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Israel

Israel FlagU.S.-Israel Trade Facts

FTA Entered into force September 1, 1985

U.S. goods and services trade with Israel totaled an estimated $47.1 billion in 2016. Exports were $18.3 billion; imports were $28.8 billion. The U.S. goods and services trade deficit with Israel was $10.4 billion in 2016.

Israel is currently our 22nd largest goods trading partner with $35.4 billion in total (two way) goods trade during 2016. Goods exports totaled $13.2 billion; goods imports totaled $22.2 billion. The U.S. goods trade deficit with Israel was $9.0 billion in 2016.

Trade in services with Israel (exports and imports) totaled an estimated $11.7 billion in 2016. Services exports were $5.1 billion; services imports were $6.6 billion. The U.S. services trade deficit with Israel was $1.4 billion in 2016.

According to the Department of Commerce, U.S. exports of Goods and Services to Israel supported an estimated 73 thousand jobs in 2015 (latest data available) (43 thousand supported by goods exports and 30 thousand supported by services exports).

Exports

  • Israel was the United States' 21st largest goods export market in 2016.

  • U.S. goods exports to Israel in 2016 were $13.2 billion, down 2.5% ($343 million) from 2015 but up 20.4% from 2006. U.S. exports to Israel are up 485% from 1985 (pre-FTA). 

  • The top export categories (2-digit HS) in 2016 were: precious metal and stone (diamonds) ($5.1 billion), electrical machinery ($1.6 billion), machinery ($1.4 billion), aircraft ($1.0 billion), and optical and medical instruments ($653 million).

  • U.S. total exports of agricultural products to Israel totaled $566 million in 2016. Leading domestic export categories include: tree nuts ($105 million), corn ($70 million), wheat ($44 million), feeds & fodders nesoi ($38 million), and distillers grains ($34 million).

  • U.S. exports of services to Israel were an estimated $5.1 billion in 2016, 6.2% ($298 million) more than 2015, and 75.3% greater than 2006 levels.  Leading services exports from the U.S. to Israel were in the travel, transport, and professional and management services sectors.

Imports

  • Israel was the United States' 18th largest supplier of goods imports in 2016.

  • U.S. goods imports from Israel totaled $22.2 billion in 2016, down 9.3% ($2.3 billion) from 2015, but up 15.8% from 2006. U.S. imports from Israel are up 994% from 1985 (pre-FTA). U.S. imports from Israel account for 1.0% of overall U.S. imports in 2016.

  • The top import categories (2-digit HS) in 2016 were: precious metal and stone (diamonds) ($7.3 billion), pharmaceuticals ($5.1 billion), electrical machinery ($2.0 billion), optical and medical instruments ($1.4 billion), and machinery ($1.4 billion).

  • U.S. total imports of agricultural products from Israel totaled $367 million in 2016. Leading categories include: snack foods ($63 million), processed fruit & vegetables ($34 million), fresh vegetables ($32 million), planting seeds ($31 million), and tree nuts ($27 million).

  • U.S. imports of services from Israel were an estimated $6.6 billion in 2016, 6.6% ($408 million) more than 2015, and 71.7% greater than 2006 levels.  Leading services imports from Israel to the U.S. were in the research and development, travel, and transport sectors.

Trade Balance

  • The U.S. goods trade deficit with Israel was $9.0 billion in 2016, a 17.7% decrease ($1.9 billion) over 2015.

  • The United States has a services trade deficit of an estimated $1.4 billion with Israel in 2016, down 11.9% from 2015.

Investment

  • U.S. foreign direct investment (FDI) in Israel (stock) was $9.7 billion in 2016, a 6.0% increase from 2015.U.S. direct investment in Israel is led by manufacturing, prof., scientific, and tech. services, and information.

  • Israel's FDI in the United States (stock) was $8.1 billion in 2016, up 9.3% from 2015.Israel's direct investment in the U.S. is led by manufacturing, depository institutions, and real estate.

  • Sales of services in Israel by majority U.S.-owned affiliates were $4.2 billion in 2015 (latest data available), while sales of services in the United States by majority Israel-owned firms were $2.3 billion.