Israel has removed import duties on all American products just before U.S. President Donald Trump is set to announce reciprocal tariffs. The decision was implemented by Finance Minister Bezalel Smotrich and Economy and Industry Minister Nir Barkat, following directives from Israeli Prime Minister Benjamin Netanyahu.

“Today, we cancelled all of the customs duties levied on products from the US, Israel's largest trading partner. Cancelling the customs duties on American goods is an additional step in the policy that my governments have led for a decade in opening up the market to competition, introducing variety to the economy and lowering the cost of living,” Netanyahu shared in a post on X. “In addition to the advantages to the market and to citizens of Israel, the current effort will allow us to further strengthen the alliance and ties between Israel and the US. We will continue to work to reduce barriers and customs and bolster our special relationship with the US,” he further stated.

The United States is Israel’s biggest trading partner and one of its strongest allies. By 2024, Israel's exports to the U.S. had reached $17.3 billion in goods and $16.7 billion in services. On Monday, Trump said he would be “very kind” to trading partners when unveiling his “Liberation Day” reciprocal tariffs on April 2. However, his move, aimed at addressing what he calls unfair trade imbalances, risks causing global disruptions.

Trump is set to announce the measures alongside cabinet members in the Rose Garden of the White House at 4:00 pm (2000 GMT), shortly after Wall Street markets close. He claims these actions will prevent the U.S. from being "ripped off" and usher in a new "golden age" for American industry. Although Trump insisted that he had finalised the reciprocal tariffs targeting countries that have imposed tariffs on the U.S., the White House acknowledged that as of late Tuesday, less than 24 hours before the announcement, some details were still being worked out.