Israel will keep US in the loop regarding major economic deals with China — report

Israel has notified the Biden administration that it will keep it in the loop regarding significant deals it strikes with China and is prepared to re-examine such agreements if the US raises opposition, according to an unsourced Haaretz report.

Through successive administrations, Washington has expressed concern regarding Israel’s warming economic ties with China.

The matter was raised last month during US National Security Adviser Jake Sullivan’s meeting with Foreign Minister Yair Lapid in Jerusalem, according to the report.

While the Biden administration has yet to make specific demands of Israel regarding its relations with China, Jerusalem has begun to hold discussions on the matter aimed at adjusting its policy to better satisfy the Americans, the report says.

Israel has asked the US to offer alternative companies that it could work with instead of Chinese ones, given Washington’s backlash, according to the Haaretz report.

Israel is open to promoting joint initiatives with India and the United Arab Emirates, the report says.

Jerusalem faces a dilemma as it doesn’t want to burn its relations with China by too publicly flaunting its willingness to accede to US demands on the matter.