, and whether these new tariffs will be revised in the coming days.