As the "Trans-Pacific Partnership" makes its way through the U.S. Congress, the trade agreement (with Pacific and Asian countries) is being amended to penalize BDS (Boycott, Divest, and Sanctions) efforts against the West Bank Settlements.
The amendments from House and Senate committees "require U.S. trade negotiators to 'discourage politically motivated actions' by foreign countries and international organizations that aim to 'penalize or otherwise limit' commercial relations with Israel or 'persons doing business in Israel or in territories controlled by Israel."
"Territories under the control of Israel," of course, refers to the occupied land beyond Israel's 1967 borders. The measures are directed primarily at European countries and businesses who are increasingly opposed to the West Bank Settlements and to Israel's refusal to recognize a Palestinian state. The Occupation of the West Bank is against international law. If passed, these amendments would contervene long-standing U.S. policy opposing the Settlements.
Recall that the BDS movements was started as a non-military, non-violent protest against Israel's Occupation of Palestinian Territory. The movement has garnered more sympathy in Europe than in the U.S.; but even in Europe little has come of it.
How exactly is the U.S. Congress empowered to limit the free speech and political decisions of European countries? Why not ask your Senator or Representative?
J.J. Goldberg of The Forward has the story and the language of the amendments.
House Bill. AIPAC Press Release: House Fast Track Bill Targets Economic Attacks against Israel.