Netanyahu’s far-right allies hail U.S. shift on ‘two states’

Donald Trump and Benjamin Netayahu

By Jeffrey Heller

JERUSALEM (Reuters) – Prime Minister Benjamin Netanyahu’s far-right political allies hailed on Thursday a shift in U.S. support for a Palestinian state and shrugged off a call by President Donald Trump to curb Israeli settlements on occupied land.

In his first face-to-face meeting with Netanyahu as president, Trump on Wednesday dropped a U.S. commitment to a two-state solution to the Israeli-Palestinian conflict, the longstanding bedrock of Washington’s Middle East policy.

The Republican president said he would accept whatever peace solution the Israelis or Palestinians chose, whether it entailed two states or one. “I can live with either one,” said Trump.

The ultranationalist Jewish Home party in Netanyahu’s coalition claimed some of the credit for the shift.

“What we did … definitely helped change the picture,” Justice Minister Ayelet Shaked of Jewish Home said on Army Radio, referring to its pressure on Netanyahu ahead of his trip.

Party leader Naftali Bennett, an advocate of annexing parts of the occupied West Bank the Palestinians want in any future state, was equally upbeat in comments on Facebook.

“The Palestinian flag has been lowered and replaced by the Israeli flag,” said Bennett, who is battling Netanyahu for right-wing voters but whose party is crucial for the cohesion of the governing coalition.

NETANYAHU GOT “WHAT HE WANTED”

Before Netanyahu’s trip, Bennett had said on Facebook “the earth will shake” if the prime minister used the words “two states” or “Palestine” in Washington. And he didn’t.

Netanyahu, who first conditionally backed Palestinian statehood in 2009, did not explicitly rule out a homeland for the Palestinians during his talks with Trump but he meticulously avoided using the term “two-state” in his remarks.

Political commentator Sima Kadmon, writing in Israel’s Yedioth Ahronoth newspaper, said right-wingers had every reason to cheer but added that Netanyahu’s arm had needed no twisting when it came to Palestinian statehood.

“Netanyahu received exactly what he wanted from the American president. One state, two states — what difference does it make? That is precisely the attitude Netanyahu wanted to see from the president – someone who doesn’t have the foggiest clue what he is talking about,” she said.

By contrast, Palestinians voiced alarm at the change in U.S. tone. In a statement, President Mahmoud Abbas reiterated his commitment to a two-state solution and demanded a halt to settlement expansion.

In the radio interview, Shaked played down Trump’s surprise call on Netanyahu to “hold back on settlements for a bit”, suggesting it was not a precise demand for a total freeze.

In a statement this month welcomed by Israeli officials, the White House reversed a long-standing policy of condemning building on occupied land, though it also said building new settlements or expanding existing ones may not be helpful in achieving peace.

Since Trump took office on Jan. 20, Israel has announced plans for almost 6,000 more settlement homes in the West Bank and East Jerusalem, drawing European and Palestinian condemnation but none from the White House.

(Editing by Gareth Jones)

Trump to welcome Netanyahu as Palestinians fear U.S. shift

Benjamin Netanyahu

By Luke Baker

WASHINGTON (Reuters) – President Donald Trump prepared to host Israeli Prime Minister Benjamin Netanyahu on Wednesday for talks that could shape the contours of future Middle East policy, as Palestinians warned the White House not to abandon their goal of an independent state.

For decades, the idea of creating a Palestine living peacefully alongside Israel has been a bedrock U.S. position, though the last negotiations broke down in 2014.

But in a potential shift, a senior White House official said on Tuesday that peace did not necessarily have to entail Palestinian statehood, and Trump would not try to “dictate” a solution.

As Trump and Netanyahu prepared to meet, a senior Palestinian official disclosed that on Tuesday, CIA director Mike Pompeo held talks with Palestinian President Mahmoud Abbas in Ramallah, the seat of the Palestinian government in the occupied West Bank.

