US embassy says Occupied Territories Bill 'risks real unintended consequences' and is 'unhelpful'

by · TheJournal.ie

LAST UPDATE | 15 hrs ago

THE US EMBASSY in Ireland has said the Occupied Territories Bill “risks real unintended consequences” for nearly a thousand American companies and “the hundreds of thousands of Irish jobs tied to them”.

The embassy released a statement this evening criticising the bill, which passed last week and was signed into law by President Catherine Connolly on Thursday. 

“If the goal is to make a meaningful difference for Palestinians, the focus should be on coordinated international efforts that deliver real impact, not symbolic measures that harm Ireland’s economy and will not advance peace,” the embassy said. 

“We urge Ireland to avoid pushing similarly unhelpful initiatives at the EU-level.”

The long-awaited bill was first proposed by senator Frances Black in 2018.

Now called the Israeli Settlements in the Occupied Palestinian Territory (Prohibition of Importation of Goods) Bill 2026, it makes the importation of goods originating in certain Israeli settlements in the Gaza Strip and the West Bank a criminal offence.

In its original form, it sought to implement a full ban on goods and services with the occupied Palestinian territories.

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But services was dropped, a move which has been heavily criticised by opposition parties and Frances Black, who has said she will be “fighting tooth and nail” to get a ban on the trade of services with illegal Israeli settlements passed in September.

Taoiseach Micheál Martin said such a ban was “simply not implementable” and would also “potentially damage Ireland more than anybody else in terms of potential impacts on US multinationals here, back in America”.

Not including services goes against the recommendation of the Oireachtas Foreign Affairs Committee, whose members include government party members, who recommended that services be included.

Last year, a group of US politicians urged the country’s treasury secretary Scott Bessent to examine if the bill would breach American anti-boycott laws.

Israel’s allies in the US also sent a letter to the Taoiseach last year urging him not to pass the bill, arguing it would “economically target” and “demonise” the Israeli state.

In the letter, which was signed by 23 members of congress, they said they were “deeply concerned” about Ireland’s characterisation of Israel’s actions in Palestine as genocide.

The politicians said if the bill passed, it would amount to “singling out Israel”, making it a “pariah” on the world stage.

‘Outrageous threat’

In a statement to The Journal, senator Frances Black said she had “no interest in advice on what can make ‘a meaningful difference for Palestinians’ from the Ambassador of a State that has armed and funded their genocide.

“The Irish people are committed to justice, accountability and respect for international law, as are the Palestinian colleagues and friends I’ve been proud to work with. We’ll keep going.”

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People Before Profit’s Paul Murphy has said that the government should tell the Trump administration to “back off”.

Murphy said the statement from the US embassy is an “outrageous threat against Ireland” and that it is “totally unacceptable for the Trump administration to make such threats”.

He added that while the Israeli Settlements Bill is “much more limited in its effect than most people wanted, the Irish people will not accept any bullying from Trump and his cronies”.

“Ireland will not take any lectures from a government that has armed and continues to arm genocide,” said Murphy.

“The Irish people have been threatened before and have always stood their ground. We will do so again now.”

He said there “must be no more government kowtowing to the US” and added that it is “unthinkable that the government would invite Trump to Ireland”.

“The government should immediately call in the US ambassador and tell him in no uncertain terms that US threats will not be tolerated and that Trump needs to back-off.”