Following Trump’s tariffs: Trading on the Tel Aviv Stock Exchange opens with sharp declines
Trading on the Tel Aviv Stock Exchange opened this morning (Sunday) with sharp drops in stock prices. This comes in the wake of tariffs imposed by U.S. President Donald Trump and plummeting markets around the world. The leading indices – TA-35 and TA-125 – are each down by about 4%.
Late last week, the American president dropped a bombshell when he announced plans to impose a 17% tariff on goods imported from Israel. The Trump administration claimed that when factoring in issues such as currency manipulation and trade barriers, the effective tariff rate that Israel imposes on the U.S. stands at 33%.
The implication of Trump’s decision is that importing goods from Israel into the U.S. will now incur a 17% tax on those products. As a result, Israel’s export volume to the American market may decline.
The Manufacturers Association of Israel expressed concern over Trump’s move, stating: “The industry expresses deep concern following the president’s decision. This is a troubling step for Israeli exporters, which may harm jobs and reduce activity in the American market. The president’s decision could undermine Israel’s economic stability, deter foreign investment in the economy, and weaken the competitiveness of Israeli companies in the U.S. market.“
Kan.org.il is the Hebrew news website of the The Israeli Public Broadcasting Corporation