“(It was) the first official meeting with a high-profile member of the American administration since Trump took office,” said the official, who spoke on condition of anonymity and declined to disclose details of the discussion.

Netanyahu committed, with conditions, to the two-state goal in a speech in 2009 and has broadly reiterated the aim since. But he has also spoken of a “state minus” option, suggesting he could offer the Palestinians deep-seated autonomy and the trappings of statehood without full sovereignty.

Palestinians reacted with alarm to the possibility that Washington might ditch its support for an independent Palestinian nation.

“If the Trump Administration rejects this policy it would be destroying the chances for peace and undermining American interests, standing and credibility abroad,” Hanan Ashrawi, a senior member of the Palestine Liberation Organization, said in response to the U.S. official’s remarks.

“Accommodating the most extreme and irresponsible elements in Israel and in the White House is no way to make responsible foreign policy,” she said in a statement.

Husam Zomlot, strategic adviser to Abbas, said the Palestinians had not received any official indication of a change in the U.S. stance.

“NO GAPS”

For Netanyahu, the talks with Trump will be an opportunity to reset ties after a frequently combative relationship with Democrat Barack Obama.

The prime minister, under investigation at home over allegations of abuse of office, spent much of Tuesday huddled with advisers in Washington preparing for the talks. Officials said they wanted no gaps to emerge between U.S. and Israeli thinking during the scheduled two-hour Oval Office meeting.

Trump, who has been in office less than four weeks and has already been immersed in problems including the forced resignation of his national security adviser, brings with him an unpredictability that Netanyahu’s staff hope will not impinge on the discussions.

During last year’s election campaign, Republican candidate Trump was relentlessly pro-Israel in his rhetoric, promising to move the U.S. embassy from Tel Aviv to Jerusalem, backing David Friedman, an ardent supporter of Jewish settlements, as his Israeli envoy and saying that he would not put pressure on Israel to negotiate with the Palestinians.

That tune, which was music to Netanyahu’s ears and to the increasingly restive right-wing within his coalition, has since changed, making Wednesday’s talks critical for clarity.

Trump appears to have put the embassy move on the backburner, at least for now, after warnings about the potential for regional unrest, including from Jordan’s King Abdullah.

And rather than giving Israel free rein on settlements, the White House has said building new ones or expanding existing ones beyond their current borders would not be helpful to peace.

That would appear to leave Israel room to build within existing settlements without drawing U.S. condemnation, in what is the sort of gray area the talks are expected to touch on.

For the Palestinians, and much of the rest of the world, settlements built on occupied land are illegal under international law. Israel disputes that, but faces increasing criticism over the policy from allies, especially after Netanyahu’s announcement in the past three weeks of plans to build 6,000 new settler homes in the West Bank and East Jerusalem.

(Additional reporting by Matt Spetalnick and Steve Holland in Washington and Maayan Lubell and Jeffrey Heller in Jerusalem; Editing by Mark Trevelyan)

Israeli PM seeks ‘no gaps’ with Trump ahead of White House talks

Israeli Prime Minister Benjamin Netanyahu

By Luke Baker

WASHINGTON (Reuters) – Prime Minister Benjamin Netanyahu, preparing for his first meeting with President Donald Trump at the White House, will work with advisers on Tuesday to align Israeli and U.S. thinking on the Middle East and ensure “no gaps” remain.

Staff have cleared most of Tuesday for discussions with Israel’s ambassador to the United States, Ron Dermer, and other senior advisers ahead of Wednesday’s Oval Office meeting. The only event of the day is an evening meeting with U.S. Secretary of State Rex Tillerson.

“There isn’t going to be any daylight, no gaps,” one adviser said as the prime minister left for Washington, the first time Netanyahu, the head of a right-wing coalition, has overlapped with a Republican in the White House in four terms in office.

Those reassurances came as Netanyahu took a cautious line on whether he would support a two-state solution to the Israeli-Palestinian conflict, the bedrock of U.S. diplomacy for two decades, when he sits down with Trump.

