Despite the ongoing illegal Israeli activities in Palestine, the Albanese government refuses to stop trading with a state credibly accused of genocide. Kellie Tranter of Declassified Australia.
The depth and breadth of Australia’s ongoing political and economic relationships with Israel and Israeli businesses can’t be viewed as anything but a deliberate and brazen disregard for our legal obligations under international law.
The Albanese government’s latest decision not to follow Britain’s lead and sanction products from occupied Palestine reveals an unwillingness to take any substantive steps to economically isolate the Jewish state.
In its Advisory Opinion of 19 July 2024, the International Court of Justice (ICJ) identified a range of obligations arising for states in dealings with Israel, including a duty of distinguishing between its own territory and the Occupied Palestinian Territory (OPT).
The ICJ said this included an obligation to abstain from entering into economic or trade dealings with Israel concerning the OPT (or any part of it) which may entrench its unlawful presence in the territory and to take steps to prevent trade or investment relations that assist in the maintenance of the illegal situation created by Israel in the OPT.
In his December 2024 legal opinion, Dr Ralph Wilde, Professor of International Law at University College London, confirmed that:
“The Israeli presence in the OPT is linked to the Israeli state, including its military, and the Israeli economy and society, including cultural, sporting and educational life, in a complex and multifaced manner so as to be factually and legally inextricable. In consequence, when it comes to the behaviour of third States, and the EU, and all other actors, in their relations with the Israeli state, including the Israeli military, the Israeli economy, and other Israeli actors, including Israeli companies, and universities, it is impossible, because of the way things operate, to meaningfully disaggregate relations that are, one way or another, connected to the Israeli presence in the OPT, and relations that are entirely free of such a connection…” [Emphasis added]
This is consistent with the original UK Foreign Office view that “it [is] impossible to distinguish between products emanating from illegal settlements and those from Israel. The UK officially regards all Israeli civilian settlements built on territories captured during the 1967 Six-Day War as illegal under international law.”
Never an objective player in Middle East politics, even the UK is prepared to respond to public pressure, and risk incurring Israeli Prime Minister Benjamin Netanyahu’s inevitable wrath, by banning at least the import of products from illegal West Bank settlements.
Given the incredible turnout for the Harbour Bridge protest in Sydney in support of Palestine on 3 August 2025, any similar proposal by the Australian government would probably enjoy even greater public support here.
Australia embraces trade with Israel
As a proponent of and claimed adherent to international law, the Australian government would or at least should be well aware of its obligations under the ICJ Opinion, which are separate from and quite independent of its duties in relation to the genocide in Gaza, yet it repeatedly has done nothing beyond imposing personal sanctions on a few lawless ‘settlers’.
At the same time, it has repeatedly breached its obligations by participating in or encouraging activities that flagrantly breach them.
Examples abound, but perhaps the most extraordinarily egregious is that on 25 March 2025 the trade and commercial arm of the Israeli Embassy in Australia, TradeIL Australia – headquartered in Sydney but without a published street address – was permitted to
call for Australian investment in Israeli war bonds.
In its media release, ‘Strengthening Ties: Investing in Israel’s Bonds from Australia,’ TradeIL states:
The phrase “war bonds” conjures images of national unity and financial mobilization, reminiscent of the UK’s efforts during World War II. These instruments served a dual purpose: fuelling the war effort and allowing citizens to actively participate in their nation’s defence. Today, Israel’s increased issuance of government bonds to fund its ongoing conflict draws a clear parallel, albeit with a crucial distinction.
Like their historical counterparts, these Israeli bonds are fundamentally designed to finance the escalating costs of conflict. This includes substantial military expenditures, critical infrastructure repairs, and the broader financial burdens of a nation at war. However, unlike the WW2 models, which primarily targeted domestic populations, Israel is actively marketing its bonds on a global scale, seeking investment from international markets.
Beyond the immediate context of conflict financing, Israeli government bonds present a compelling proposition for investors seeking diversification and stability. In a climate of economic uncertainty, these bonds offer a potential alternative to term deposits, promising attractive yields, capital preservation, and a hedge against market volatility. Their consistent income streams can surpass domestic cash rates, acting as a defensive bulwark during downturns.
