The European Union (EU) is officially reassessing its association agreement with Israel, a decision announced by EU foreign policy chief Kaja Kallas on May 20, 2025, following nearly 20 months of criticism regarding Israel's military actions against Hamas in Gaza.

During a meeting on the same day, EU foreign ministers approved a Dutch proposal to review the Association Agreement with Israel, garnering 17 votes in favor.

The ongoing conflict in Gaza has resulted in over 54,000 Palestinian deaths since October 7, 2023, prompting the EU to consider a stronger response to the humanitarian crisis.

Kallas condemned the dire conditions in Gaza, likening them to a medieval siege characterized by deliberate starvation and ongoing bombardments, and emphasized the need to facilitate humanitarian aid for the affected population.

Critics argue that Israeli aggression in Gaza is leading to its status as a pariah state, with younger generations increasingly disillusioned by the humanitarian crisis.

The EU, as Israel's primary trading partner with bilateral trade valued at 42 billion euros, faces significant economic implications if sanctions are considered.

The Association Agreement, effective since 2000, ties EU-Israel trade relations to the respect for human rights and democratic principles, allowing for potential sanctions if violations are confirmed.

Despite the reassessment, a complete suspension of the agreement is unlikely due to the need for consensus among all 27 EU member states, many of which are reluctant to adopt drastic measures.

The Netherlands, traditionally supportive of Israel, has successfully rallied 16 other EU member states to support the agreement's reassessment based on Article 2, which emphasizes human rights and democratic principles.

A recent meeting of around twenty European and Arab countries in Madrid highlighted the urgent need for a ceasefire, humanitarian aid, and a two-state solution to the conflict.

Looking ahead, a UN conference discussing the two-state solution is scheduled for June 17, 2025, co-led by Saudi Arabia and France, with France planning to recognize Palestine soon.

Previous proposals from countries like Spain and Ireland had failed to gain sufficient support, but recent public pressure has shifted diplomatic attitudes among EU nations.