During the presidential campaign, Trump was often unabashedly pro-Israel, promising to move the U.S. embassy from Tel Aviv to Jerusalem, backing David Friedman, a supporter of settlements, as his envoy to Israel, and saying that he wouldn’t apply pressure for talks with the Palestinians.

But in the three-and-a-half weeks since taking office, positions have shifted. The embassy transfer has been put on hold as the fallout from such a move, not least the potential for unrest across the Middle East, has been explained, including by Jordan’s King Abdullah during an impromptu visit.

When it comes to settlements, Trump has laid out a more nuanced position, saying that while he does not see them as an obstacle to peace, building new ones or expanding existing ones beyond their current boundaries is “not good”.

And rather than no pressure for peace talks, Trump has said he wants to have a go at the “ultimate deal”. In an interview with newspaper Israel Hayom last week, he urged Israel to act “reasonably” in the Middle East peace process.

LEADERS IN LOCKSTEP

For Netanyahu, under investigation at home in two criminal cases involving allegations of abuse of office, ensuring he and Trump are in lockstep is critical to putting the friction of the Obama administration behind him and laying the ground for a more fruitful relationship with the United States.

At a time when the Middle East is in turmoil and Palestinian politics is fractured by long-standing divisions between the Western-backed Fatah party and the Islamist group Hamas, Israeli officials argue that the time is not ripe for peace.

But while Netanyahu has announced plans for 6,000 more settlement homes, he is also uneasy about pressure from the far-right in his coalition for more dramatic steps, such as the annexation of parts of the West Bank, which the Palestinians want for their own state together with Gaza and East Jerusalem, or the rejection of a Palestinian state altogether.

Netanyahu’s task during the scheduled two-hour meeting with Trump will be to find common ground on both the settlements issue and the prospects for a two-state solution to the conflict: Israel and a Palestine side by side and at peace.

The prime minister committed to the two-state goal in 2009 and has reiterated the position since. But on Monday, a senior minister in his cabinet said no ministers, foremost Netanyahu, truly believed in the emergence of a Palestinian state.

Officials with Netanyahu declined to comment on the remark. But Netanyahu has spoken of a “state minus”, something short of full sovereignty for the Palestinians. It was unclear if the contours of that idea would be discussed with Trump.

As well as Palestinian issues, the two leaders will discuss regional stability and the threat from Iran, with both intent on re-examining and strengthening the nuclear deal with Tehran.

“The alliance between Israel and America has always been extremely strong and it’s about to get even stronger,” Netanyahu said as he prepared to leave Israel on Monday.

“Donald Trump and I see eye-to-eye on the dangers emanating from the region but also on the opportunities. We’ll talk about both as well as upgrading the relations between Israel and the United States in many, many fields.”

Aside from Trump and Tillerson, Netanyahu will meet Senate Majority Leader Mitch McConnell, Senate Minority Leader Chuck Schumer, House Speaker Paul Ryan and Vice President Mike Pence during the Feb. 13-16 visit.

(Writing by Luke Baker; Editing by Mary Milliken)

Netanyahu opposes Palestinian state, Israeli minister says ahead of U.S. visit

Israeli Prime Minister Benjamin Netanyahu (R) stands next to Republican U.S. presidential candidate Donald Trump during their meeting in New York, U.S.

By Jeffrey Heller

JERUSALEM (Reuters) – Benjamin Netanyahu opposes a Palestinian state, a senior Israeli cabinet member said on Monday, but left it unclear whether the prime minister would say that publicly in talks with U.S. President Donald Trump in Washington this week.

Netanyahu has never explicitly abandoned his conditional support for a future Palestine, and his spokesman did not respond immediately to a request to comment on Public Security Minister Gilad Erdan’s remarks.

Erdan belongs to Netanyahu’s right-wing Likud party, whose leading members have often espoused a harder line than the prime minister himself.

“I think all members of the security cabinet, and foremost the prime minister, oppose a Palestinian state,” Erdan told Army Radio after the forum met on Sunday on the eve of Netanyahu’s departure for Washington for talks with Trump on Wednesday.

