New Delhi, April 2 -- Israel has cancelled import duties and tariffs on all American goods, a day before US President Donald Trump is scheduled to announce reciprocal tariffs on trading partners. The order was issued under the directive of Israeli Prime Minister Benjamin Netanyahu by Finance Minister Bezalel Smotrich and Economy and Industry Minister Nir Barkat.

The US is Israel's largest trading partner and one of its closest allies. As of 2024, the export of goods to the US stood at USD 17.3 billion, while the export of services was at USD 16.7 billion.

The Israeli government cited the 1985 Free Trade Agreement with the US, under which the majority (nearly 99 per cent) of goods imported from the US are already exempt from customs duti...