Dear Clients and Colleagues,

Following the signing of the “Abraham Accords” between the State of Israel and the United Arab Emirates and between the State of Israel and Bahrain, the Israeli Ministry of Economy and Industry published for public comments a Draft Regarding the Free Import Order (Temporary Order), 5780 – 2020 (Amendment), 5781 – 2020 (“Draft of the Free Import Order”) and a Draft amendment of the notice regarding the nations with whom Israel does not have diplomatic relations, nor an agreement that includes a most favorable nation, or nations that restrict the import of goods from Israel under free import order, 5774- 2014 (“Notice regarding the countries with whom Israel does not have diplomatic relations”) .

Following the establishment of diplomatic relations between the State of Israel and the United Arab Emirates and Bahrain, the Ministry of Economy intends to remove the United Arab Emirates and Bahrain from the notice regarding the countries with whom Israel does not have diplomatic relations. Additionally, the Ministry of Economy intends to remove special import restrictions on specific goods (classified in chapters 39 and 68 of the Israeli Customs Tariff – 2017) imported from the United Arab Emirates and Bahrain by amending the free import order. After the legislation of the above mentioned amendments, the normal regulations regarding imports of goods will apply to imports from the Emirates and Bahrain without any additional restrictions.

The suggested amendments will enable commercial import of goods from the United Arab Emirates and Bahrain to Israel without any additional restrictions. The amendments will implement the intent of the parties as reflected in peace accords.

Public comments can be submitted until December 29, 2020.

For the Draft of the Free Import Order >> Click here

For the Draft amendment of the notice regarding the countries with whom Israel does not have diplomatic relations >> Click here

**************************************

We will be happy to advise and assist in any matter.

Sincerely,

Herzog Fox & Neeman

Meir Linzen | Managing Partner
Head of Tax Department
linzen@herzoglaw.co.il

Iris Weinberger | Partner
Indirect Taxes, Customs & International Trade
weinbergerI@herzoglaw.co.il

Daniel Reisner | Partner
International Trade & National Security
reisnerd@herzoglaw.co.il