“No one thinks in the next few years that a Palestinian state is something that, God forbid, might or should happen,” he said in the interview.

But asked if Netanyahu would voice opposition to statehood on camera when he meets Trump, Erdan said: “The prime minister has to weigh things according to what he feels in the meeting and the positions he encounters there. No one knows what the positions of the president and his staff are.”

Palestinians seek to establish a state in the occupied West Bank and the Gaza Strip with East Jerusalem as its capital. Israel captured those areas in a 1967 war and pulled its troops and settlers out of Gaza in 2005.

NUANCED

Citing Israeli settlement activity, Palestinian leaders and the former U.S. administration of Barack Obama have questioned Netanyahu’s commitment, which he first made in a 2009 policy speech, to the so-called two-state solution to decades of conflict.

“It is not only their statements – what the government of the extreme right in Israel does on the ground prevents any chance of the establishment of a Palestinian state,” Wasel Abu Youssef, an official of the Palestine Liberation Organization, said of Erdan’s comments.

Since Trump took office last month, Netanyahu has approved construction of 6,000 settler homes in the West Bank and East Jerusalem, drawing international condemnation which the White House did not join.

In recent days, however, the Trump administration has taken a more nuanced position, saying building new settlements or expanding existing ones may not be helpful in achieving peace.

Netanyahu has spelled out terms for a future Palestine: its demilitarization, the stationing of Israeli troops in its territory and Palestinian recognition of Israel as the “nation-state” of the Jewish people.

Last month, Israel’s Haaretz newspaper said Netanyahu, in a closed-door meeting with Likud ministers, coined a new term “Palestinian state-minus” to describe his vision of limited Palestinian sovereignty.

Under interim peace deals, Palestinians, who number about 2.5 million in the West Bank, currently exercise limited self-rule in the territory, where some 350,000 Israeli settlers live.

Some members of Netanyahu’s government have called for the annexation of parts of the West Bank, a demand he has resisted.

(Additional reporting by Nidal al-Mughrabi in Gaza; Editing by Maayan Lubell and Janet Lawrence)

Islamic State-linked group claims rocket attack on Israeli resort

FILE PHOTO: An Islamic State flag is seen in this picture

GAZA (Reuters) – An Islamic State-affiliated group claimed responsibility for firing rockets on Thursday towards Israel’s Red Sea resort of Eilat from Egypt’s Sinai peninsula, an attack that Israel said caused no damage or casualties.

The Sinai Province group said it fired “a number of Grad rockets against gatherings of Zionist occupiers” in Eilat.

In an apparently unrelated incident several hours after the rockets were fired, two Palestinians were killed along Gaza’s border with Egypt when a tunnel beneath the frontier was bombed, Gaza’s Health Ministry said, blaming Israel. An Israeli military spokeswoman said she had no information about an Israeli strike.

Israel’s military said that of the rockets launched from the Sinai towards Eilat one landed harmlessly in an open area and the others were intercepted by its Iron Dome anti-missile system.

“What is coming is graver and more bitter,” Sinai Province said on Telegram, an encrypted instant messaging system used by ISIS to communicate with followers.

Islamic State-linked groups waging an insurgency against Egypt in the Sinai have claimed responsibility for past rocket attacks in the Eilat area.

Egypt, which has destroyed some 2,000 smuggling tunnels on the Gaza border, has accused the Palestinian enclave’s Islamist ruling movement, Hamas, of aiding Islamic State-linked militants in the Sinai. Hamas denies the allegation.

The Israel-Gaza border has been largely quiet in recent months, but on Monday a Palestinian rocket launched from the enclave drew several Israeli strikes against Hamas targets.

