US Code

Public Law 119-73 (01/23/2026)

19 U.S.C. § 4452

United States-Israel trade and commercial enhancement

(a)

Findings

Congress finds the following:
(1)
Israel is America’s dependable, democratic ally in the Middle East—an area of paramount strategic importance to the United States.
(2)
The United States-Israel Free Trade Agreement formed the modern foundation of the bilateral commercial relationship between the two countries and was the first such agreement signed by the United States with a foreign country.
(3)
The United States-Israel Free Trade Agreement has been instrumental in expanding commerce and the strategic relationship between the United States and Israel.
(4)
More than $45,000,000,000 in goods and services is traded annually between the two countries, in addition to roughly $10,000,000,000 in United States foreign direct investment in Israel.
(5)
Public Law 112–15022 U.S.C. 8601Public Law 113–296128 Stat. 4075 The United States continues to look for and find new opportunities to enhance cooperation with Israel, including through the enactment of the United States-Israel Enhanced Security Cooperation Act of 2012 (; et seq.) and the United States-Israel Strategic Partnership Act of 2014 (; ).
(6)
It has been the policy of the United States Government to combat all elements of the Arab League Boycott of Israel by—
(A)
public statements of Administration officials;
(B)
50 U.S.C. 460150 U.S.C. 1701 enactment of relevant sections of the Export Administration Act of 1979 ( et seq.) (as continued in effect pursuant to the International Emergency Economic Powers Act ( et seq.)), including sections to ensure foreign persons comply with applicable reporting requirements relating to the Boycott;
(C)
Public Law 94–45590 Stat. 1520 enactment of the Tax Reform Act of 1976 (; ) that denies certain tax benefits to entities abiding by the Boycott;
(D)
ensuring through free trade agreements with Bahrain and Oman that such countries no longer participate in the Boycott; and
(E)
ensuring as a condition of membership in the World Trade Organization that Saudi Arabia no longer enforces the secondary or tertiary elements of the Boycott.
(b)

Statements of policy

Congress—
(1)
supports the strengthening of economic cooperation between the United States and Israel and recognizes the tremendous strategic, economic, and technological value of cooperation with Israel;
(2)
recognizes the benefit of cooperation with Israel to United States companies, including by improving American competitiveness in global markets;
(3)
recognizes the importance of trade and commercial relations to the pursuit and sustainability of peace, and supports efforts to bring together the United States, Israel, the Palestinian territories, and others in enhanced commerce;
(4)
opposes politically motivated actions that penalize or otherwise limit commercial relations specifically with Israel, such as boycotts of, divestment from, or sanctions against Israel;
(5)
section 3501(1)(B) of this title notes that boycotts of, divestment from, and sanctions against Israel by governments, governmental bodies, quasi-governmental bodies, international organizations, and other such entities are contrary to principle of nondiscrimination under the GATT 1994 (as defined in );
(6)
encourages the inclusion of politically motivated actions that penalize or otherwise limit commercial relations specifically with Israel such as boycotts of, divestment from, or sanctions against Israel as a topic of discussion at the U.S.-Israel Joint Economic Development Group (JEDG) to support the strengthening of the United States-Israel commercial relationship and combat any commercial discrimination against Israel; and
(7)
supports efforts to prevent investigations or prosecutions by governments or international organizations of United States persons solely on the basis of such persons doing business with Israel, with Israeli entities, or in any territory controlled by Israel.
(c)

Principal trade negotiating objectives of the United States

(1)

Commercial partnerships

Among the principal trade negotiating objectives of the United States for proposed trade agreements with foreign countries regarding commercial partnerships are the following:
(A)
To discourage actions by potential trading partners that directly or indirectly prejudice or otherwise discourage commercial activity solely between the United States and Israel.
(B)
To discourage politically motivated boycotts of, divestment from, and sanctions against Israel and to seek the elimination of politically motivated nontariff barriers on Israeli goods, services, or other commerce imposed on Israel.
(C)
To seek the elimination of state-sponsored unsanctioned foreign boycotts of Israel, or compliance with the Arab League Boycott of Israel, by prospective trading partners.
(2)

Effective date

This subsection takes effect on , and applies with respect to negotiations commenced before, on, or after such date.

(d)

Report on politically motivated acts of boycott of, divestment from, and sanctions against Israel

(1)

In general

Not later than 180 days after , and annually thereafter, the President shall submit to Congress a report on politically motivated boycotts of, divestment from, and sanctions against Israel.

