Israeli Prime Minister Benjamin Netanyahu declared on 18 June that Israel must develop an independent weapons-production system and reduce its reliance on American military aid, speaking one day after the United States and Iran signed a memorandum of understanding aimed at ending the regional war. Addressing reserve combat officers in the occupied West Bank, Netanyahu said he appreciated past American support but insisted, 'Today I say: we need our own independent armaments network. We must manufacture our own armaments.' He linked the call to an ongoing confrontation with Iran and its proxies, which he said was 'not over' and depended on Israel's own strength.\n\nThe memorandum, signed in Switzerland on 17 June, commits Washington and Tehran to a cessation of hostilities on all fronts, including Lebanon, and to preserving Lebanese territorial integrity. According to Israeli officials, the agreement effectively brings Lebanon into the broader US-Iran diplomatic framework in a way that could legitimise Iranian influence and limit Israel's freedom to act against Hezbollah. The new mechanism establishes a 'deconfliction cell' involving Lebanon, Pakistan and Qatar, but excludes Israel as a direct participant—unlike the November 2024 ceasefire arrangement that included Israel, the US, France and Lebanon. Israeli sources told Axios that the earlier terms, which allowed Israel to respond to both imminent and emerging threats, are being eroded. Prime Minister Netanyahu's confidant Ron Dermer has been actively engaging American negotiators to shape the talks; a US official confirmed that Dermer was briefed several times and that Washington was 'transparent with them.'\n\nViewed from Washington, the memorandum is a step toward stabilising a conflict that has drawn in American forces and threatened global energy supplies. Vice President JD Vance noted that two-thirds of the defensive weapons that protected Israel in recent months were supplied and funded by the United States, and US and Israeli officials have begun discussions on a new ten-year security cooperation arrangement that would gradually shift the existing aid-based framework toward a more reciprocal strategic partnership. President Donald Trump, however, has publicly criticised Netanyahu in recent weeks, reportedly calling him 'crazy' and warning that Israel does not need to 'knock down an apartment building every time you're looking for somebody.' Trump also threatened on social media to strike Iran 'very hard' if it did not restrain Hezbollah, after a fresh round of Israeli airstrikes killed at least 30 people in Lebanon.\n\nThe tensions carry domestic political weight in Israel ahead of October elections, with the Lebanon campaign a central issue. One Israeli official told Axios that Netanyahu was 'hysterical' about the Lebanon provisions of the US-Iran understanding. Israel has continued military operations in southern Lebanon despite the ceasefire, with Netanyahu, Defence Minister Israel Katz and the chief of staff issuing a joint statement that the military would keep neutralising threats and destroying Hezbollah infrastructure. The ceasefire has largely held since Saturday evening, but the deconfliction cell is only beginning its work, and Israel insists it is not bound by an agreement it did not sign. The parallel US-Israel talks on future security cooperation remain in early stages, while the US-Iran technical negotiations are expected to resume with Lebanon as a core agenda item.