In an unprecedented move, the American government has launched an investigation into Finkelstein Metals, a Israeli company that produces critical parts for the Iron Dome, over allegations of receiving prohibited government subsidies. The investigation has sparked concerns among Israeli officials, as it could have far-reaching implications for Israeli exporters to the US, including the defense industry.
According to US authorities, grants received by Finkelstein Metals allowed the company to sell its products in the US at inflated prices, which is a violation of trade agreements between the two countries. However, Israeli officials argue that the company’s activities in the US are minimal compared to American complainants and that the investigation contradicts the decades-old trade agreement.
Sanctions and customs duties have already been imposed on Finkelstein Metals, which could significantly impair its ability to operate regularly and may endanger the supplies required for the defense industry, such as the Iron Dome. The Foreign Affairs Ministry and the Association of Manufacturers have entered the picture, with Ron Tomer, the President of the Manufacturers’ Association, warning of the unusual situation that could lead to damage to other companies.
Finkelstein Metals is defined as an essential enterprise for the industry and is the only Israeli company that produces brass, bronze, and copper alloy products. It employs 80 workers from the northern region and is Rafael’s sole supplier of metal bars for producing ammunition for Iron Dome batteries.
The investigation could have a dramatic impact on the entire trade relationship between Israel and the US, with broad implications for Israeli exporters to the US. Government benefits for industrial plants in development areas are often a necessary condition for the establishment of the plants, and if the American government decides that benefits of this type constitute a prohibited subsidy, it could lead to a wave of additional lawsuits by Israeli exporters to the US.
(YWN World Headquarters – NYC)
Join the official YWN WhatsApp status
3 Responses
Sometimes I wonder – what if my friends were “friends” of the type that Israel has.
Another glaring example of the Biden State Department’s wet-diaper-diplomacy creating divisive political trouble within Israel, while concurrently disarming Eretz Yisrael from defending itself by using their favorite weapon – financial coercion. But, the United States will not escape culpability and reap the full measure for the pestilences Biden has released on the world.
The Deep State has sunk its claws into Trump and now they’re looking for their next victim.