Israel approves new West Bank settlement in E1 corridor amid global distraction

Far-right minister hails 'nail in coffin' of Palestinian state as violence against Palestinians surges

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By LineZotpaper

Published26 August 2026

Read Time3 min

The Israeli government has given final approval to build a new settlement in the strategic E1 corridor east of Jerusalem, a move that would effectively split the West Bank and sever East Jerusalem from Palestinian territory, drawing condemnation from nearly two dozen Western nations and fueling a spike in settler violence that has killed at least 80 Palestinians this year.

With the world’s attention focused on the ongoing US-Iran conflict and delicate negotiations over the fate of Gaza, Israel has quietly advanced one of its most controversial settlement projects in decades. The government has given final approval to a plan to build a new settlement in the E1 area—a strip of land east of Jerusalem—and has opened tenders for the construction of some 1,200 housing units.

The E1 corridor is a critically sensitive area. Settlements there would physically split the West Bank into two, cutting off the Palestinian city of Ramallah in the north from Bethlehem in the south. It would also separate East Jerusalem from the rest of the West Bank. Palestinians consider East Jerusalem an indispensable part of any future Palestinian state.

Israel’s far-right finance minister, Bezalel Smotrich, made no effort to disguise the political intent. “Every new settlement in the West Bank puts another nail in the coffin of a Palestinian state,” he said.

A joint statement by nearly two dozen Western nations condemned the development, calling for its “immediate reversal in the strongest terms.” The United States, under President Donald Trump, has not joined the condemnation. US Ambassador to Israel Mike Huckabee, a longtime supporter of settlements, did not publicly object.

Israel had held off on approving settlements in E1 for decades due to international pressure, particularly from previous US administrations that sought to preserve the possibility of a future Palestinian state. With Prime Minister Benjamin Netanyahu’s political fortunes waning ahead of October elections, analysts say he is willing to risk diplomatic fallout to shore up support from the far-right base, believing the Trump administration will shield Israel from consequences.

The approval comes amid a sharp rise in settler violence against Palestinians. According to the Associated Press, at least 80 Palestinians have been killed in the West Bank by Israeli settlers this year. Earlier this month, settlers laid siege to homes in the village of Qusra, cutting off water and electricity supplies, damaging orchards, and preventing families from leaving. The incident drew international outrage and rare public criticism from the US ambassador.

Human rights groups and Palestinian officials describe the escalating violence as systematic and state-enabled. The Israeli government has not condemned the attacks and has maintained that security forces respond to individual incidents when necessary.

The United Nations has warned that settlement expansion in E1 would represent a point of no return for the two-state solution. International law considers all Israeli settlements in occupied Palestinian territory illegal, a position Israel disputes.

Analysis

Why This Matters

The E1 settlement threatens to physically partition the West Bank, making a contiguous Palestinian state geographically impossible and effectively ending the two-state solution.
It signals that Israel, with tacit US backing, is accelerating de facto annexation while global attention is diverted by other crises.
The spike in settler violence and the government's silence on it indicates a permissive environment that could lead to further escalation and regional instability.

Background

Israel's settlement enterprise in the West Bank and East Jerusalem has been a core obstacle to peace for decades. The E1 plan—first proposed in the 1990s—has been repeatedly shelved under international pressure, including from the US, which saw it as a red line. Previous administrations, both Democrat and Republican, opposed development there. The Trump administration broke with past US policy by not opposing settlements, but even it did not greenlight E1. Netanyahu, facing corruption trials and a tight election race, now appears to calculate that domestic political survival outweighs diplomatic costs.

Key Perspectives

Israeli Government (Netanyahu and Smotrich): The E1 settlement is a sovereign right and a strategic necessity. Smotrich explicitly frames it as a tool to foreclose Palestinian statehood. Netanyahu sees it as a way to placate the far-right coalition partners whose support he needs to stay in power. Palestinian Authority and International Community: E1 is illegal under international law (Fourth Geneva Convention) and a deliberate sabotage of peace prospects. The European Union, Australia, and others have condemned the move. They point to the settler violence as evidence of a systematic pattern of dispossession and ethnic cleansing. Critics/Skeptics: Some analysts question how much effective opposition the international community can mount without US leadership. The Biden-era condemnations lack enforcement mechanisms. Within Israel, some centrist and left-leaning voices warn that annexation would make Israel an apartheid state, while far-right proponents embrace this as the goal.

What to Watch

Whether the US administration issues formal criticism or imposes any consequences (e.g., restrictions on aid or military support).
The pace of construction tenders and actual ground-breaking in the E1 area.
The scale and frequency of settler attacks on Palestinian villages, and whether Israeli security forces begin intervening to protect Palestinians.
The outcome of Israel's October election, which could either entrench the far-right or produce a more moderate coalition.

Sources

Israel is cementing its control over the West Bank and East Jerusalem while the world is distracted — The Conversation – Articles (AU)