United States and Israel
Military aid, missile defence and political contacts make security a central pillar of the relationship. Technology, trade and investment add another dimension. Military operations and the Palestinian question connect the relationship to regional risks that cannot be explained by a trade figure.
Analysis reviewed: 2026-10-07 · Indicators updated: 2026-10-07Military aid on a budgetary timetable
The 2016 memorandum provides for 38,000 million dollars in assistance for fiscal years 2019–2028, subject to US budgetary decisions.
Missile defence as industrial cooperation
The CRS describes programmes such as Iron Dome, David’s Sling and Arrow within defence cooperation.
The February 2026 escalation
On 28 February 2026, the UN Secretary-General condemned the use of force by the United States and Israel against Iran and the Iranian response in the region, and called for a return to negotiations.
Bilateral indicators
Blank cells: data unavailable.
| Indicator | Value | Period |
|---|---|---|
| Goods trade | 34,445.3 M USD | 2025 · U.S. Census Bureau |
| Goods: United States to Israel | 13,711 M USD | 2025 · U.S. Census Bureau |
| Goods: Israel to United States | 20,734.3 M USD | 2025 · U.S. Census Bureau |
| Services trade | 19,700 M USDUSTR est. | 2025 · USTR |
| Export share: United States to Israel | ||
| Export share: Israel to United States | ||
| Investment stock: United States in Israel | 59,698 M USDBEA est. | 2025 · BEA |
| Investment stock: Israel in United States | 13,431 M USDBEA est. | 2025 · BEA |
Definitions and sources
Trade adds both directions. Shares refer to the country’s total goods exports; investment is an accumulated stock, not an annual flow. Every figure retains the currency and period of its source. BEA positions are historical-cost estimates based on the immediate counterpart, not market values or investment by ultimate owner. ‘More than’ indicates a lower bound, not an exact amount. A recorded stock does not establish new activity or authorisation to operate under sanctions.
- Goods trade
- 2025 · U.S. Census Bureau · Goods for January–December 2025, millions of USD, U.S. reporter. Excludes services, affiliate sales and the addition of mirror reports.
- Goods: United States to Israel
- 2025 · U.S. Census Bureau · Goods for January–December 2025, millions of USD, U.S. reporter. Excludes services, affiliate sales and the addition of mirror reports.
- Goods: Israel to United States
- 2025 · U.S. Census Bureau · Goods for January–December 2025, millions of USD, U.S. reporter. Excludes services, affiliate sales and the addition of mirror reports.
- Services trade
- 2025 · USTR · Bilateral services total estimated and published by USTR. The total is retained, not the sum of rounded components.
- Investment stock: United States in Israel
- 2025 · BEA · Direct investment position at historical cost; immediate counterpart. Not portfolio investment or announced commitments.
- Investment stock: Israel in United States
- 2025 · BEA · Direct investment position at historical cost; immediate counterpart. Not portfolio investment or announced commitments.
Country comparison
Period and source beside each figure · est. = estimate by the stated institution.
| Indicator | United States | Israel |
|---|---|---|
| Nominal GDP | 30.77 trillion USD2025 · WB | 610.78 billion USD2025 · WB |
| GDP per capita | 90,026.52 USD2025 · WB | 60,336.85 USD2025 · WB |
| GDP growth | 2.16 %2025 · WB | 2.93 %2025 · WB |
| Policy interest rate | 3.75–4 %2026-09-16 · Fed | 3.25 %2026-09-01 · BoI |
| Inflation · annual average | 2.7 %IMF est.Annual average · 2025 · IMF | 3.04 %Annual average · 2025 · WB |
| Inflation · latest year-on-year figure | 3.4 %Year-on-year · Aug. 2026 · BLS | 1.5 %Year-on-year · Aug. 2026 · CBS Israel |
| Unemployment | 4.2 %ILO est.2025 · WB | 3.49 %ILO est.2025 · WB |
| Budget balance (% of GDP) | -6.8 %IMF est.2025 · IMF | -5.2 %IMF est.2025 · IMF |
| Gross public debt (% of GDP) | 123.9 %IMF est.2025 · IMF | 68.5 %IMF est.2025 · IMF |
| Current account balance (% of GDP) | -3.63 %2025 · WB | 1.4 %2025 · WB |
| Population | 341,784,8572025 · WB | 10,122,8002025 · WB |
| Area | 9,831,510 km²2023 · BM / FAO | 22,070 km²2023 · WB |
| Military expenditure | ||
| Military expenditure (% of GDP) |
Definitions, dates and sources
Blank cells are not zero. Average annual inflation and the latest year-on-year figure appear in separate rows: they are not the same measure. Every annual indicator retains its reference year; when the years differ, the figures are identified as not directly comparable. When a figure is unavailable from the World Bank, an annual IMF estimate is used and identified as such. The latest year-on-year figure is the latest official release verified as of 7 October 2026. This includes advance releases marked as provisional. Mexico may have a fortnightly figure before the full month is published; it is not automatically compared with a monthly figure. The publication date is retained in each source’s details; it does not replace the observation period or the annual average. Policy rates carry their own dates and represent different instruments. Spain and France share the ECB rate. Balances are positive for surpluses and negative for deficits. The IMF may use fiscal years; unemployment retains each source’s definition (ILO estimates, IMF WEO or PCBS), as stated in the details. For Palestine, debt and the fiscal balance cover central government and retain the PCBS definition; they are not presented as consolidated general government. These are economic magnitudes, not measures of relationship quality.
