The European Union (EU) remains deeply divided over its response to the Palestinian-Israeli conflict as the crisis enters its third year, grappling with internal disagreements on pressuring Israel and the mounting economic spillover effects that are straining European livelihoods.
Over the past three years, amid the worsening humanitarian crisis in Gaza, several EU member states have officially recognized the State of Palestine. However, the bloc faces a prolonged deadlock over whether to suspend the EU-Israel Association Agreement. Signed in 2000, the agreement provides a legal and institutional framework for political dialogue and economic cooperation, allowing certain Israeli products to enter the EU market duty-free or under preferential conditions.
Countries such as Spain and Ireland are demanding tougher measures to suspend the pact, while others, including Germany and Austria, maintain reservations, leaving the EU unable to form a unified stance. Beyond the diplomatic impasse, the protracted conflict's spillover effects have dealt a tangible blow to the European economy.
In an interview with China Media Group (CMG) via video link, a European policy expert noted that energy price fluctuations are impacting society across the board.
"The rise in energy prices will have an impact across the board and not only on our cost of living but also cost of production, cost of manufacturing, the cost of services. People in Europe are beginning to worry a lot about the cost of living, the cost of housing, the cost of food, and I think these issues need to be sorted pretty quickly," said Shada Islam, senior advisor at the European Policy Centre and founder of the New Horizons Project.
The expert also highlighted that the EU's failure to reach a collective consensus has forced member states to act individually, significantly weakening Europe's influence on the global stage.
"In the current situation where we are, the EU collectively is, as I said, paralyzed. Member states of the European Union have no alternative but to act on a national level, but to take unilateral action. Of course, we would be more powerful on the global stage, we would have more influence if we acted together, if we acted collectively. But that is not happening and it's been three years," she said.
EU divided over Palestinian-Israeli conflict as spillover effects mount