(Reporting by Nidal al-Mughrabi, Maayan Lubell and Omar Fahmy; Editing by Nick Macfie and Richard Lough)

Rights groups challenge Israel’s new settlements law in court

view of houses in Israeli settlement in West Bank

By Maayan Lubell

JERUSALEM (Reuters) – Rights groups petitioned Israel’s Supreme Court on Wednesday to annul a heavily criticized law that retroactively legalized some 4,000 settler homes built on privately owned Palestinian land in the occupied West Bank.

The law, approved by parliament on Monday, has drawn condemnation from Europe and the United Nations and has been described by Israel’s attorney general as unconstitutional.

Acting on behalf of 17 Palestinian villages and towns, The Legal Center for Arab Minority Rights in Israel (Adalah), and the Jerusalem Legal Aid and Human Rights Center also asked the court for an injunction in order to stop any registration of the plots as under settler ownership.

The Supreme Court has in the past supported Palestinian property rights and annulled laws it deemed unconstitutional.

The legal process in some of those cases took months, though the court usually rules on injunction requests within days.

Palestinian President Mahmoud Abbas called the law an aggression against the Palestinian people and threatened to suspend security cooperation with Israel if its ramp-up of Israeli settlements continued.

On Tuesday Federica Mogherini, the European Union’s foreign policy chief, said that if implemented, the measure would cross a new and dangerous threshold.

U.N. Secretary-General Antonio Guterres said the action went against international law, while French President Francois Hollande said it paved the way for the annexation of territory Palestinians want as part of a future state.

The administration of new U.S. President Donald Trump has so far signaled a softer approach toward Israeli settlement policy. Trump will meet with Israeli Prime Minister Benjamin Netanyahu in Washington on Feb 15.

Most countries consider Israeli settlements built on land captured in the 1967 Middle East War as illegal and obstacles to peace.

Some 550,000 Israelis live in the West Bank and in East Jerusalem, which was also seized by Israel in 1967, among 2.6 million Palestinians who want those territories for a future state.

In January, Israel announced it would build about 6,000 new homes in the two areas, to which it cites biblical, historical and political connections.

(Additional reporting by Luke Baker; Editing by Jeffrey Heller and John Stonestreet)

United Nations, EU condemn Israel legalizing settlements on Palestinian land

European Union foreign policy chief condenming israel

BRUSSELS/UNITED NATIONS (Reuters) – The European Union’s foreign policy chief and the United Nations secretary-general on Tuesday criticized an Israeli move to legalize thousands of settler homes on Palestinian land in the occupied West Bank.

The EU’s Federica Mogherini said that the law, if it was implemented, crossed a new and dangerous threshold.

“Such settlements constitute an obstacle to peace and threaten the viability of a two-state solution,” she said.

“(It) would further entrench a one-state reality of unequal rights, perpetual occupation and conflict,” she said, highlighting that the EU sees Israeli settlements in the occupied Palestinian territories as illegal.

The Israeli parliament passed the legislation two weeks after the inauguration of President Donald Trump as the new U.S. president. Trump has signaled a softer approach to the settlement issue than that of the previous U.S. administration.

It retroactively legalizes about 4,000 settler homes built on privately owned Palestinian land.

U.N. Secretary-General Antonio Guterres said the action went against international law and would have legal consequences for Israel.

“The Secretary-General insists on the need to avoid any actions that would derail the two-state solution,” his spokesman Stephane Dujarric said in a statement, referring to longstanding international efforts to resolve the Israeli-Palestinian conflict.

French President Francois Hollande also added his voice to the condemnation, saying it paved the way for the annexation of the occupied Palestinian territories.

“I think that Israel and its government could revise this text,” Hollande said at news conference after meeting Palestinian President Mahmoud Abbas.

Abbas called the law an aggression against the Palestinian people. Other Palestinian leaders described it as a blow to their hopes of statehood.

Most countries consider the settlements, built on land captured by Israel in the 1967 Middle East War, illegal and an obstacle to peace as they reduce and fragment the territory Palestinians seek for a viable state in the West Bank, East Jerusalem and the Gaza Strip.

Israel disputes this and cites biblical, historical and political connections to the land, as well as security needs.