(2)

Matters to be included

The report required by paragraph (1) shall include the following:
(A)
A description of the establishment of barriers to trade, including nontariff barriers, investment, or commerce by foreign countries or international organizations against United States persons operating or doing business in Israel, with Israeli entities, or in Israeli-controlled territories.
(B)
A description of specific steps being taken by the United States to encourage foreign countries and international organizations to cease creating such barriers and to dismantle measures already in place, and an assessment of the effectiveness of such steps.
(C)
A description of specific steps being taken by the United States to prevent investigations or prosecutions by governments or international organizations of United States persons solely on the basis of such persons doing business with Israel, with Israeli entities, or in Israeli-controlled territories.
(D)
Decisions by foreign persons, including corporate entities and state-affiliated financial institutions, that limit or prohibit economic relations with Israel or persons doing business in Israel or in any territory controlled by Israel.
(e)

Certain foreign judgments against United States persons

Notwithstanding any other provision of law, no domestic court shall recognize or enforce any foreign judgment entered against a United States person that conducts business operations in Israel, or any territory controlled by Israel, if the domestic court determines that the foreign judgment is based, in whole or in part, on a determination by a foreign court that the United States person’s conducting business operations in Israel or any territory controlled by Israel or with Israeli entities constitutes a violation of law.

(f)

Definitions

In this section:
(1)

Boycott of, divestment from, and sanctions against Israel

The term “boycott of, divestment from, and sanctions against Israel” means actions by states, nonmember states of the United Nations, international organizations, or affiliated agencies of international organizations that are politically motivated and are intended to penalize or otherwise limit commercial relations specifically with Israel or persons doing business in Israel or in any territory controlled by Israel.

(2)

Domestic court

The term “domestic court” means a Federal court of the United States, or a court of any State or territory of the United States or of the District of Columbia.

(3)

Foreign court

The term “foreign court” means a court, an administrative body, or other tribunal of a foreign country.

(4)

Foreign judgment

The term “foreign judgment” means a final civil judgment rendered by a foreign court.

(5)

Foreign person

The term “foreign person” means—
(A)
an individual who is not a United States person or an alien lawfully admitted for permanent residence into the United States; or
(B)
a corporation, partnership, or other nongovernmental entity which is not a United States person.
(6)

Person

(A)

In general

The term “person” means—
(i)
a natural person;
(ii)
a corporation, business association, partnership, society, trust, financial institution, insurer, underwriter, guarantor, and any other business organization, any other nongovernmental entity, organization, or group, and any governmental entity operating as a business enterprise; and
(iii)
any successor to any entity described in clause (ii).
(B)

Application to governmental entities

The term “person” does not include a government or governmental entity that is not operating as a business enterprise.

(7)

United States person

The term “United States person” means—
(A)
section 1101(a)(22) of title 8 a natural person who is a national of the United States (as defined in ); or
(B)
a corporation or other legal entity that is organized under the laws of the United States, any State or territory thereof, or the District of Columbia, if natural persons described in subparagraph (A) own, directly or indirectly, more than 50 percent of the outstanding capital stock or other beneficial interest in such legal entity.

Pub. L. 114–125, title IX, § 909130 Stat. 236(, , .)

Editorial Notes

References in Text

Pub. L. 112–150126 Stat. 1146section 8601 of Title 22The United States-Israel Enhanced Security Cooperation Act of 2012, referred to in subsec. (a)(5), is , , , which is classified principally to chapter 93 (§ 8601 et seq.) of Title 22, Foreign Relations and Intercourse. For complete classification of this Act to the Code, see Short Title note set out under and Tables.

Pub. L. 113–296128 Stat. 4075section 8601 of Title 22The United States-Israel Strategic Partnership Act of 2014, referred to in subsec. (a)(5), is , , . For complete classification of this Act to the Code, see Short Title of 2014 Amendment note set out under , Foreign Relations and Intercourse, and Tables.

Pub. L. 96–7293 Stat. 503Pub. L. 115–232, div. A, title XVII, § 1766(a)132 Stat. 223250 U.S.C. 4611The Export Administration Act of 1979, referred to in subsec. (a)(6)(B), is , , , which was classified principally to chapter 56 (§ 4601 et seq.) of Title 50, War and National Defense, prior to repeal by , , , except for sections 11A, 11B, and 11C thereof (, 4612, 4613).

Pub. L. 95–22391 Stat. 1626section 1701 of Title 50The International Emergency Economic Powers Act, referred to in subsec. (a)(6)(B), is title II of , , , which is classified generally to chapter 35 (§ 1701 et seq.) of Title 50, War and National Defense. For complete classification of this Act to the Code, see Short Title note set out under and Tables.

Pub. L. 94–45590 Stat. 1520The Tax Reform Act of 1976, referred to in subsec. (a)(6)(C), is , , . For complete classification of this Act to the Code, see Tables.

Executive Documents

Delegation of Functions

section 4421 of this titleFunctions of President under subsec. (d) of this section assigned to Secretary of State, in consultation with other relevant Federal agencies, see Ex. Ord. No. 13733, § 1(b), , 81 F.R. 49515, set out as a note under .