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This report consists of five parts: general report, special topics, foreign policy, China-Israel relations, and the appendix. The first part is the general report, which overviews Israel’s society, economy, and politics in 2014. This part also makes a general introduction and analysis of Israel’s overall situation, and national conditions in this year. The second part is on the special topics, which expounds separately on the economic condition, the political and security situation, the ethnic relations of Israel in 2014. Besides, it provides a general introduction of Israel’s foreign workers and main think tanks. Generally speaking, Israel’s economy in 2014 rose and developed steadily, whereas its politics experienced major changes, such as governmental instability and the dissolution of the Knesset. As for the security field, due to the Gaza conflict and a range of terrorist attacks in Jerusalem, its security situation became quite severe. The inherent contradictions in Israel’s ethnic relations have turned more and more complicated due to the influence of the political and security situation. The third part is on the foreign policy. This part analyzes Israel’s relations with America, Egypt, Turkey, and so on and so forth. Israel’s overall diplomatic environment worsened to some extent due to the implications of the geopolitical situation, the spillover effect of extremism and terrorism in the Middle East. Its traditional ally the United States and its quasi-ally Turkey kept Israel at arm’s length, while Egypt played the important role of peace promoter through mediating Gaza conflict between Palestine and Israel. Last but not least, Palestinian statehood was recognized by the parliaments of EU countries in chain reaction, which placed Israel in an awkward situation. The fourth part is on the relations between China and Israel. This part focuses on analyzing the “Silk Road Strategy” and the enhancement of cultural diplomacy between China and Israel. In addition, the economic relations between the two countries, the status quo of Sino-Israeli relations, and its prospects are also analyzed in this part. Subjected to various reasons in tradition and reality, there still exists some obstructive elements in Sino-Israeli relations. However, favorable conditions are present as well. Furthering the economic relations and promoting the humanistic diplomacy prove to be the important content of conducting pragmatic cooperation between China and Israel, which will help Israel play a strategically pivotal role in China’s “Silk Road Strategy”. The fifth part is the appendix, which includes Israel’s chronicle of events in 2014 and the major domestic statistics.

This report selects Israel’s current hot topics, crucial events and basic national conditions for dissection and analysis. It uses the methodology that combines the quantitative and qualitative studies, and makes deep and systematic analysis on Israel’s economic profile, social dynamics, political tendencies, foreign relations, and etc. in 2014 from both the macro and micro perspectives. Besides, this report conducts profound study on Sino-Israeli relations, such as cultural diplomacy, economic cooperation, mutual perception, and so on and so forth. It aims at providing important information and reference for a full and profound understanding of contemporary Israeli society, and it offers decision-making basics and research support for our government to handle Middle Eastern affairs, as well as to enhance the exchange and cooperation with Israel.