Though the legislation was backed by Prime Minister Benjamin Netanyahu’s right-wing coalition, it has raised tensions in the government. Israel’s attorney-general has said the law is unconstitutional and that he will not defend it at the Supreme Court.

A White House official said on Monday that, given the new law is expected to face challenges in Israeli courts, the United States would withhold comment for now.

The Trump administration has signaled a far softer approach to the settlement issue than that of the Obama administration, which routinely denounced settlement announcements.

(Writing by Gabriela Baczynska; Editing by Angus MacSwan)

Netanyahu, Trump align on Iran ahead of Israeli leader’s visit

Benjamin Netanyahu and Donald Trump

By Jeffrey Heller and Matt Spetalnick

JERUSALEM/WASHINGTON (Reuters) – Seizing on an Iranian missile test, Israeli Prime Minister Benjamin Netanyahu and new U.S. President Donald Trump are nearing common ground on a tougher U.S. policy towards Tehran ahead of their first face-to-face talks at the White House.

But people familiar with the Trump administration’s thinking say that its evolving strategy is likely to be aimed not at “dismantling” Iran’s July 2015 nuclear deal with six world powers – as presidential candidate Trump sometimes advocated – but tightening its enforcement and pressuring the Islamic Republic into renegotiating key provisions.

Options, they say, would include wider scrutiny of Iran’s compliance by the U.N. nuclear watchdog (IAEA), including access to Iranian military sites, and removing “sunset” terms that allow some curbs on Iranian nuclear activity to start expiring in 10 years and lift other limits after 15 years.

In a shift of position for Netanyahu, all signs in Israel point to him being on board with the emerging U.S. plan. Two years ago, he infuriated the Obama White House by addressing the U.S. Congress to rally hawkish opposition to a budding Iran pact he condemned as a “historic mistake” that should be torn up.

As Trump and Netanyahu prepare for their Feb. 15 meeting, focus has shifted to Iran’s ballistic missile test last week.

The White House said the missile launch was not a direct breach of the nuclear deal but “violates the spirit of that”. Trump responded by slapping fresh sanctions on individuals and entities, some of them linked to Iran’s elite Revolutionary Guards (IRGC).

A U.N. Security Council resolution underpinning the nuclear pact urges Iran to refrain from testing missiles designed to be able to carry nuclear warheads, but imposes no obligation.

However, Trump tweeted, “Iran is playing with fire” and “they don’t appreciate how ‘kind’ President Obama was to them. Not me!” Trump’s national security adviser, Michael Flynn, said Washington was putting Tehran on notice over its “destabilising activity”. Netanyahu “appreciated” the comments.

Tehran bristled, warning that “roaring missiles” would fall on its enemies if its security is threatened. It also said its military would never initiate a war.

MEETING OF MINDS OVER MISSILE TEST

Beyond the rhetoric, the missile test gave the new Republican president and the conservative Israeli leader – who had an often acrimonious relationship with Trump’s Democratic predecessor Barack Obama – an early chance to show they are on the same page in seeking to restrain Iranian military ambitions.

Netanyahu wrote on Facebook last week: “At my upcoming meeting with President Trump in Washington, I intend to raise the renewal of sanctions against Iran in this context and in other contexts. Iranian aggression must not go unanswered.”

In London for talks with British Prime Minister Theresa May on Monday, Netanyahu said “responsible” nations should follow Trump’s imposition of new sanctions as Iran remained a deadly menace to Israel and “threatens the world”.

Netanyahu also said Washington should lead the way, with Israel and Britain, in “setting clear boundaries” for Tehran.

But he stopped short of any call to cancel the nuclear accord. Israeli officials privately acknowledged that he would not advocate ripping up a deal that has been emphatically reaffirmed by the other big power signatories – Britain, France, Germany, Russia and China – since Trump’s election victory.

