Should the U.S. Oppose Politically-Motivated Boycotts of Israel by International Organizations? (S. 720)

What is S. 720?

(Updated July 3, 2021)

This bill would declare that Congress opposes United Nations Human Rights Council resolutions to blacklist and boycott companies that do business in Israel or countries friendly to the U.S. It would prohibit U.S. companies engaged in interstate or foreign commerce from requesting the imposition of a boycott of a country friendly to the U.S., or supporting a boycott fostered or imposed by an international organization against Israel.

The Export-Import Bank would have the ability to deny credit applications for the export of goods and services between the U.S. and foreign countries because of actions that are politically motivated and are intended to penalize or limit commercial relations with Israeli citizens, entities, or the government of Israel.

This legislation would not alter established U.S. policy “concerning final status issues with the Arab-Israel conflict, including border delineation that can only be resolved through direct negotiations between the parties.” It also wouldn’t make any U.S. policy statement about settlements in contested territories.

Federal law has prohibited participation in other nation’s economic boycotts since 1977, which is enforced through the Office of Antiboycott Compliance, violations of which are punishable by fines and potentially jail time. This legislation broadens that to include boycotts promoted by international organizations.

Argument in favor

The U.S. should use its diplomatic and economic position to oppose efforts to boycott, divest from, or sanction Israel — which is the best ally America has in the Middle East.

Argument opposed

The U.S. should allow American companies to boycott Israel without any punishment. Economic pressure is the only way the Israeli government will change its policy in Palestine.

Impact

People and businesses engaged in interstate commerce that want to boycott Israel or countries friendly to the U.S.; the Export-Import Bank; Israel and other countries friendly to the U.S. targeted by economic boycotts.

Cost of S. 720

A CBO cost estimate is unavailable.

Additional Info

In-Depth: Sponsoring Sen. Ben Cardin (D-MD) introduced this bill to combat the anti-Israel boycott, divestment, and sanctions (BDS) movement following a UNHRC resolution supporting a blacklisting of companies that do business in the West Bank and other contested territories:

“The United States should bring its foreign policy and its economic institutions, its relationships, and its leverage to bear to combat boycott, divestment, and sanctions against Israel. We should not stand idle when foreign countries or international governmental organizations use BDS tactics to isolate one of our key allies. We cannot allow these attempts to bypass direct negotiations between Israel and the Palestinians to go unchecked.”

Lead cosponsor, Sen. Rob Portman (R-OH), added:

“This bipartisan legislation sends a clear message that politically-motivated boycotts of Israel are unacceptable to the United States. I’m pleased to introduce this bill that say the United States stands against illegitimate attempts to isolate our ally Israel or impose policy solutions to issues that can only be resolved through direct negotiations between the Israelis and the Palestinians.”

The American Civil Liberties Union expressed its opposition to this bill on First Amendment grounds:

“It would expand the laws to prohibit boycotts called for by international organizations, like the United Nations and the European Union; it would threaten sanctions against people who boycott businesses operating in Israeli settlements in the occupied Palestinian territories; and it would prohibit even requests for information about companies’ business relationships with Israel and Israeli companies. This expansive language would likely chill a wide range of political activity in the United States directed at the Israeli government — activity that is constitutionally protected, regardless whether members of Congress agree with it.”

This legislation has the bipartisan support of 45 cosponsors in the Senate, including 31 Republicans and 14 Democrats.

Media:

• Sponsoring Sen. Ben Cardin (D-MD) Press Release
  
• Daily Beast
  
• Boston.com
  
• Independent
  
• The Intercept
  
• Office of Antiboycott Enforcement (Context)
  
• AIPAC (In Favor)
  
• ACLU (Opposed)