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Israel removes remaining US goods import tariffs to win'reprieve 'from Trump's reciprocal tariffs

On Tuesday, Israeli Finance Minister Smotrich signed a directive to immediately eliminate all remaining import tariffs on U.S. goods, apparently in an effort to win a "reprieve" from reciprocal tariffs that the Trump administration is expected to announce on Wednesday, according to The Times of Israel. The order was coordinated by Israeli Prime Minister Benjamin Netanyahu and Economy Minister Barkat, but still needs final approval from the Knesset Finance Committee. In a March 20 letter sent to Barkat and Agriculture Minister Avi Dicht, Smotrich asked for the removal of tariffs on U.S. products, mainly in the agricultural sector. Israel and the United States signed a free trade agreement in 1985. Under the agreement, the United States and Israel implemented phased tariff reductions, culminating in the near-complete elimination of tariffs on manufactured goods in 1995. However, the agreement did allow the United States and Israel to maintain some import and tariff restrictions, such as quantitative limits on agricultural products and charges, primarily to safeguard local production and food security.