Relations between the European Union and Israel took a dive on Wednesday after Israel derided a decision by the 28-nation bloc to label products made in Jewish settlements in the West Bank.
The Israeli Foreign Ministry said the EU has taken an "exceptional and discriminatory step" for "political reasons," while Prime Minister Benjamin Netanyahu said the EU should be "ashamed," and accused the bloc of punishing "the side that is being attacked by terrorism."
He said "this will not advance peace; it will certainly not advance truth and justice."
The EU move, which came after months of procrastinating, underscores the bloc's unhappiness over Israel's continued expansion of settlements on territory that Palestinians seek for their future state.