Canada will introduce restrictions on trade in goods produced in Israeli settlements in the occupied West Bank, Foreign Affairs Minister Anita Anand said Tuesday, as Ottawa joined 11 European countries in a co-ordinated push to pressure Israel over settlement expansion and settler violence.
Anand said in a social media post that Canada will bring in the restrictions “in the coming months.” She described settlements in the West Bank as illegal under international law. “For more than 70 years, successive Canadian governments have held the position that a two-state solution is the way forward for long-term peace that also addresses Israel’s legitimate security concerns,” she wrote. “Illegal settlements in the West Bank significantly undermine these objectives.”
The commitment came in a joint statement from the foreign ministers of Canada, Denmark, Finland, France, Iceland, Ireland, Norway, Poland, Portugal, Spain, Sweden and the United Kingdom, published Tuesday by Global Affairs Canada. The 12 countries confirmed their intention to introduce national restrictions, support European restrictions, or actively consider such measures, in accordance with their own national procedures. The United Kingdom, France and Canada went further, saying they “will bring forward national measures to ban trade in settlement goods.” The statement also noted action already taken by Ireland, Spain, the Netherlands, Norway and Belgium.
The statement said the situation in the West Bank is “rapidly deteriorating amid unprecedented levels of settler violence and settlement expansion,” and singled out what it called the “unacceptable decision to publish tenders for the E1 settlement project.” Western governments have argued the E1 development would cut links between Palestinian communities and make a contiguous Palestinian state harder to achieve.
The signatories said they “firmly oppose actions tantamount to the annexation of Palestinian land and forcible displacement of the Palestinian population,” and called on Israel to halt settlement expansion, ensure accountability for settler violence and investigate allegations against Israeli forces. The statement also condemned the Oct. 7, 2023, Hamas attack, which it called “the worst antisemitic massacre since the Holocaust,” and said the countries recognize Israel’s legitimate security interests and are committed to tackling antisemitism.
Prime Minister Mark Carney issued a separate statement Tuesday afternoon alongside British Prime Minister Andy Burnham and French President Emmanuel Macron. The three leaders said a two-state solution is “a fundamental national interest” of all three countries, that they still want a close and productive partnership with Israel, and that they will co-chair a meeting later this month at the United Nations General Assembly. Carney said the new measures build on his government’s recognition of Palestinian statehood a year ago.
Israel responded within hours. Foreign Minister Gideon Sa’ar told a news conference that Israel will “take counter measures at our discretion against other countries that act, or will act, against Israel.” His remarks focused overwhelmingly on the United Kingdom and he did not name Canada. Sa’ar ordered the closure of the British consulate that oversees the occupied Palestinian territories, the removal of British officials from a Gaza monitoring centre in Israel that Canada helps support, and sanctions on some British nationals, The Canadian Press reported.
It is not clear what steps, if any, Israel might take against Canada, which operates a diplomatic delegation in Ramallah and is a lead country in international efforts to train Palestinian security forces under Operation Proteus.
Israeli President Isaac Herzog, speaking ahead of the announcement, called the move interference in his country’s continuing national election and said it “will prove to be a grave miscalculation, a decision that will fall on the wrong side of history.” He said the restrictions would harm Palestinians by costing them business and employment.
Reaction in Canada divided along familiar lines. Canadians for Justice and Peace in the Middle East welcomed the announcement, with group head Yara Shoufani writing that it “marks the first time that Israel will face material, economic consequences for its blatant violations of international law.” The group argued the measures should extend beyond goods to services, investment and property.
The Centre for Israel and Jewish Affairs said the move will hurt Canada’s economy and reflects “a troubling double standard toward Israel that not only impacts the Middle East but has real consequences here at home,” according to a statement from group head Noah Shack. He noted that Britain paired its announcement with additional funding to protect Jewish community spaces, and said Ottawa should not be imposing punitive measures during an Israeli election campaign.
The Palestinian Authority’s foreign ministry commended Canada, while saying that banning settlement products “must be only the first step toward broader action to dismantle the settlement system and end the occupation.”
Ottawa issued an advisory to Canadian businesses last month warning of the legal, financial and reputational risks tied to commercial activity linked to Israeli settlements in the occupied Palestinian territories, particularly the West Bank and East Jerusalem. Tuesday’s announcement did not specify which goods will be covered, how the restrictions will be enforced, or exactly when they take effect.
Sources: Global Affairs Canada, “Joint Statement of the Foreign Ministers of Canada, Denmark, Finland, France, Iceland, Ireland, Norway, Poland, Portugal, Spain, Sweden and the UK on the Two-state Solution,” Sept. 8, 2026. Additional reporting by Dylan Robertson, The Canadian Press, Sept. 8, 2026.
