Netanyahu to Pursue Tariff Relief During Meeting with Trump
An official from Israel’s finance ministry stated on Thursday that Trump’s recent tariff implementation could have repercussions for Israel’s machinery and medical equipment exports.
On April 6, Israeli Prime Minister Benjamin Netanyahu expressed hope that President Donald Trump would consider lowering tariffs imposed on Israel during their meeting in Washington this week.
On April 2, Trump declared baseline and reciprocal tariffs affecting all U.S. trading partners, with Israeli imports facing a 17 percent tariff starting April 9. The United States remains Israel’s largest single trading partner and closest ally.
Netanyahu, who has been visiting Hungary, is scheduled to leave for Washington on Sunday for a meeting with Trump on Monday, according to officials.
The topics for discussion will include the Israeli hostages still held by Hamas in Gaza after 18 months, strategies for achieving victory against the terrorist group, and the U.S. tariff policies towards Israel, he stated in a press release.
“I hope to make progress on this issue. That is my intention,” Netanyahu remarked regarding the tariffs. “As the first foreign leader to address this matter with President Trump, I recognize its significance to the Israeli economy.
“Numerous leaders are vying to address similar concerns for their economies. This underscores the special personal connection and the strong ties between the U.S. and Israel, which are crucial at this juncture.”
As mentioned by an Israeli finance ministry official on April 3, Trump’s recent tariff implementation may influence Israel’s exports of machinery and medical equipment.
On April 1, Israel had already initiated moves to eliminate its remaining tariffs on U.S. imports. Having signed a free trade agreement with the United States 40 years ago, around 98 percent of U.S. goods are currently duty-free.
Recalibrating Trade Relationships
Commerce Secretary Howard Lutnick stated to CBS News on Sunday that the Trump administration aims to recalibrate trade relationships with all international trading partners via these new tariffs. Vietnam, for example, exported approximately $137 billion in goods to the United States last year while imposing a 90 percent tariff on American products. Consequently, on April 2, Trump imposed a 46 percent tariff on Vietnam’s exports, effective April 9.
“We must end the exploitation,” Lutnick declared.
Negotiations are ongoing between the United States and Vietnam to address the 46 percent tariff imposed on Vietnamese exports. The Vietnamese deputy prime minister is expected to visit Washington on Sunday.
That same day, the office of Vietnamese Deputy Prime Minister Ho Duc Phoc released a statement indicating that Vietnam would continue to seek increased purchases from the U.S. and would engage in talks regarding Trump’s new tariffs.
On Sunday, White House National Economic Council Director Kevin Hassett informed ABC News that numerous countries have approached the United States following Trump’s tariff announcements.
Hassett noted that while many countries are “angry and retaliating,” they are still “willing to engage in discussions.”
“I received a report last night from the [U.S. Trade Representative] stating that over 50 countries have contacted the president to initiate negotiations, as they recognize the burden of these tariffs,” he added.
Lai stated that Taiwanese firms will enhance their investments in the U.S., as Taiwan currently enjoys a trade surplus with America despite facing a 32 percent tariff on its exports to the U.S.
Indonesia’s Chief Economic Minister Airlangga Hartarto remarked on Sunday that Indonesia won’t retaliate against Trump’s 32 percent tariff on its exports. Rather, Indonesia will opt for diplomacy and negotiations with the United States to achieve mutually beneficial outcomes.
“This approach is guided by the long-term interests of our bilateral trade relationship and aims to preserve the investment climate and economic stability,” Airlangga explained.
The Indonesian government announced that a high-level delegation would travel to the U.S. to facilitate direct negotiations with the Trump administration.
On Monday, the Indonesian government plans to gather feedback from businesses to formulate a strategy addressing the U.S. tariffs, while also exploring ways to expand trade with Europe as an alternative to the U.S. and China, Airlangga added.
Jack Phillips, Reuters, and The Associated Press contributed to this report.