Netanyahu Heads to White House After Tariff Shock

Israeli Prime Minister Benjamin Netanyahu is heading to the White House today in a high-stakes bid to reverse newly announced U.S. tariffs that blindsided Israel and sent shockwaves through its war-strained economy. President Trump, in a bold move to protect American industry, slapped a baseline 10% tariff on all foreign goods tacking on an additional 7% penalty for Israeli imports set to kick in April 9.

That’s a total of 17% on Israeli goods an unprecedented blow for a close ally already grappling with the cost of a protracted war against Hamas and mounting economic instability. And yet, despite decades of free trade under the U.S.-Israel Free Trade Agreement, America’s closest partner in the Middle East now finds itself negotiating just like any other country.

Trump isn’t playing favorites.

While the Biden administration would’ve caved to global pressure and handed out sweetheart exemptions, Trump is demanding fair trade and accountability. His administration’s tariff model is straightforward: if you run a trade surplus with the U.S., you pay the price just like China, Germany, or anyone else exploiting America’s market.

Here’s where things stand:

In 2024, the U.S. imported $22.2 billion worth of goods from Israel and exported just $14.8 billion.

That leaves a $7.4 billion trade deficit with Israel, which now factors into the tariff formula under Trump’s new “Liberation Day” plan.

Over 50 nations have already contacted the White House to renegotiate deals, according to National Economic Council Director Kevin Hassett.

Netanyahu’s visit comes after a flurry of behind-the-scenes meetings with Commerce Secretary Howard Lutnick and U.S. Trade Representative Jamieson Greer. The meetings, described by Israel as “warm and productive,” are part of a broader attempt to salvage economic stability as the war with Hamas drags on and Turkey’s influence in Syria raises fresh regional concerns.

Trump and Netanyahu will also address the volatile Middle East landscape, where Israel recently struck Syrian airbases to push back against Turkish encroachment. Israeli Foreign Minister Gideon Sa’ar didn’t mince words: “We don’t think it was good when Syria was an Iranian proxy, and we don’t think that Syria should be a Turkish protectorate.”

But the economic front remains top priority.

The tariffs have sparked serious unrest in Israel, where leaders had hoped Trump’s America First policies would exempt a loyal partner. Instead, they’re learning that Trump’s loyalty is to American workers and the message is clear: friend or not, if you’re costing the U.S. billions, you're going to pay up.

Trump, ever defiant, told Americans to “hang tough” and promised the short-term pain would lead to an “economic revolution.” His vision? A rebalanced global economy where American industries thrive again, unburdened by unfair trade deficits.

And in perhaps the most audacious development yet, Trump floated the idea of relocating Gazans and having the United States take over the Gaza Strip. He called it the “Riviera of the Middle East,” a vision Netanyahu said could “change history.”

This isn’t just about tariffs. It’s about resetting the global order on America’s terms and once again, it’s Donald Trump leading the charge.

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