Israel's "red line" is that the country will not negotiate with anyone over Jerusalem, Foreign Minister Avigdor Liberman told Army Radio on Sunday, after the EU condemned as "settlement building" a plan to build 797 homes in Gilo.

"Jerusalem is not a settlement," Liberman said in his second attack on the EU since its public censure of the plan. "Gilo is a Jewish neighborhood. Today there are 32-33,000 Jews living there. It's an integral part of Jerusalem."

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