Posted on 02/28/24
| News Source: Arutz-7
The US government has launched an unprecedented investigation into a company that produces parts for Israel's life-saving Iron Dome missile defense system, Maariv reported Wednesday morning.
According to the report, Finkelstein Metals is accused of receiving prohibited government subsidies and selling products in the US at inflated prices.
Israeli officials are alarmed at the move by the US government and noted that Finkelstein Metals has only a 3% market share in the US and does 75% of its business there. They have also accused the US of violating the trade agreement between Israel and the US with this investigation.
Sanctions have already been imposed on Finkelstein Metals in a move that could affect supplies for Israel's defense industries, in particular the Iron Dome batteries. Finkelstein Metals is the only supplier of the metal bars Rafael uses to produce ammunition for the Iron Dome batteries. It is also the only Israeli company that produces brass, bronze, and copper alloy products
The Association of Manufacturers in Israel and the Foreign Ministry have gotten involved in the matter due to the potential effects on Israel's defense industries and Israeli exports to the US.
The Iron Dome system shoots down short-range rockets fired at populated areas. The system has seen extensive use since Hamas launched its attack on October 7, firing thousands of rockets as cover for its invasion of southern Israel and thousands more in the weeks following the massacre. The Hezbollah terrorist organization has continuously fired missiles and rockets at northern Israel in support of Hamas since the outbreak of the war.
Earlier this month, the Biden Administration announced sanctions against four Israeli residents of Judea and Samaria who have been accused of engaging in violence against Palestinian Arabs.