June 17, 2026
Dear Honourable Ministers,
We, the undersigned humanitarian and human rights organizations, write to urge you to ban all trade and business between Canada and Israel's illegal settlements, as necessary for Canada to comply with international law.
In a landmark advisory opinion issued on July 19, 2024, the International Court of Justice (ICJ) found Israel’s very presence in the Occupied Palestinian Territory (OPT) to be illegal and marred by very serious abuses, including racial segregation and apartheid (par. 225-229). The Court made clear that Israel’s settlements, old and new alike, are illegal, should be evacuated, and the land returned to Palestinians, along with reparations (270).
Laying out existing obligations under international law, the ICJ found that all states are under an obligation “not to render aid or assistance in maintaining” the illegal situation, and to ensure it is “brought to an end” (279). Specifically on trade, the Court identified an obligation for states “to distinguish in their dealings with Israel between the territory of the State of Israel and the Palestinian territory occupied since 1967” and “to take steps to prevent trade or investment relations that assist in the maintenance of the illegal situation created by Israel in the Occupied Palestinian Territory” (278).
The Canada-Israel Free Trade Agreement (CIFTA) is in blatant violation of those obligations, as it not only allows goods made in Israeli settlements to enter the Canadian market, but even extends to them the same preferential treatment as to those made in Israel.
We note that in Europe, where a differentiation policy has long been in place, setting different tariffs between Israel and the settlements, several countries have introduced a full ban on trade with settlements to comply with the ICJ ruling, and efforts are ongoing towards an EU-wide ban.
In fact, tariffs do not prevent trade; at best, they make it less profitable; but goods and services originating from Israel’s illegal settlements continue to flow towards Europe, inevitably contributing to the settlements’ economy. Furthermore, any claim of deterrence provided by tariffs must be matched against the documentation of massive fraud and mislabeling, with goods made in the settlements effectively sold as “made in Israel” and hence benefitting from tariffs reduction, as well as against Israel’s subsidies policy towards the settlements.
As this illegal situation persists, Israel’s violations of human rights and international humanitarian law throughout the Occupied Palestinian Territory, the occupied Syrian Golan, and Lebanon have reached unprecedented levels, causing suffering to millions in the region. The list includes, among others, acts of genocide, crimes against humanity, ethnic cleansing, and the use of starvation as a weapon of war; unlawful airstrikes, including against humanitarian personnel and convoys, against civilian targets with no apparent military objective in the area, the use of white phosphorus munitions in populated areas, the targeting of journalists, and the use of explosive weapons in densely populated areas; the war crime of forced displacement in the West Bank, Syrian Golan Heights, and likely in Lebanon, and the crime against humanity of forced displacement in Gaza; and credible allegations of widespread torture.
Persistent impunity and failure to comply with international law, including by Canada and Canadian businesses, is fueling all this. We therefore call on the government to immediately take the following actions:
- Introduce legislation to ban trade with and investments in settlements: Propose legal acts banning all imports and exports of goods and services from and to Israel’s illegal settlements as well as investments therein; and
- Issue a business advisory: Pending the adoption of such legislation, publish an advisory document discouraging Canadian businesses from activities benefitting Israeli settlements. We note that Canada recently advised businesses not to bid for construction tenders for E1 or other settlement developments. This advisory should go significantly further by discouraging all trade with settlements and engagement with Israeli banks and enterprises operating in illegal settlements due to the significant risk of contributing to serious human rights violations and breaches of international law.
We look forward to a prompt reply and hope Canada will swiftly take the measures necessary to comply with international law and to end complicity in abuses.
Sincerely,
Amnesty International Canadian Section (English speaking)
Canadians for Justice and Peace in the Middle East (CJPME)
Canadian Muslim Public Affairs Council (CMPAC)
Development and Peace - Caritas Canada
Human Rights Watch
Independent Jewish Voices
Justice For All Canada
Mennonite Church Canada Palestine-Israel Network
Oxfam Canada
Oxfam-Québec
Saskatoon Chapter of Canadians for Justice and Peace in the Middle East (CJPME Saskatoon Chapter)
United Network for Justice and Peace in Palestine/Israel
