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Why US is Building Permanent Embassy in Jerusalem?

Pakistan Observer · Jul 1, 2026, 5:53 PM · Also reported by 2 other sources

Why this matters: local context for readers following news across Pakistan and the region.

WASHINGTON – United States signed agreement to build permanent embassy complex in Jerusalem, cementing one of President Donald Trump’s most consequential Middle East policy decisions, in other words, its Washington’s recognition of the city as Israel’s capital is here to stay. As Israeli leaders hailed agreement as another milestone in “unbreakable alliance” between Washington and Tel Aviv, the move is expected to reignite international debate over Jerusalem’s status—a core issue at the heart of the decades-long Israeli-Palestinian conflict. The new embassy will be constructed at Allenby compound in Jerusalem’s southern Talpiot neighborhood, replacing the temporary facilities that have housed US diplomatic operations since the embassy’s relocation from Tel Aviv in 2018. The project shows latest chapter in dramatic policy shift initiated during Trump’s first administration. In December 2017, he became the first US president to formally recognize Jerusalem as Israel’s capital, overturning decades of American policy that left the city’s final status to be determined through Israeli-Palestinian peace negotiations. 🇮🇱🇺🇸⚔️🇵🇸Huckabee and Saar sign the agreement on establishment of permanent US Embassy in the occupied Palestine, Al-Quds (Jerusalem). ❗️It constitutes a violation of international law. ResistanceTrench pic.twitter.com/whThvbw0nE — dana (@dana916) July 1, 2026 Although embassy officially opened in Jerusalem in May 2018, diplomatic operations have continued from multiple locations. The permanent complex will bring those offices under one roof, improving security, operational efficiency and Washington’s long-term diplomatic footprint in Israel. US Ambassador to Israel Mike Huckabee said the project demonstrates that the United States is backing its recognition of Jerusalem with lasting action rather than symbolism alone. “The United States not only recognizes Jerusalem as th

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