On 19 June 2026, Norway's government announced that it is proposing a new law to ban Norwegian citizens and companies from buying from and selling to Israeli settlements in the occupied Palestinian territories, according to the Norwegian government and Reuters.

This is not just about stopping imports. The ban would work both ways — Norwegian companies could not sell to the settlements either. The government is now asking the public for feedback before sending the bill to parliament. This is a formal step, meaning Norway is seriously committed to the proposal, though parliament still has to vote to pass it into law.

Norway already tried to discourage this kind of trade. In October 2024, the government asked Norwegian companies nicely to stop doing business with the settlements. But that request was voluntary — companies could ignore it if they wanted. This new law would force them to stop.

What the Bill Would Do

The bill would ban trade in goods made in Israeli settlements. These are communities that Israel has built in the West Bank and East Jerusalem. Most countries and the International Court of Justice say these territories belong to Palestinians and are occupied by Israel. Israel disagrees. The bill only targets settlements, not the rest of Israel.

The amount of money involved is actually quite small. Norway doesn't do much business with these settlements anyway. So this law is about principle more than money. It would make Norway one of the few countries in the world to pass a law specifically banning this kind of trade. Most other countries use different tools — like labels on products or voluntary guidelines that companies can choose to follow.

Why This Matters for Norway

Norway has a special role in Middle East peace efforts. It helped create the Oslo Accords in 1993, which set up the Palestinian government. For decades, Norway has tried to stay neutral and help both sides talk to each other. This new law is a change in that approach.

Other European countries have taken their own steps. Ireland and Spain officially recognized Palestine as a country in May 2024. The European Union has talked about punishing Israel with trade restrictions but hasn't done it yet. Norway's law would go further than just recognizing Palestine — it would actually stop trade from happening.

In July 2024, the International Court of Justice said that Israel's occupation is illegal and told all countries to stop helping Israel keep control of the territories. Countries that want to take a stronger stand against the occupation have used this decision to justify new laws. That's part of why Norway is doing this, though the government says it was already thinking about this before the court ruled.

People who work in trade and business compliance have some practical questions to figure out. What exactly counts as a settlement product? How will the government enforce this? Will it apply to Norwegian companies that do business through other countries? These details will get sorted out as the government listens to feedback and parliament debates the bill.

The government is now listening to what businesses, activists, and legal experts think about the proposal. How seriously they take that feedback — and how parliament votes — will decide what the final law looks like. But Norway has already made its direction clear.