The Palestinian Government has sent a letter to the Spanish Minister of Industry, Trade and Tourism, Héctor Gómez, urging him to take immediate action and press CAF and GMV to suspend and withdraw from projects tied to tram lines in Jerusalem. The letter claims that operations by the two Spanish companies involve illegal activities in Israeli-occupied Jerusalem and that the projects facilitate the expansion of settlements in Palestinian lands.
According to the text available to this newspaper, CAF and GMV are collaborating on the JLR light rail project oriented toward expanding the settlement network in occupied territories. The document argues that the tram expansion sits on land seized from Palestinians and contributes to forced displacement and community disruption. The letter characterizes the project as illegal annexation in Jerusalem and notes ongoing work amid a crowded schedule.
Industry confirms it has received the letter and is processing a response. The ministry notes that the National Contact Point, an organization linked to the ministry focused on corporate social responsibility, offered to mediate. CAF did not accept the mediation, and after the Advisory Council weighed in, the National Contact Point closed the case without an agreement, though it issued recommendations aimed at strengthening mediation. Industry adds that the execution of projects abroad lies with the companies themselves, and the ministry cannot intervene in corporate decisions.
CAF, the subcontractor to GMV, did not respond to a request for information at the time this article was prepared.
Million dollar project
Basque rail manufacturer CAF, with its Israeli partner Shapir, participates in building two tram lines intended to connect Israeli areas of Jerusalem with settlements in Palestinian territory. More than 700,000 Israeli settlers are reported to be living across the West Bank and the Palestinian part of the Holy City. GMV is responsible for providing automatic location systems for the trams. The project has been in progress for several years and is valued at around one billion euros in total.
The involvement of Spanish firms in these projects has drawn criticism from organizations such as Amnesty International and the Committee of Solidarity with the Arab Cause, which view the ventures as reinforcing Israel’s occupation of Palestinian land. In 2017, the UN Human Rights Council described the tram expansion as illegal. Amnesty International has stated that several international railway companies declined to participate in public tenders for political reasons.
Four Spanish companies in occupied Jerusalem
The Palestinian National Council has urged both CAF and GMV to reassess the project and consider its human rights implications in lands controlled by Israel.
At present, only CAF has published the required report, according to Prensa Ibérica through El Periódico de España. The report acknowledges that international humanitarian law prohibits infrastructures supporting the movement and settlement of settlers, but argues that the specific tram lines do not trigger those restrictions because most settlements existed before the project and the lines serve local urban transport rather than connecting remote areas. The assessment suggests the impact on demographics is not substantial enough to alter the region’s balance.
Recently it emerged that Catalan company COMSA, in collaboration with its Israeli partner J-Train, won a roughly 2.2 billion euro contract to build another line known as the blue line, connecting settlements. Four companies are currently associated with the Jerusalem tram expansion, including a fourth firm, TYPSA, which also serves CAF.
Tram in occupied Jerusalem
The tram expansion interlinks areas controlled by Israel with settlements that have been deemed illegal by Spain, the European Union, the United Nations and the United States among others. The green and blue lines terminate near Gilo, a Jewish settlement enclave protected by the Israeli army, while the red line connects Pisgat Ze’ev and Neve Ya’akov, two areas within occupied Jerusalem.
A map of the tram network shows lines passing through and near centers of settlement activity in the area. The project is described as involving significant infrastructure investments and a multi-year construction timeline. CAF is a publicly traded multinational rail company headquartered in Beasain, with a 15-year concession with Shapir for the design and delivery of trains and related systems. GMV, a technology provider with thousands of employees, supplies energy, signaling and location systems for the service. Shapir is listed on international regulations for companies operating in contested areas.
The Palestinian letter does not mention the COMSA project, which proceeded under a different concession structure prior to the current arrangement.