Israeli Prime Minister Benjamin Netanyahu said during his visit to the White House that his country would eliminate its trade deficit with the United States. However, this was not enough to convince the Donald Trump administration to make a concession on the new high tariffs imposed last week, Politico reports, reports News.bg.
„We will do it very quickly. We think this is the right move. We will also remove trade barriers,” Netanyahu said in the Oval Office.
Trump responded with “Thank you, that’s very kind,” but gave no indication that the United States was willing to reconsider the new 17 percent tariffs on Israeli goods that take effect on Wednesday. Asked if there was a chance the tariffs would be lifted, he said, “Maybe not,” adding that Washington already provides Israel with billions of dollars in defense and other aid.
Netanyahu became the first foreign leader to meet with President Trump since the announcement of the so-called “reciprocal tariffs” – a new trading system targeting countries with trade surpluses with the United States. On Sunday evening, the Israeli prime minister also met with US Trade Representative Jamieson Greer and Commerce Secretary Howard Lutnick.
Although the US and Israel have had a free trade agreement since 1985, the country is still among more than 60 countries affected by the new, higher import tariffs.
According to the Association of Manufacturers in Israel, the expected losses for the Israeli economy exceed $2.3 billion, with the technology sector being hit hardest.
“The consequences for Israel are huge”, said Dalia Ziyada, a senior analyst at the Jerusalem Center for Security and Foreign Policy.
Meanwhile, the White House has already contacted more than 50 countries that have sought the opportunity to negotiate the new trade terms. Trump announced that he had spoken with Japanese Prime Minister Shigeru Ishiba that same day, and the US Treasury Department announced the start of negotiations with Tokyo, which will be subject to an even higher tariff - 24%.