Germany will suspend exports of military equipment that could be used in the Gaza Strip "until further notice," Chancellor Friedrich Merz said Friday, marking a significant policy shift from one of Israel's staunchest allies in response to Prime Minister Benjamin Netanyahu's plan to take over Gaza City.

"The German government will not authorize any exports of military equipment that could be used in the Gaza Strip until further notice," Merz said in a statement. He emphasized that Israel "has the right to defend itself against Hamas' terror," but added that the Israeli decision to expand military action "makes it increasingly difficult for the German government to see how these goals will be achieved."

Merz said the release of Israeli hostages and meaningful ceasefire negotiations remain Germany's top priorities. He urged Israel to ensure "comprehensive access for aid deliveries" to U.N. agencies and NGOs, warning that "with the planned offensive, the Israeli government bears even greater responsibility than before for providing for their needs."

The decision carries particular weight given Germany's decades-long pro-Israel stance, rooted in its postwar commitment to Israel's security following the Holocaust. Between October 7, 2023, and May 13, 2025, Berlin granted export licenses for €485 million ($564 million) in military equipment for Israel, according to parliamentary records. Germany accounted for roughly 30% of Israel's major arms imports from 2019 to 2023, including Sa'ar 6-class frigates used in the Gaza conflict.

Germany's move follows growing public pressure at home and increasing criticism from European partners over the mounting civilian death toll and humanitarian crisis in Gaza. Outrage over Israeli military actions has fueled protests in Berlin, London, Brussels, and other capitals, with rights groups launching legal challenges against German arms exports.

Other European officials also voiced alarm over Netanyahu's plan. Dutch Foreign Minister Caspar Veldkamp called it "a wrong move" that would not help free hostages. Danish Foreign Minister Lars Løkke Rasmussen warned it would "only lead to even greater suffering for the civilian population." Slovenia last week banned all weapons trade with Israel, becoming the first EU state to take that step.

The Israeli decision came after a late-night Cabinet meeting despite mounting calls from the United Nations, humanitarian organizations, and foreign governments to end the 22-month war. Tens of thousands of Palestinians have been killed, most of Gaza's population has been displaced, and famine looms, according to aid groups. Israel launched its military campaign after the Oct. 7, 2023, Hamas-led attack that killed around 1,200 people and abducted 251.

Merz also cautioned Israel "not to take any further steps toward annexing the West Bank," underscoring Berlin's growing unease with the direction of Netanyahu's government as far-right members push for total control over Gaza.