Forward

Israel and the United States enjoy a deep friendship that is centered on the shared values of freedom, democracy, peace and progress. The historic May 2017 visit to Israel by the President of the United States and members of his administration is a testament to the two nations' unbreakable bond. It offers the opportunity to further strengthen the relationship while promoting stability and prosperity in the region.

The shared vision of the United States and Israel serves as the foundation for their myriad security, economic and academic joint ventures that bring tangible and mutual benefits to both nations.

Economy and Innovation

Despite Israel's small geographic size, its contribution to the US economy and its cooperation with US institutions on federal, state, and private levels is impressive. Israel has a strong presence in many sectors – including civil aviation, science, energy and space.

Trade and Investment

·         The US-Israel Free Trade Agreement signed in 1985 was the first of its kind signed by the United States. Since its entry into force, trade between the countries has increased ten-fold to $36 billion in 2016.

·         With 90 Israeli companies valued at $40 billion already traded on NASDAQ, Israel has more companies listed than any country outside the United States, save China.

Research and Development

·         The US is Israel's most prominent R&D partner, with hundreds of Israeli-US agreements driving bilateral innovation. Over 15 national joint R&D agreements have been signed between Israel's National Innovation Authority and various US federal and state agencies.

·         Giants like Google, Apple, Facebook, Microsoft, Intel, Yahoo!, Motorola, HP, GE, IBM, Cisco and many more have established their only non-US R&D centers in Israel. Out of around 300 multinational corporations in Israel, over 200 are American.

·         Numerous US multinationals established centers in Israel after acquiring or merging with cutting-edge Israeli startups. IBM, for example, has acquired more than a dozen Israeli companies since establishing its Israeli center over four decades ago.

·         There are close to 50 bilateral organizations promoting joint research and innovation ventures, academic and cultural exchange and cooperation; tourism; economic development programs; business, trade and investment opportunities; high-tech transfers and partnerships between US and Israeli corporations and universities.

·         Three prominent US-Israel R&D foundations include the Binational Industrial Research and Development Foundation (BIRD); the Binational Science Foundation (BSF); and the Binational Agricultural Research and Development Foundation (Bard).

·         A steady stream of governors, mayors, and other US state and local leaders regularly visit Israel, and increasing numbers of US delegations participate in Israeli innovation conferences and events each year. For example, the Secretary of the California Department of Food and Agriculture traveled to Israel in mid-2016 to discuss cooperation on climate-smart agriculture. 

Energy 

·         In 2009, the US-Israel Energy Cooperation Program was authorized by Congress in the Energy Independence and Security Act of 2007,, following which “BIRD Energy” was created to promote bilateral cooperation in clean and renewable energy.

·         The US government and Israel's Innovation Authority and Ministry of Energy are expanding their cooperation in cyber protection of infrastructure and advanced manufacturing. In May 2016, the Innovation Authority signed an MOU with the Department of Commerce, under which the countries agreed to conduct ongoing bi-governmental innovation activities.

·         Noble Energy partnered with the Israeli firms Delek Drilling and Avner Oil Exploration in developing Israel’s offshore Leviathan gas field, a nearly $4 billion project with the first extraction slated for 2019.

Water and Agriculture

·         Israel is a world leader in water management and technology, recycling some 87 percent of its water (the highest figure in the world) and deriving some 30% of its potable water from desalination plants. Israel and the US are working more closely than ever to address water issues, in particular, in the southwestern United States. Israel entered into an MOU on water with California in 2014 and Nevada in 2016.

·         The new reverse osmosis desalination plant in Carlsbad, California, designed by Israeli IDE, is one of the largest and most technologically advanced in America.

Security Cooperation

Israel is among the US's greatest allies, and the two nations work hand-in-hand to confront common threats – in particularly, those posed by radical Islamic terrorism – and to advance shared interests in promoting peace and stability. The two countries benefit immensely from intelligence-sharing, innovation ventures, military agreements and joint exercises.

The United States is committed by law to preserving Israel's qualitative military edge, which ensures that Israel can defend itself, by itself, against threats in the Middle East.

Legislation and Support

·         Over the last decade, Israel received $30 billion from the US in foreign military funding. This support is an investment in both countries' common security and future. Around 75% of military assistance to Israel is spent back in the US, stimulating American industry and creating jobs.

·         The US and Israel jointly develop military technology. Through the landmark United States-Israel Strategic Partnership Act of 2014, the Pentagon and the Israel Defense Forces (IDF) along with other institutions in the US and Israel conduct joint research on technology, energy, intelligence, information security, and national security. This legislation was the culmination of many years of bipartisan work, and set the standard for future bilateral cooperation.

·         The US invested hundreds of millions of dollars to jointly fund the development and deployment of Iron Dome, Israel's cutting-edge missile defense system, which has saved countless lives over the course of the many rocket assaults on Israeli cities.

Technology

·         The US and Israel jointly developed the world's most sophisticated rocket interceptor, the Arrow-III. Together with the X-band radar station operated by the first American troops deployed permanently on Israeli soil, these systems offer protection from long-range missiles.

·         Examples of Israeli technology used by American forces include Israeli anti-rocket armament, drones, and reconnaissance devices. U.S. fighter aircraft and helicopters incorporate Israeli concepts and components, as do modern-class US warships.

·         The IDF has shared with U.S. forces its expertise in the detection and neutralization of improvised explosive devices (IEDs), the largest cause of casualties among American forces.

Joint Exercises

·         US and IDF troops routinely train together to make each other stronger in the air, on land and on sea. For example, aerial combat and special operations US Navy ships regularly dock in Haifa, US Air Force planes refuel at Israeli bases, and the Marines will soon train to implement Israeli precision lasers in their operations.

·         Some of the largest joint military exercises include the 2012 Austere Challenge, which involved over 3,500 American and Israeli soldiers, the biannual Juniper Cobra, centered on missile defense training, and the annual Reliant Mermaid drill, which allows Israel and other regional allies to coordinate defense operations in the Mediterranean Sea.

·         The US has pre-positioning $800 million of arms and medical equipment in Israel.

Homeland Security Cooperation

·         The U.S. Department of Homeland Security and its Israeli counterpart share technical know-how in defending ports and terminals from terrorist attacks, countering unconventional weapons and cyber threats, and combating the drug trade.

·         Both countries have been working closely together to ensure open, safe and secure access to information, to enhance cyber resilience and thus to allow for further global social and economic development.