Justice Minister Tzipi Livni cautioned on Wednesday that the new EU guidelines banning cooperation with Israeli settlements beyond the Green line "could be the first step to Israel's isolation from the world."
Speaking to Army Radio, Livni, who is the Israeli peace negotiator, said this move should be a wake up call for Israel."There's a slippery slope here - the EU decision could affect the bilateral contracts European countries have with Israel," she said.
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