The United States has implemented higher tariffs on imports from numerous countries, including a 15 percent duty on most goods from Israel. Negotiations between Israel and the United States aimed at reducing the tariff rate were unsuccessful, though the final rate is lower than initially proposed. While the majority of Israel's tech exports to the United States are services and thus exempt, physical goods such as machinery and industrial equipment will be affected. Experts estimate Israeli exports could decline by $2 billion to $4 billion annually, potentially resulting in significant job losses if key sectors are impacted. Additionally, there are plans for even steeper tariffs on semiconductors produced outside the United States.