Russia said on Monday it disagreed with Trump’s assessment of Iran as “the number one terrorist state” and a Russian diplomat said any move to rework the nuclear pact would inflame Middle East tensions. “Don’t try to fix what is not broken,” Deputy Foreign Minister Sergei Ryabkov said.

Iran has ruled out reworking the deal, and Trump’s stance could weaken the hand of pragmatists in Tehran who have been willing to negotiate a detente with the West after decades of volatile confrontation, a former senior Iranian official said.

Under the accord, Tehran received relief from global economic sanctions and in return committed to capping its uranium enrichment well below the level needed for bomb-grade material, cutting the number of its centrifuge enrichment machines by two-thirds, reducing its enriched uranium stockpile and submitting to a more intrusive IAEA inspections regime.

Diplomats close to the IAEA consider the deal a success so far, voicing little concern with overall Iranian compliance – despite Netanyahu’s insistence that it will only pave the Islamic Republic’s path towards nuclear weapons once major restrictions expire 15 years after its signing.

PRESSURE POINTS OTHER THAN SCRAPPING DEAL

With German, French and British firms busy cultivating new business with Iran, Washington’s peers in the six-power group almost surely would rebuff any U.S. thrust to reopen the deal.

Daniel Shapiro, who recently ended his tenure as U.S. ambassador to Israel under Obama, told Reuters he would be surprised if Trump and Netanyahu “determined so early in the time working together that they would rather scrap that agreement than try to enforce it in a tough manner and put other pressures unrelated to that deal on the Iranians”.

Some foreign policy experts say U.S. efforts to tighten the screws on Iran could seek to goad it into ditching the nuclear accord in hopes that Tehran – and not Washington – would then have to shoulder international blame for its collapse.

According to Israel’s Haaretz newspaper, an Israeli intelligence assessment recently presented to Netanyahu said revoking the pact would be an error, causing a chasm between Washington and other signatories like Russia and China.

Amos Yadlin, former head of Israeli military intelligence, said there were many areas outside the deal where pressure could be applied on Iran to change what he called its negative behavior of “subversiveness, supporting terrorism”.

But beyond new sanctions and sharpened rhetoric, analysts say, it is unclear how far Trump could go. Arguments for restraint would include the risk of military escalation in the Gulf, out of which 40 percent of the world’s seaborne crude oil is shipped, and strong European support for the nuclear deal.

Though the new U.S. strategy is in the early stages of development, the Trump administration, the sources say, is considering a range of measures, including seeking “zero tolerance” for any Iranian violations.

Trump’s aides accused the Obama administration of turning a blind eye to some alleged Iranian infractions to avoid anything that would undermine confidence in the integrity of the deal. Obama administration officials denied being “soft” on Iran.

Other U.S. strategy options, the sources say, include sanctioning Iranian industries that aid missile development and designating as a terrorist group the Revolutionary Guards, accused by U.S. officials of fuelling Middle East proxy wars. That designation could also dissuade foreign investment in Iran because the Guards oversee a sprawling business empire there.

The administration, one source said, is counting on the Europeans to eventually get on board since their companies might think twice about closing major deals in Iran for fear new “secondary” U.S. sanctions would penalize them too.

(Additional reporting by Maayan Lubell and Luke Baker in Jerusalem, Jonathan Landay in Washington, Francois Murphy and Shadia Nasralla in Vienna, Parisa Hafezi in Ankara, Andrew Osborn and Maria Tsvetkova in Moscow; editing by Mark Heinrich)

Israel’s Netanyahu urges Britain to join Iran sanctions

Britain and Israel leaders

By Michael Holden and William James

LONDON (Reuters) – Israeli Prime Minister Benjamin Netanyahu urged “responsible nations” to join new sanctions against Iran on Monday during a visit to London, but Britain defended a nuclear deal sealed between major powers and Tehran.

Ahead of his talks with British Prime Minister Theresa May, Netanyahu said other nations should follow new U.S. President Donald Trump’s imposition of sanctions against Iran following a ballistic missile test.