For Jewish Australian investors, incorporating these bonds into a portfolio can enhance diversification. By spreading investments across different currencies and economic cycles, reliance on a single market is reduced, bolstering overall resilience. Israeli bonds, with their solid credit ratings (A, A, Baa1), exemplify this potential, offering exposure to global markets while mitigating localised risks.’ [Emphasis added]
The Australian government has taken an equally appalling approach to attempts by Israelis to sell ‘homes’ on unlawfully occupied Palestinian land as reported in the The West Report by doing nothing to outlaw the acts of local groups pursuing these acts.
Aerial view of damaged collapsed buildings caused by Israeli airstrikes in Al-Zahra, near Gaza city, November 2023. Photo: UNRWA.
Turning to more conventional financial dealings, in November 2025 the Australia Israel Exchange (AUXiL) – an initiative of a group called CBD Chabad Sydney (which functions as a registered charity) – officially launched as ‘an open-sourced, collaborative marketplace where Australians and Israelis can meaningfully engage across investment, entrepreneurship, defence innovation, and R&D. [AUXiL aims] to become one of Sydney’s leading gateways into Israeli innovation and commercial partnership.’
Uni protests prevail at UTS
At the AUXiL launch, former Israeli Trade Commissioner Ohad Blumberg’s is reported as ‘underscoring AUXiL’s strong collaborative partnerships with the Israel Trade Commission and Technion Australia…a leading public research university located in Haifa, Israel’.
It is worth remembering that in June 2025 the University of Technology Sydney (UTS) cut ties with Technion – the Israeli Institute of Technology – after almost a year of consistent pressure, campaigning, and coordinated actions by students and staff.
UTS campaigners argued that, ‘Technion has been a core part of Israel’s military and weapons development since 1948. It is deeply enmeshed with the Israeli arms industry, contributing to the ongoing genocide in Gaza through helping Israeli weapons companies such as Elbit and Rafael develop military technology. Technion helped develop the remote controlled D9 bulldozers used to demolish Palestinian homes in the occupied territories.’
Also presenting at AUXiL’s official launch was Jonathan Hulaty, Senior Director at Elbit Systems Australia, a leading Israeli arms manufacturer, who ‘offered an inside look at both national and global achievements of Elbit’s Australian operations, providing rare insight into the technological and defence capabilities that define Israel’s contribution to global innovation.’
In February 2026, Ohad Blumberg, the same former Israeli Trade Commissioner, was interviewed in a SBS Hebrew podcast in which he highlighted that he was an Israeli diplomat who formed part of Israel’s Ministry of Economy and Industry, which manages the country’s economic policy, trade relations, industry growth, and labour regulations.
He said: “We promote Israeli businesses, technologies and commercial partnerships in the geographies where we are positioned and what we do in the day to day is we are actually the face of Israeli industry in Australia or in New Zealand, in my case, and we are actively promoting the Israeli technologies, founders and companies in order to enter the Australian market, engage more with the Australian corporate world and to attract investments into the Israeli economy…
“So think of us as business development managers of the entire Israeli technology economic ecosystem. So what we do on a daily basis, we scout for opportunities for the Israeli companies – they are our, if you want to call it, our customers – and we provide them with business opportunities and we can do that in very different ways…”
Israeli company surge in Australia
In response to a specific question about attitudes towards Israeli trade post October 7, 2023, Blumberg expressed very little concern:
Obviously October 7 was a turning point in terms of Israel in general and in the Israeli economy more broadly and it did affect our activity because in any conflict it’s not good for business, however, I would have to say we were able to navigate and adjust our activity to make it more appropriate in how we do things for example because we couldn’t take a lot of delegations from Australia to Israel, we put a focus on bringing more delegations from Israel to Australia and we have managed to do a lot of things virtually or to substitute things that were supposed to be physical in Israel to virtual activity.
