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Netanyahu vows to 'eliminate' US-Israel trade deficit

Donald Trump and Benjamin Netanyahu during an arrival ceremony outside the West Wing of the White House
Donald Trump and Benjamin Netanyahu during an arrival ceremony outside the West Wing of the White House

Israel will "eliminate" its trade deficit with the United States, Prime Minister Benjamin Netanyahu said during a White House visit, as the world reels from stinging tariffs imposed by US President Donald Trump.

"We will eliminate the trade deficit with the United States... We think it's the right thing to do," Mr Netanyahu told reporters in the Oval Office, saying he felt Israel could serve "as a model for many countries".

Separately, President Trump said that the US and Iran are participating in direct talks over the Middle Eastern country's nuclear programme.

"We're having direct talks with Iran, and they've started. It'll go on Saturday. We have a very big meeting, and we'll see what can happen. And I think everybody agrees that doing a deal would be preferable," Mr Trump told reporters.

Mr Netanyahu is the first foreign leader to personally plead for a reprieve from stinging US tariffs that have shaken the world.

Mr Netanyahu and Mr Trump also discussed Gaza, where a short-lived US-brokered truce between Israel and Hamas has collapsed, and growing tensions with Iran.

Mr Trump greeted Mr Netanyahu outside the West Wing and pumped his fist, before the two leaders - both wearing dark suits, red ties and white shirts - went inside for a meeting in the Oval Office.

During his last visit, Mr Netanyahu and Mr Trump both spoke to reporters in the Oval Office and then held a press conference.

The Israeli premier's visit is his second to Mr Trump since the US president returned to power and comes at short notice - just days after Mr Trump slapped a 17% tariff on Israel in his "Liberation Day" announcement last week.

Mr Trump refused to exempt the top beneficiary of US military aid from his global tariff salvo as he said Washington had a significant trade deficit with Israel.

Mr Netanyahu said on his way to Washington yesterday that they would discuss "the hostages, achieving victory in Gaza, and of course the tariff regime that has also been imposed on Israel".

"I'm the first international leader, the first foreign leader who will meet with President Trump on a matter so crucial to Israel's economy," he said in a video statement.

"There is a long line of leaders who want to do this. I believe this reflects the special personal relationship and the unique bond between the United States and Israel, which is so vital at this time."

Mr Netanyahu met US Commerce Secretary Howard Lutnick and US Trade Representative Jamieson Greer last night soon after his arrival, according to his office.

The Israeli premier also met Mr Trump's special Middle East envoy Steve Witkoff today.

Attack on paramedics

Israel's war in Gaza, sparked by Hamas's October 2023 attack, and the fate of the Israeli and US hostages still held in Gaza will be a major subject of discussion.

Israel resumed intense strikes on Gaza on 18 March, and the weeks-long ceasefire with Hamas that the United States, Egypt and Qatar had brokered collapsed.

Mr Trump has so far backed Israel to the hilt, accusing Hamas of failing to release the hostages.

The United States has also brushed off an incident in which 15 medics and rescuers were killed by Israeli forces last month in Gaza, sparking international condemnation.

Israel's army chief today ordered a "deeper" investigation into the attack.

France's President Emmanuel Macron said he had organised a call to Mr Trump with the leaders of Egypt and Jordan during a visit to Cairo, with the leaders also calling for an immediate return to the truce.

The leaders also insisted that the Palestinian Authority alone must be in charge of the post-war governance of Gaza - rejecting Mr Trump's plan for the US to "own" the enclave after the war.

On Iran, Mr Trump has been pressing for "direct talks" with Tehran on a new deal to curb the Islamic republic's nuclear programme.

But Iranian foreign ministry spokesman Esmail Baghai said Tehran's proposal for indirect negotiations was "generous, responsible and wise".

There has been widespread speculation that Israel, possibly with US help, might attack Iranian facilities if no agreement is reached.

Mr Netanyahu arrived direct from a visit to Hungary where Prime Minister Viktor Orban pulled his country out of the International Criminal Court (ICC) because the court issued an arrest warrant for the Israeli leader over the Gaza war.

Both leaders also spoke by phone with Mr Trump on Thursday.