European Commission expected to propose trade restriction options against Israeli settlements

The European Commission is preparing to present member states with options to restrict trade in goods from Israeli settlements in occupied Palestinian territory in the coming days. According to Euronews sources in Brussels, the package could include mechanisms ranging from customs labelling to import quotas.

The Commission's proposal is being seen as one of the most concrete steps within the EU's Middle East policy. Last week in Brussels, a separate proposal to sanction Israeli minister Itamar Ben Gvir was shelved without sufficient support among member states, underscoring continued divisions inside the bloc.

Approval of the proposed package would require qualified majority or unanimity; some member states are expected to abstain. Should it limit settlement goods' access to EU supply chains, the move could affect prices in select jewellery, agricultural and services lines. This content is not investment advice.