We saw a surge of Israeli companies coming to tour around Australia and we assisted them with business introductions and with their meetings here and around Australia…. Obviously there were very, very minimal resentment, and I have to say minimal resentment, but the vast majority of interactions and introductions that were made were very, very much welcomed.
Blumberg made special mention of Israeli companies that are market leaders operating in Australia such as Netafim, Monday.com and SodaStream but also referred to
“more than 400 Israeli companies every year that are active in the Australian market.”
Netafim was specifically criticised in the 2025 report ‘From economy of occupation to economy of genocide’ by UN Special Rapporteur, Francesca Albanese:
“Netafim, a global leader in drip irrigation technology, now 80 per cent owned by the Mexican company Orbia Advance Corporation, has designed its agritech in concert with the expansion imperatives of Israel. While maintaining a global image of sustainability, Netafim technology has enabled intensive exploitation of water and land in the West Bank, further depleting Palestinian natural resources, while being refined through collaboration with Israeli military-technology firms.
I”n the Jordan Valley, Netafim-aided irrigation systems have facilitated Israeli crop expansion, while Palestinian farmers – denied water and with 93 per cent unirrigated land – are pushed out, unable to compete with Israeli production. Furthermore, such irrigation techniques threaten to exhaust the Jordan River and Dead Sea.
“Companies such as Netafim continue to manufacture food security for Israelis, while the food system to which they belong causes food insecurity – and even famine – for others. Netafim brands itself as a sustainable innovator, while perfecting age old techniques of colonial exploitation.”
Corporate links to oppression of Palestinians
Monday.com has been named by the BDS movement and others as being indirectly linked to the OPTs because it pays taxes that fund the Israeli Army (IDF), ultimately contributing directly to the occupation of Palestinian territories and ongoing instances of violence, discrimination, and oppression of the Palestinian people .
As to SodaStream, in November 2025 the International Centre of Justice for Palestinians (ICJP) wrote to four major UK-based suppliers alerting them to potential legal and regulatory exposure arising from its continued sale of its products linked to illegal Israeli settlements in the occupied Palestinian territory, noting that:
“Until 2015, its principal manufacturing facility was located in Ma’ale Adumim, an illegal Israeli settlement in the occupied West Bank. Following sustained international criticism, the company relocated operations to the Negev (Naqab) region inside Israel. However, multiple independent reports indicate that the current facility is situated adjacent to, and benefits from, the displacement of unrecognised Bedouin communities, whose homes have been demolished to make way for industrial expansion, including SodaStream’s plant.
“Palestinian workers at SodaStream factories have also highlighted exploitative labour practices, lack of religious accommodations and discriminatory treatment. Workers have been fired when raising these concerns.”
Genocide is no barrier to investment in Israel
In a July 2026 interview just prior to the conclusion of his four-year term as Israel’s Trade Commissioner, the same Ohad Blumberg confirmed that ‘bilateral trade between Israel and Australia now sits at $US1.9 billion – an eight per cent increase on the previous year and higher than pre-war 2022 levels.
Of the current figure, he revealed that about 87 per cent of that trade flows from Israeli exports to Australia and of that, some $US1.2 billion worth is in services, mostly in high-tech … Australia now ranks as the sixth-leading destination globally for Israeli tech companies….more than 150 Israeli companies now have local operations in Australia, describing it as an all-time peak, alongside the trade figure total itself.
Cyber security remains “by far” the largest area of activity and deal flows, followed by agTech, healthcare services and medTech…’ [Emphasis added]
He identified those as the next frontier in the trade relationship’s potential, while noting that Israel and Australia are both founding members of the Pax Silica treaty, aimed at streamlining the AI value chain, from critical minerals to data centres.
Israeli soliders operating in Gaza, October 2024. Photo: IDF Spokesperson’s Unit.
Pax Silica Declaration is a United States-led international partnership launched on December 12, 2025, to secure supply chains for artificial intelligence (AI), semiconductors, and critical minerals among allied nations.