“Iran seeks to annihilate Israel. It seeks to conquer the Middle East, it threatens Europe, it threatens the West, it threatens the world. And it offers provocation after provocation,” Netanyahu told May ahead of their meeting.

“That’s why I welcome President Trump’s assistance of new sanctions against Iran. I think other nations should follow suit, certainly responsible nations. I’d like to talk to you about how we can ensure that Iran’s aggression does not go unanswered.”

May’s spokeswoman said the British leader had repeated her backing for the nuclear deal with Tehran – which is strongly opposed by both Netanyahu and Trump – but said there was a need to “rigorously monitor” Iran’s behavior.

“The prime minister made clear that we support the deal on nuclear that was agreed,” the spokeswoman told reporters, when asked whether Britain was considering joining new sanctions.

“What happens now is that (the nuclear deal) needs to be properly enforced, and we also need to be alert to Iran’s pattern of destabilizing activity in the region.”

Earlier the spokeswoman said May would also tell Netanyahu that continued Israeli settlement activity in occupied lands captured in the 1967 Middle East War on which the Palestinians hope to create independent state undermined trust in the region.

“STRONG AND CLOSE ALLY OF ISRAEL”

Despite their differences, London has adopted a more positive approach to Israel since May became leader after last year’s vote to leave the European Union, echoing the more sympathetic tone set by Trump, with whom Britain wishes to secure a post-Brexit trade deal.

May told Netanyahu that Britain was a “strong and close friend of Israel”, and highlighted their co-operation in science, trade and security.

They agreed to set up a working group to develop trade ties both before and after Brexit, the spokeswoman said.

Last month Britain said it had reservations about a French-organized Middle East peace conference in Paris and did not back the final communique by 70 countries which reaffirmed that only a two-state solution could resolve the Israeli-Palestinian conflict. Its stance angered many EU members.

In December, Britain also scolded then U.S. Secretary of State John Kerry for a speech criticizing Israeli policy.

Netanyahu’s talks on Monday got off to an awkward start as he arrived before May was at her official Downing Street residence to greet him. Having entered her office alone, he came back outside minutes later for the customary handshake.

Small groups of pro-Palestinian and pro-Israeli protesters gathered outside Downing Street and Jeremy Corbyn, leader of Britain’s opposition Labour Party, said May’s stance on settlements was not good enough.

“Theresa May must make clear to the Israeli prime minister that the British government will stand unequivocally behind the rights of the Palestinian people,” said Corbyn, who once described members of Palestinian group Hamas and Lebanon’s Hezbollah as friends in comments he later said he regretted.

(Editing by Gareth Jones)

Rocket from Gaza draws Israeli air strikes, one person wounded

Palestinians run from air strike

GAZA (Reuters) – A Palestinian rocket launched from Gaza struck Israel on Monday, causing no casualties or damage, in a rare attack that drew Israeli air strikes against Palestinian militant targets.

A 70-year-old Palestinian man was slightly wounded in one of the Israeli strikes, health workers said, identifying him as a passerby. He was the only reported casualty on either side of a frontier that has been largely quiet in recent months.

“In response to the projectile fired towards southern Israeli communities earlier today, the air force targeted three Hamas posts in the northern Gaza Strip,” the Israeli military said in a statement, cautioning it “will not tolerate rocket fire towards civilians”.

Gaza residents said an armed training camp, a security compound and an observation post belonging to Hamas were hit.

There was no immediate claim of responsibility for the Palestinian rocket strike.

Israel has said that Hamas, the Islamist militant group that rules the Gaza Strip, bears overall responsibility for what happens in the enclave.

Hamas has observed a de-facto ceasefire with Israel since a 2014 war but small armed cells of Jihadist Salafis have defied the agreement and have continued to occasionally launch rockets at Israel. When those attacks occur, Hamas usually orders its fighters to vacate potential targets for Israeli retaliation.

(Reporting by Nidal al-Mughrabi and Jeffrey Heller; Writing by Jeffrey Heller; editing by Ralph Boulton)