Core Points - The European Commission has proposed to partially suspend trade-related preferential terms in the EU-Israel Association Agreement due to Israel's actions violating human rights and democratic principles [1] - The humanitarian situation in Gaza has deteriorated sharply due to Israeli military actions, and the advancement of settlement plans in the West Bank threatens the two-state solution [1] - If implemented, Israeli goods exported to the EU will revert to World Trade Organization most-favored-nation treatment, resulting in increased tariffs [1] - The EU is Israel's largest trading partner, accounting for approximately 32% of its global goods trade in 2024 [1] - The European Commission also proposed sanctions against two Israeli ministers and certain violent settlers, as well as listing ten members of Hamas' political bureau for asset freezes and travel bans [1] Group 1 - The European Commission's measures are based on a compliance review of the human rights clause in the EU-Israel Association Agreement [1] - The proposed sanctions require a qualified majority approval from the EU Council and will take effect 30 days after notifying the EU-Israel Association Council [2] - Israel's Foreign Minister criticized the EU's proposed measures as morally and politically distorted, claiming they would harm European interests [2]