The Government of Israel approved a proposal regarding the ban on importing into Israel commodity items produced entirely or in part using forced labor.

Sources from the Vietnam Trade Office in Israel state that on July 26, 2026, the Government of Israel approved a proposal regarding the ban on importing into Israel commodity items produced entirely or in part using forced labor.

This is a step bearing major significance in moral, economic, and strategic terms, consolidating the State's commitment in the fight against human trafficking and forced labor, while simultaneously protecting the interests of the Israeli economy.

Specifically, the Government Resolution of this country requires the Minister of Economy and Industry to issue regulations banning the import of products produced using forced labor, in alignment with standards accepted under international law.

Simultaneously, an inter-ministerial working group chaired by the National Economic Council under the Prime Minister's Office will continue constructing an effective execution and enforcement mechanism to submit to the Government for approval within 90 days.

This move is expected to consolidate the position of Israeli exporters in the international market, improve Israel's trade conditions with key partners, and diminish trade barriers causing detriment to the competitive capacity of the Israeli economy.

As part of the decision, a comprehensive enforcement mechanism will be established, encompassing the designation of an authorized decision-making body, establishing professional criteria to identify products produced using forced labor, creating a reporting mechanism, and establishing appeal and review mechanisms to ensure effective enforcement, stability for importers, and the maintenance of fair trade rules.

Previously, on July 24, 2026, the US applied a 12.5% tariff rate on imports from Israel. The administration of President Donald Trump imposed new 12.5% tariff rates on imported goods from Israel as part of a series of far-reaching trade measures affecting over 80 US trade partners, and this order took effect immediately prior to midnight on July 23, 2026, when temporary tariff rates expired.

Israel bears the highest tariff rate of 12.5% on tech commodities, food, consumer goods, and chemicals in the latest tariff-imposition round announced by the Office of the United States Trade Representative (USTR) on the evening of July 23, 2026, with the new tariff rates taking effect from midnight the same day US time, whereas nations including Canada, Mexico, and Jordan were subject to tariff rates reduced down to 10%.

In 2025, two-way goods trade between the two countries reached 3.63 billion USD, up 11.8%; within which Vietnam's exports reached 865 million USD, up 8.9% compared to 2024.

In the first 6 months of 2026, bilateral trade turnover between Vietnam and Israel is estimated at approximately 1.93 billion USD, up 5.5% compared to the same period in 2025. Within which, Vietnam's exports to Israel reached approximately 555 million USD, up 35.7%, while imports from Israel reached approximately 1.13 billion USD, decreasing slightly by around 0.8%.

In the export commodity structure, seafood continues to serve as one of the prominent commodity groups, with seafood turnover in the first 6 months reaching approximately 40 million USD, up around 30.7% compared to the same period last year. Israel currently serves as Vietnam's largest tuna import market in the Middle East region.

The Vietnam Trade Office in Israel forecasts that if current growth momentum is maintained and the market experiences no abnormal volatilities, full-year two-way trade exchange in 2026 could reach approximately 3.9 billion USD, within which Vietnam's exports could reach over 1 billion USD.

Alongside the Constitution and legal normative documents on labor thoroughly prohibiting all forced labor practices, the Government of Vietnam also recently issued Decree No. 292/2026/ND-CP detailing a number of articles and measures to execute the Law on Foreign Trade Management, which supplements regulations banning the import of products and goods extracted, produced, or manufactured entirely or in part using forced labor.

The issuance of the Decree demonstrates the determination of the Government of Vietnam in perfecting legal frameworks, fully implementing ILO conventions alongside other international commitments, and enhancing transparency and sustainability across supply chains.

Source: Bao Tai chinh - Dau tu