Israel’s Import Reform: “What’s Good for Europe Is Good for Israel”

The “What’s Good for Europe Is Good for Israel” reform came into effect at the beginning of 2025, with considerable. This reform allows importers to import diverse products to Israel in a new standardization track, based on compliance with the requirements of strict European regulations and standards (in addition to the currently existing tracks).

In July 2025, additional standards came into effect for hazardous materials, medical devices, elevators and wheelchair lifts, construction materials, batteries, cosmetics, and various types of other products.

To fulfill the requirements under the new track, importers must obtain the requisite documents, including various declarations about the types of goods they are importing into Israel. Any importer, manufacturer, or marketer that violates provisions of the relevant standard will be subject to sanctions, both during an administrative proceeding (pecuniary sanctions) and during a criminal proceeding.

The “What’s Good for Europe” Reform

The “What’s Good for Europe” reform is the second stage of the general reform led by the Israeli Ministry of Economy and Industry. The first stage, called “Not Stopping at the Port,” came into effect in July 2024. Under this stage, numerous products subject to mandatory official standards when being imported into Israel will not be stopped at the ports for inspections, approvals, or other delays, but, rather, will be imported to Israel based on the importer’s declaration.

In the current stage, dozens of European regulations (directives and regulations) in various fields are gradually being adopted into the Israeli Standards Law in various phases from January 1, 2025, until 2028. The purpose of the reform is to provide significant relief to importers, especially parallel importers.

The Reform’s Advantages

• It reduces import costs by aligning with European law and eliminating the need to submit applications through standardization testing laboratories.
• It increases competition by removing bureaucratic barriers and enabling new players to enter the market and increase competition.
• It increases business certainty by adapting the regulatory environment to what is customary in major international markets.

Several European regulations have come into effect since the beginning of the year that may be relied upon for goods imports to Israel, inter alia, in relation to the following products: chemicals, various electrical appliances, personal protective equipment, toys, various consumer goods, and plastics and ceramics that come in contact with food.

It is important to note that although the “What’s Good for Europe” reform was originally intended to apply only to European standards, the Minister of Economy announced a few weeks ago that he is expanding the reform to also apply to American standards. According to the Ministry of Economy, expanding imports from the American market will further encourage competition, introduce fresh players into the economy, and lower prices for the Israeli public.

By expanding the reform, products complying with American standards relevant to Israel will be able to reach Israeli markets more easily, without unnecessary regulations and testing. Accordingly, the import and standardization teams at the Ministry of Economy are currently holding professional discussions about adopting the American standards relevant to Israel, in coordination with all relevant parties.

Beyond the Ministry of Economy’s declared objective of increasing competition in Israel from American imports, it is quite possible the ministry had some qualms about limiting the reform to European standards, since this might create the impression that Israel prioritizes European imports over American imports. A situation like this would be likely to antagonize the United States at a time when it is waging a global trade war and wants to have the State of Israel on its side. Further expanding the reform to American imports will also prevent irate questions from the Americans and will help preserve foreign relations and trade between Israel and the United States.

The Hindrances

Despite the reform’s inherent advantages, there are some salient issues that could hinder its actual implementation:

1. The reform does not apply to all consumer products. Therefore, its potential for lowering the cost of living in Israel – which is its primary goal – is limited from the outset.
2. Notwithstanding the reform’s relief to consumers, it adversely impacts Israeli manufacturers and their employees. It also adversely impacts Israeli and foreign manufacturers that invested considerable resources in adapting their products to the Israeli standards, which are far less important now.
3. Adoption of the reform, and certainly its expansion to include the American standards, means the loss of Israeli sovereignty as pertains to the standards applicable in its territory, due to the fact that, de facto, foreign entities are deciding the standards that apply in Israel.
4. We can assume the Ministry of Economy will invoke the Trade Levies and Safeguard Measures Law more often, since the Israeli standards, which served as a defense mechanism against foreign competition up until now, are becoming less effective.

Considering all these factors, we strongly recommend that relevant importers carefully examine the main principles of the reform and the European directives and regulations (and, later, also the American directives and regulations) that will gradually come into effect. This will help ensure they use the directives to their advantage, and thus import various products to Israel both more easily and in compliance with the statutory and regulatory provisions.

***

Professor Amichai Cohen is a Special counsel on International Law in the firm.