EU’s Kaja Kallas: We are the largest donor and the strongest backer of the two-state solution. And this leads me to the West Bank. All the 27 member states agree that Israeli settlements are illegal under international law. Currently, the EU applies a so-called differentiation policy under which products from the settlements are identified. However, this policy has not done much to limit trade with settlements because implementation is inconsistent. Following a request of the European Council in June, the Commission presented options to further restrict trade with illegal Israeli settlements. These include a full or partial ban on imports of settlement products, stricter export licensing requirements, and the possible use of tariffs. These are not options against Israel. These are options against the illegal settlements that undermine the two-state solution.