Link to article:https://www.timesofisrael.com/israel-nixes-us-import-tariffs-a-day-before-trump-set-to-levy-duties-on-trade-allies/
On April 1st, Israel announced that it would look at removing import tariffs on US goods. While export tariffs have been near non existent between the two since 1995 after a trade agreement in 1985, import tariffs have been allowed for years. However, With the threat of raising tariffs on the horizon in a tit-for-tat deal, Israel has taken a hard look at decreasing, and perhaps removing import tariffs on the US. Most important tariffs are on agriculture products as a way “of protecting Israels’ agriculture sector from cheap crops”. In other words, Israel’s is debating its options between Economic Security or a good relationship with their closest allies against HAMAS.
Israel is having to choose between protecting its Producers or its relationship with the US, which has been their biggest backer against HAMAS. What’s interesting is that Israel is going through a variation of what the US is doing now, except Israel is on the receiving end. Israel had tariffs in place to reportedly protect its agriculture sector. Trump says that tariffs protect American producers. If Israel were to get frustrated with the tariffs, it would be difficult for them to have a solid argument against the US. If Trump were to keep with his current tariff plans on Israel, Israel would have no choice but to go along with it even if it is disadvantageousness for them because they have done the same thing to us in the past, obviously to a lesser degree.
Israel can only offer to lower or completely drop its current tariffs on US imports. However, no matter what Israel does, Trump is going to do what he wants with the tariffs. It would be unwise to backhand Israel in deals, mainly because they can give the US safe access to Oil in the Middle East area. Trump will likely try to broker a deal, but he won’t accept any offer that doesn’t leave the US with the better end of a contract. This could also be a foundation for any talks between Trump and other leaders if the rest of the world wants to negotiate tariffs.