Israel just bowed to Trump’s ‘America First’ trade policy, sending a clear message to nations worldwide: eliminate your tariffs before the hammer falls.
At a Glance
- Israel has completely eliminated all tariffs on U.S. goods, a day before Trump’s planned “Liberation Day” reciprocal tariffs take effect
- The move will cost Israel $11.3 million annually in customs duties, but likely saves them from facing much steeper reciprocal tariffs
- Prime Minister Netanyahu emphasized this strengthens U.S.-Israel ties while increasing market competition and lowering costs for Israelis
- Other nations are watching closely as Trump prepares to hammer trade partners who don’t follow Israel’s example
Smart Move or Desperate Dodge?
Well, would you look at that? Israel just became the first nation to wave the white flag in what’s shaping up to be Trump’s global trade showdown. Just one day before Trump’s “Liberation Day” tariffs are set to hammer nations that have been picking America’s pocket for decades, Israel decided they’d rather not be on the receiving end of economic justice.
It’s almost like they took one look at the incoming freight train of American tariffs and jumped off the tracks while they still could.
The timing here couldn’t be more obvious if Netanyahu had personally called Trump and asked, “How do we get off your naughty list?” Israel currently imposes over $11.3 million annually in customs duties on American goods – or should I say, imposed. That revenue stream is now history as they rush to get right with the new sheriff in town before he starts enforcing the law.
What’s particularly interesting is how Israel is spinning this as their own brilliant idea rather than an obvious reaction to Trump’s impending tariff hammer. Netanyahu’s government is busy telling everyone this is all part of their master plan to “open the market to competition” and “lower the cost of living” – as if they just happened to eliminate these tariffs the day before Trump’s deadline by sheer coincidence.
@elonmusk @realDonaldTrump He Jiangbing: Starting in 2025, the United States Will Lead the World into Deflation Rather than Inflation, and Reduce Its Deficit Rather than Increase It😊
Before the 2024 U.S. presidential election, Nobel laureates in economics collectively predicted…
— 贺江兵 (@Jiabang1) December 15, 2024
Following the Leader’s Example
Finance Minister Bezalel Smotrich didn’t even try to hide the real motivation, openly admitting this is “an important step to safeguard the Israeli economy during a sensitive period.” Translation: We’re not stupid enough to pick a trade fight with our biggest ally when they’re finally enforcing fair trade policies. The directive still requires approval from the Knesset Finance Committee and Economy Minister, but does anyone seriously think they’ll vote to face Trump’s wrath instead?
“Fully eliminating tariffs on imports from the US is an important step to safeguard the Israeli economy during a sensitive period and to strengthen the economic relationship with our most important ally – the US. We will continue to act decisively to protect Israeli exports and preserve the competitive advantages of Israel in the international arena.”, says Smotrich.
The real question now is: who’s next? As investor Bill Ackman pointed out, “Israel sets the example on how all of our allies should preemptively respond to President Trump’s desire to level the tariff playing field for America.” It’s like watching dominoes being set up – Israel just knocked over the first one, and smart money says European nations and others are frantically calculating whether to follow suit before Trump drops the hammer on their economies.
— Sports Patriot (@SportsPatriotUS) October 20, 2024
America First Is Working Already
The beautiful irony here is that Trump’s tariff policy is already working perfectly – and he hasn’t even implemented it yet! Israel just demonstrated the power of simply announcing America First policies and watching as other nations scramble to get in line. This is what actual leadership looks like, folks. No lengthy diplomatic negotiations, no weakness, no giving away leverage – just clear, decisive action that brings other countries to the table on our terms.
“The current administration presents a real opportunity to shape a new strategic economic future for the two countries while strengthening Israel’s central role as an economic partner.”, says Smotrich.
Meanwhile, you can bet Canadian Prime Minister Justin Trudeau and his European counterparts are frantically calling emergency meetings to decide whether to follow Israel’s lead or face the consequences. After decades of unfair trade practices and taking advantage of weak American leadership, the bill has finally come due. Israel was smart enough to pay up immediately – will others follow their example, or learn the hard way that America isn’t going to be the world’s piggy bank anymore? Stay tuned, patriots – the global trade revolution has only just begun.
