The largest pension fund in Norway, KLP, has announced its decision to cease doing business with two companies that supply equipment to the Israeli military, as the equipment may be utilized in the ongoing conflict in Gaza. The companies implicated are the Oshkosh Corporation, a U.S.-based firm primarily dealing in vehicles and military equipment, and ThyssenKrupp, a German industrial company producing a diverse array of products, including elevators, machinery, and warships.
According to KLP’s responsible investment head, Kiran Aziz, the decision was made following reports by the UN that the companies in question have been supplying arms or equipment to the Israeli military, which are subsequently used in Gaza.
“Our conclusion is that Oshkosh and ThyssenKrupp are in violation of our responsible investment guidelines,” KLP stated. Consequently, they have been excluded from our investment portfolio.
Prior to making this decision, KLP had investments worth approximately $1.8 million in Oshkosh and nearly $1 million in ThyssenKrupp. The pension fund, established in 1949, is the largest in Norway and manages assets amounting to nearly $114 billion, covering about 900,000 people, predominantly municipal workers.
KLP had previously contacted both companies, with Oshkosh confirming that it has sold and continues to sell equipment to the Israeli military, primarily vehicles and vehicle parts. ThyssenKrupp acknowledged a long-term relationship with the Israeli military, having delivered four Sa’ar 6 warships between November 2020 and May 2021 and plans to deliver a submarine later in the year.
However, the companies were unable to provide adequate documentation regarding due diligence to avoid complicity in violations of humanitarian law, as per Aziz’s statement.
This decision by KLP is not isolated, as the pension fund has previously disengaged from companies associated with potential human rights violations. In 2021, KLP divested from 16 companies, including Motorola, which were linked to Israeli settlements in the occupied West Bank due to the “unacceptable risk that they contribute to human rights abuses in war and conflict situations.” The fund also withdrew its investments from Adani Ports due to its connections with the Myanmar military government. Additionally, KLP divested from US firm Caterpillar, citing the company’s role in demolishing Palestinian homes and infrastructure.
These actions reflect a broader trend among European investment funds, which have cut ties with Israeli companies over their involvement in the conflict in Gaza or links to Israeli settlements in the West Bank. In May, Norway’s sovereign wealth fund, the largest globally, decided to divest from Israel’s Paz Retail and Energy and Bezeq due to their activities supporting the settlements. Denmark’s largest pension fund and the UK’s Universities Superannuation Scheme have also severed ties with Israeli companies over their undisclosed support to the West Bank settlements or the conflict in Gaza.
Source: https://www.aljazeera.com/news/2025/6/30/norwegian-pension-fund-divests-from-companies-selling-to-israeli-military?traffic_source=rss
