Impact of the Boycott, Divestment, and Sanctions Movement

PURPOSE:

•  To better understand the Boycott, Divestment, and Sanctions (BDS) Movement, and review the economic impact of the Movement on American and Israeli businesses. 
• To review how the goals of BDS may or may not be affected by International Trade Law, U.S. federal law, and state law. 
• To seek to establish the formal position of the Administration with regard to BDS.
• To review potential actions by the Department of State to maintain free and open trade among the U.S., Europe, and Israel.

BACKGROUND:

• BDS is an economic campaign designed to apply pressure on Israel in connection with its negotiations with the Palestinians. 
• The BDS Movement has impacted Israeli businesses and manufacturers, especially those operating in Israeli-occupied territories.  Certain American companies have also been impacted by the BDS Movement.
• The recent Trade Promotion Authority legislation included language directing U.S. trade negotiators to discourage foreign partners from supporting the BDS Movement.
• The U.S. government’s position on the BDS Movement is an open question.