The Trade Relationship Between the U.S. and Israel — Who Gives What?
The Trade Relationship Between the U.S. and Israel — Who Gives What?
Today we’ll explore how two of the world’s strongest allies — the United States and Israel — exchange goods, technology, and innovation.
And how their relationship is not just about trade, but also about politics, defense, and technology.
Their partnership began in 1948,
when Israel became an independent state —
and the United States was one of the first countries to officially recognize it.
Since then, their bond has grown deeper —
not only politically, but also through economic, technological, and military cooperation.
Today, the two nations trade over $40 billion worth of goods and services every year,
with hundreds of products, technologies, and innovations moving between them daily.
🇺🇸 What the U.S. Exports to Israel
Let’s start with what America provides to Israel:
🔹 1. Defense and Military Equipment
The U.S. supplies Israel with F-35 fighter jets, missile systems, bulletproof tank parts, and advanced drone technology —
worth nearly $3 billion every year.
🔹 2. Industrial and Tech Products
Israel imports computer chips, electronic components, and software systems made in America.
🔹 3. Agriculture and Food
Though Israel has advanced farming technology,
it still imports wheat, corn, grains, and dairy products from the U.S.
🔹 4. Medical Equipment
Israel uses American-made diagnostic machines, sensors, and vaccine-related devices.
🔹 5. Aviation and Transport
Parts from U.S. giants like Boeing are used in Israel’s aviation industry.
🇮🇱 What Israel Exports to the U.S.
Now let’s see what Israel sends back to the American market:
🔹 1. Diamonds and Jewelry
Israel is one of the world’s biggest diamond processing hubs —
many polished diamonds sold in the U.S. come from Israel.
🔹 2. Pharmaceuticals
Israeli company Teva Pharmaceuticals is one of the world’s largest producers of generic drugs,
supplying medicines to hospitals and pharmacies across the U.S.
🔹 3. High-Tech and Software
Israel is a leader in cybersecurity, artificial intelligence, and cloud software,
providing critical tech solutions to American companies.
🔹 4. Medical Devices
Israeli innovations like heart monitors and smart therapy machines are used in U.S. hospitals.
🔹 5. Agricultural Technology
Israel’s drip irrigation and water-saving systems are used even in America’s driest regions.
💱 Trade Balance
Each year, the U.S. exports about $20 billion worth of goods to Israel,
and Israel exports roughly $20 billion back —
making the trade relationship almost perfectly balanced.
In fact, the U.S. is one of Israel’s largest trading partners,
accounting for nearly 25% of all Israeli exports.
🛡️ Defense and Security Cooperation
Beyond trade, their defense partnership runs deep.
The U.S. provides Israel with about $3.8 billion in military aid annually,
helping fund defense systems like the famous Iron Dome,
which can intercept missiles in mid-air.
In return, Israel contributes cutting-edge cybersecurity and intelligence technology to the U.S.
Many American agencies rely on Israeli-developed software for protection and surveillance.
America gives Israel power, weapons, and economic support,
while Israel gives back innovation, intelligence, and advanced technology.
Their relationship is not just about money —
it’s a symbol of trust, cooperation, and shared strength
that continues to shape the future of both nations.