The initiative was originally signed in Washington, D.C. by representatives from the United States, Australia, the United Kingdom, Japan, South Korea, Singapore, and Israel. It is an agreement [emphasis added] ‘to partner on building secure, prosperous and innovative global technology supply chains. Secure supply chains are critical to ensuring technological progress and economic security in Australia’s interests.’
The Australian government continues to grapple with the AI era, and putting aside questions of some partners’ trustworthiness, partnering with Israel at all on artificial intelligence (AI) and surveillance technologies creates severe legal and ethical risks under international law due to their widely reported deployment in military targeting and mass surveillance across the occupied Palestinian territories.
Little has changed since 7 October 2023 in reducing the business interest between Israel and Australia. For example, it’s currently being advertised that The Jerusalem Post Group’s Asia-Pacific Summit is set to take place in Sydney later in the year, to ‘convene senior business leaders, investors, entrepreneurs, policymakers, philanthropists, community leaders, and innovators from Australia, Israel, and the broader Asia-Pacific region for a high-level gathering focused on strengthening economic, strategic, and communal ties between Australia and Israel.’
The listed speakers include Lt Col (res) Jonathan Conricus, former IDF International Spokesperson, Ayelat Shaked, Israel’s former Minister of Justice (who was denied a visa by the Australian government in 2024), Jacob Nagel, former Israeli acting National Security Adviser, Admiral Michael S Rogers, Former Director of the US National Security Agency (NSA), Commander of US Cyber Command and Chief of the Central Security (and now a partner in Israeli venture capital group Team8 and advisory committee chairman for cyber unicorn Claroty).
It is astounding that all of this can be occurring on Australian soil when one considers Australia’s obligations under international law.
Global government responses
Spain has taken a more principled stance.
In September 2025, it enacted bans on imports of all products from illegal Israeli settlements in the Palestinian territories, along with bans on defence materials and technologies.
In May, the Council of Ministers in the Netherlands agreed to ban the trade in goods from illegal Israeli settlements and is investigating whether a ban on services and investments is also possible.
In June, Norway put forward a proposal for a bill banning trade with Israeli settlements in Palestine which is now being circulated for general consultation.
In July, France warned companies that doing business in illegal Israeli settlements in the Occupied Palestinian Territory could expose them to being found responsible for violations of international law.
Also in July, Ireland – another European Union country – passed legislation banning the import of goods from illegal Israeli settlements in the occupied West Bank and East Jerusalem, following the 2024 International Court of Justice (ICJ) advisory opinion declaring Israeli settlements illegal under international law
The UK government has this week unveiled a ban on the trade of goods and some services from Israeli settlements in the West Bank after promising to take a tougher stance in support of Gaza. The decision also comes in response to plans in the occupied West Bank, in which Israel issued tenders for 1,200 homes as part of the E1 settlement project.
Is Australia doing anything?
Instead of legislating like Ireland or Spain, or even issuing guidelines like the UK or France, the Australian government is not openly doing anything to comply with its obligations under international law. In fact, as the representative illustrations above show, it is actively encouraging or tacitly facilitating behaviour that contravenes it.
The Treasury Laws Amendment (Divesting from Illegal Israeli Settlements) Bill 2024 was introduced by Senator Lidia Thorpe (co-introduced with Senator Fatima Payman) in the Australian Senate on 28 November 2024 for the purpose of amending the Future Fund Act 2006 and other legislation to stop financial investments by Australia’s sovereign wealth fund and registered charities in companies operating within illegal Israeli settlements.
The bill failed to proceed due to a lack of support from the major political parties.
Declassified Australia wrote to the Department of Foreign Affairs and Trade asking it to confirm whether DFAT has issued any notices, advice or guidelines to Australian businesses following the findings of the International Court of Justice in 2024 about the illegal occupation of Palestinian land. If so, what was the advice or guidelines and when was it issued?
DFAT did not respond to our questions.
This story was originally published in Declassified Australia.
Wong, Farrell, DFAT duck for cover on rising Israel trade, genocide risk
Kellie Tranter is a lawyer, researcher and human rights activist.