Israel Issues Caution as Calls to End Trade Ties with Ireland Gain Momentum

The Embassy of Israel to Ireland cautions against severing trade ties between Ireland and Israel, stressing potential repercussions for Irish businesses and the possibility of reciprocal measures.

Calls for Ireland to terminate trade links with Israel intensify amid the ongoing conflicts in the Middle East, prompting heightened debate on diplomatic relations and economic partnerships.

UN Secretary-General Antonio Guterres denounces blocked relief trucks at the Gaza border, fueling sentiments for Ireland to take action against Israel.

According to Rte. i.e., Labour leader Ivana Bacik urges Ireland to terminate diplomatic and trade links with Israel at her party’s congress, mirroring growing political sentiment.

In response to calls for trade disruption, the Israeli embassy emphasises the importance of maintaining trade relations and urges against actions that could exacerbate conflict tensions.

Israeli officials criticise attempts to disrupt trade, arguing that such actions may inadvertently support proscribed terrorist organisations like Hamas while overlooking their responsibility for the conflict.

Despite vocal international calls for a ceasefire, Ireland’s practical contributions to resolving the Gaza conflict are questioned, with accusations of limited action.

Paragraph 8: Irish businesses find themselves caught in the crossfire of the Israel-Hamas conflict, facing scrutiny and backlash regardless of their stance on the issue.

Entrepreneur Paddy Cosgrave’s resignation as chief executive of Web Summit following comments critical of Israel’s military actions highlights the delicate balance for businesses navigating political sensitivities.

McDonald’s faces financial repercussions and reputation damage after perceived support for Israel prompts customer boycotts, underscoring the impact of geopolitical tensions on multinational corporations.

International companies conducting business in Israel tread carefully amidst geopolitical turmoil, mindful of potential revenue losses, protests, and reputational damage.

Despite Israel’s modest contribution to Ireland’s export market, competition for foreign direct investment from US multinationals underscores the economic stakes for both countries.

Intel’s significant investment in Israel’s tech sector sparks controversy and calls for boycotts, highlighting the complex interplay between economic interests and political considerations.

Amidst calls for Ireland to sever trade links with Israel, key stakeholders, including Intel and the American Chamber of Commerce, Ireland, remain tight-lipped on the political implications of such actions.

Ireland and Israel share business ties, including the production of Sudocrem, an antiseptic healing cream manufactured in Dublin since the 1940s and distributed in over 50 countries. In 2016, Israel-based Teva Pharmaceuticals acquired Sudocrem in a multimillion-euro deal, but in 2021, Teva announced plans to relocate production to Bulgaria.

The Ireland Palestine Solidarity Campaign encourages Irish consumers to boycott Sudocrem and other Israeli goods and services, citing their opposition to the Israeli occupation and apartheid. This list includes various products, including fruits and vegetables, beauty products, hardware items, and insurance and financial services.

Trade Policy falls under the exclusive competence of the European Union, and Ireland’s trade relations with Israel are governed by the EU-Israel Association Agreement, which came into effect in June 2000.

Regarding concerns about Israel’s compliance with human rights obligations under the agreement, Irish Taoiseach Leo Varadkar and Spanish Prime Minister Pedro Sanchez wrote to European Commission President Ursula von der Leyen, requesting a review.

Article two of the EU-Israel Association Agreement emphasises human rights as an “essential element” of the agreement. The Department of Enterprise, Trade and Employment expects the EU institutions to proceed with this review.