U.S. aid to Israel is one of the most contentious foreign policy issues in America. The last three years of wars in the Middle East—culminating in the latest war with Iran—have soured a majority of Americans on the U.S.-Israeli relationship, polling shows. And the aid is up for debate soon, as President Barack Obama's "memorandum of understanding" guaranteeing $3.8 billion per year for Israel expires in fiscal year 2028.
Earlier this year, Axios reported that Israel was looking for a new memorandum of understanding that would last twice as long as the previous one but shift the money from direct aid to joint weapons production. Official talks between the two countries began this week, according to the Israeli Defense Ministry. And while officials were meeting, Israeli Prime Minister Benjamin Netanyahu sent a letter to Rep. Marlin Stutzman (R–Ind.) praising "our plan" to replace financial subsidies with military-industrial integration within a decade.