Area retains each source’s territorial coverage; it does not determine sovereignty or effective control. Canada uses an archived national geographic reference. Military expenditure retains the 2024 SIPRI sample distributed by the World Bank: the amount and percentage of GDP use that same definition, which differs from NATO’s. It is not an approved budget or a 2026 figure. Information from the Stockholm International Peace Research Institute (SIPRI). Military expenditure database · Terms of use0
Indicators reviewed: 2026-10-07. Each source retains its original access date; this review does not turn all the data into 2026 observations. Figures may be revised.
- Nominal GDP
- Current USDUnited States: 2025 · World BankIsrael: 2025 · World Bank
- GDP per capita
- Current USD per personUnited States: 2025 · World BankIsrael: 2025 · World Bank
- GDP growth
- Annual real change (%)United States: 2025 · World BankIsrael: 2025 · World Bank
- Policy interest rate
- Central bank instrument (%)United States: 2026-09-16 · Federal funds target range · Federal ReserveIsrael: 2026-09-01 · Bank of Israel official interest rate · Bank of Israel · Published: 2026-09-01 · Monetary Committee decision of 1 September 2026; next decision announced for 21 October.
- Inflation · annual average
- Average annual change in headline CPI (%)United States: 2025 · Average annual change in headline CPI (%) · IMF — World Economic Outlook · IMF est. · WEO estimate; not the year-on-year change for December or August 2026. · Alternative official source; verified 2026-10-07Israel: 2025 · Annual average change in CPI (%) · World Bank
- Inflation · latest year-on-year figure
- Headline CPI relative to the same period of the previous year (%); monthly or fortnightly frequency statedUnited States: 2026-08 · Headline CPI change relative to the same month of the previous year (%) · U.S. Bureau of Labor Statistics · Published: 2026-09-11 · Headline year-on-year CPI-U, not seasonally adjusted; not monthly or core inflation.Israel: 2026-08 · Change in headline CPI against the same month of the previous year (%) · Israel's Central Bureau of Statistics · Published: 2026-09-15 · Column relative to August 2025: 1.5%. Not the monthly increase (0.7%) or cumulative increase since December 2025 (2.1%).
- Unemployment
- % of the labour force; definition used by the stated institutionUnited States: 2025 · World Bank · ILO est.Israel: 2025 · World Bank · ILO est.
- Budget balance
- General government (% of GDP)United States: 2025 · IMF — World Economic Outlook · IMF est.Israel: 2025 · IMF — World Economic Outlook · IMF est.
- Gross public debt
- General government (% of GDP)United States: 2025 · IMF — World Economic Outlook · IMF est.Israel: 2025 · IMF — World Economic Outlook · IMF est.
- Current account balance
- % of GDPUnited States: 2025 · World BankIsrael: 2025 · World Bank
- Population
- PeopleUnited States: 2025 · World BankIsrael: 2025 · World Bank
- Area
- Total area in km²; territorial coverage of the sourceUnited States: 2023 · Total area including inland waters; territorial coverage of the source · World Bank · FAOIsrael: 2023 · Area according to the series' coverage; does not determine sovereignty or effective control · World Bank
- Military expenditure
- Current USD per year; SIPRI series
- Military expenditure (% of GDP)
- Percentage of GDP; SIPRI definition, not NATO’s definition
Other data specific to this relationship
What they buy and sell
Documented selection, not an exhaustive list. Cells without a figure do not mean zero value; some products are identified without a verified amount.
United States to Israel
| Product or sector | Value / share |
|---|---|
Israel to United States
| Product or sector | Value / share |
|---|---|
How trade has changed
Billions of current USD · full calendar years
View chart figures
| Period | Total | United States to Israel | Israel to United States |
|---|---|---|---|
| 2021 | 31,559.6 | 12,866.9 | 18,692.7 |
| 2022 | 35,615.5 | 14,187 | 21,428.5 |
| 2023 | 34,826.4 | 14,010.7 | 20,815.7 |
| 2024 | 36,977.8 | 14,772.5 | 22,205.3 |
| 2025 | 34,445.3 | 13,711 | 20,734.3 |
Connections between people
The education and travel tables document civilian connections; they are not a census of the entire diaspora or a measure of support for military decisions. [4]
Residents, study and travel
Blank cells: data unavailable. Each measure retains its definition and period.
| Indicator | Value | Period / source |
|---|---|---|
| Residents from United States living in Israel | ||
| Residents from Israel living in United States | ||
| Study and training: United States in Israel | ||
| Study and training: Israel in United StatesStudy and OPT training in the United States | 2,266 | 2024/25 · Open Doors |
| Academic stays: United States in IsraelU.S. study-abroad stays carrying academic credit | 1,655 | 2023/24 · Open Doors |
| Academic stays: Israel in United States | ||
| Travel: United States to Israel | ||
| Travel: Israel to United StatesResidence in Israel; international arrivals | 482,305arrivals | 2025 · NTTO / U.S. Department of Commerce |
What each figure measures
Residents are counted by nationality and the coverage of the stated register, not as people born in the other country or as new arrivals in one year. PERE includes dual nationals and people born outside Spain. Study with OPT and stays carrying academic credit are different measures. Travel may include several visits by the same person; FRONTUR arrivals require an overnight stay, whereas the Canadian survey includes day visits. These figures are neither added together nor automatically compared across directions.
- Study and training: Israel in United States
- Open Doors: place of origin, enrolment and OPT training. Not visas issued or a count of residents. 2024/25 · Open Doors
- Academic stays: United States in Israel
- Open Doors: mobility carrying academic credit reported by U.S. institutions. A different academic year from the count of foreign students. 2023/24 · Open Doors
- Travel: Israel to United States
- International arrivals in the United States by country of residence; not unique visitors, nationality or emigration. Coverage and revisions of the NTTO series. 2025 · NTTO / U.S. Department of Commerce
Mobility data added or reviewed: 2026-10-07. Reference periods may be earlier.
Underlying ties
History, institutions and long-standing issues.
Military aid on a budgetary timetable
The 2016 memorandum provides for 38,000 million dollars in assistance for fiscal years 2019–2028, subject to US budgetary decisions. The CRS report distinguishes military aid from missile defence cooperation. The multi-year commitment is not a single transfer of that amount or a guarantee that every appropriation will be implemented without debate. Different documents are needed to establish deliveries, authorised funds and disbursed funds. [2]
Missile defence as industrial cooperation
The CRS describes programmes such as Iron Dome, David’s Sling and Arrow within defence cooperation. This dimension brings together funding, development and production, not just the supply of finished equipment. It also connects companies and institutions in both countries. Joint programmes do not demonstrate political agreement on every use of force or allow the annual volume of arms delivered to be calculated from an announced budget. [2]
A trade agreement predating digital integration
The bilateral free trade agreement entered into force on 1 September 1985. USTR also documents an agricultural instrument with successive extensions. It estimates services at 19,700 million dollars in 2025. Census goods trade and BEA investment help separate cross-border trade from business activity. The services figure must not be interpreted as the value of technology alone or the total turnover of Israeli companies in the United States. [1]
Business presence has its own measure
BEA positions record direct investment by immediate counterparty and at historical cost. They provide a measure different from trade, an announced acquisition or the stock-market value of technology companies. A transaction routed through a third country may be attributed to that immediate counterparty. The bilateral stock in this table therefore does not aim to measure all US economic exposure to Israel or identify each company's ultimate owner. [4]
Recent developments
Recent developments and latest available data · Reviewed: 2026-10-07
The February 2026 escalation
On 28 February 2026, the UN Secretary-General condemned the use of force by the United States and Israel against Iran and the Iranian response in the region, and called for a return to negotiations. The reference establishes the institutional context of that episode, not a complete account of the war. The regional dimension must be read alongside the bilateral relationship: navigation, third countries' security and human consequences go beyond trade between these two States. [3]
What recorded goods show
In 2025, recorded goods trade was 34,445.3 million USD. Shipments from the United States to Israel were 13,711 million USD, and those in the opposite direction were 20,734.3 million USD. A single reporter is used for both directions. The difference between those flows describes that source's goods balance, not the entire economic balance: services, subsidiary activity and investment have independent measures. [5]
Milestones and consequences
Sources and data
Periods and scope of the figures
Each figure retains its period, currency, definition and source. Blank cells are not zero. Policy documents are distinguished from statistical results, and projects under way from announcements.
- Trade relations and agreements
USTR · Institutional source · Accessed: 2026-10-07
- U.S. Foreign Aid to Israel
Congressional Research Service · Institutional source · Accessed: 2026-10-07
- Statement on the attacks against Iran
United Nations Secretary-General's Office · Institutional source · Document: 2026-02-28 · Accessed: 2026-10-07
- Direct investment positions in the United States
BEA · Institutional source · Accessed: 2026-10-07
- TOTAL rows 2021–2025; goods; US reporter; million USD
U.S. Census Bureau · Institutional source · Accessed: 2026-10-07