Schneider Electric Economic Audit

This audit examines the publicly documented economic relationships between Schneider Electric and the Israeli market, including operational presence, investment activities, supply chain linkages, and regulatory compliance across six domain areas.

Supply Chain & Sourcing Relationships

Schneider Electric maintains no documented commercial relationships with Israeli agricultural aggregators, exporters, or produce distributors such as Mehadrin, Hadiklaim, Galilee Export, or Agrexco ¹⁹²⁰. This absence of documented ties is consistent with Schneider Electric’s business model as an energy management and industrial automation company operating outside fresh produce procurement channels ¹⁹. Schneider Electric does not engage in third-party or indirect sourcing arrangements relevant to settlement-origin agricultural products, as its industrial equipment and software operations do not intersect with retail or consumer goods sectors ¹⁹. The company does not maintain importer-of-record structures or seasonal sourcing patterns typical of food retailers or distributors, as it operates exclusively in industrial equipment and software categories ¹⁹.

Product Origin, Labeling & Regulatory Compliance

No public evidence has been identified indicating that Schneider Electric sources, distributes, labels, or retails goods originating from West Bank settlements, the Jordan Valley, or the Golan Heights ¹⁹²⁰²¹. This finding aligns with the company’s positioning as an industrial equipment and software provider distinct from consumer goods sectors where settlement-origin labeling disputes typically arise ¹⁹²⁰. No regulatory citations, DEFRA audit findings, EU customs enforcement actions, or national customs authority notices against Schneider Electric regarding country-of-origin labeling for settlement-produced goods have been identified in available public records ⁸¹⁹. No publicly stated corporate policy on the sourcing or labeling of goods from occupied or contested territories has been identified in Schneider Electric’s Universal Registration Documents, sustainability reports, or governance documentation filed with the AMF ¹⁷.

Investment, Capital & Financial Exposure

Schneider Electric maintains two active Israeli subsidiaries registered in the Israeli corporate registry. Schneider Electric Israel Ltd (registration no. 511055329) was registered on 13 February 1985 and is located in the Kadima industrial zone with active status and the latest annual report filed in 2025 ¹. Schneider Electrical Engineering Ltd (registration no. 510963705) was registered in 1983, is located in Afula, and maintains active status as of 2025 ². No factories, data centers, logistics hubs, or real estate assets owned by Schneider Electric within the Occupied Palestinian Territories have been publicly identified in available records ¹⁹.

Schneider Electric does not maintain a dedicated owned R&D center in Israel, instead pursuing innovation through venture capital investment and startup partnerships as stated by the company’s Chief Innovation Officer who noted that “cooperation like this is more significant than establishing an R&D center” ⁹¹¹. The company invested $10 million in Grove Ventures’ $120 million second fund in 2018, focusing on early-stage Israeli deep technology in IoT, AI, and chips ¹⁰. Schneider Electric announced investment in 12 Israeli startups through its innovation partnership program with an estimated initial investment of $25 million ⁹¹⁴. Schneider Electric is listed among multinational companies with registered R&D activity in Israel through the Israel Innovation Authority registry, though this reflects partnership activity rather than owned R&D facilities ¹⁴.

Schneider Electric SE is a French multinational company organized as a Societas Europaea, headquartered in Rueil-Malmaison, France, and listed on Euronext Paris ¹⁷. Major institutional shareholders include BlackRock at approximately 5%, The Capital Group, and Amundi, with no single controlling shareholder identified ¹⁷¹⁸. Léo Apotheker served as a board member from 2008 to 2020 and as Vice-Chairman, holding a degree in International Relations and Economics from Hebrew University in Jerusalem ¹⁸. No evidence has been identified of the parent entity or primary beneficial owners holding separate Israeli-domiciled subsidiaries or direct Israeli-economy investments distinct from Schneider Electric’s operational presence ¹⁷. No public evidence has been identified indicating that Schneider Electric SE or its corporate treasury holds Israeli sovereign bonds, Israeli-domiciled company shares, or Israel-focused investment funds ¹⁷.

Operational Presence & Market Activity

Schneider Electric Israel Ltd operates from offices in Tel Aviv and Petah Tikva, confirmed as of 2023-2024 ¹⁵. Schneider Electrical Engineering Ltd is registered in Afula and maintains active status as of 2025 ². AVEVA maintains a product distribution presence in Tel Aviv following the January 2023 acquisition by Schneider Electric, with no dedicated R&D center confirmed ⁵¹⁶. The EcoXpert partner network is active in Israel, including Afcon Control & Automation which holds master-level certification and has completed projects such as the Sofia Sea of Galilee Hotel ⁶. No offices, warehouses, or operational sites within the West Bank, Gaza Strip, or Golan Heights have been identified in publicly available records ¹⁹.

The combined workforce in Israel is estimated at 200-400 employees based on Israeli trade press sources, including legacy AVEVA Israel staff following the merger, though exact headcount is not publicly disclosed in Schneider Electric’s consolidated annual reports ⁹¹⁷. Israel is not broken out as a standalone reportable geographic segment in Schneider Electric’s annual reports; revenues are subsumed within broader “Rest of World” clusters ¹⁷. The Middle East and Africa represents approximately 13% of FY2024 revenues, aggregated within the “Rest of World” category ¹⁷. Schneider Electric does not characterize Israel as a “strategic growth market” or regional hub in investor-facing materials ¹⁷.

Schneider Electric supplied Avantis PRiSM predictive asset analytics software to Israel Electric Corporation in 2017 to monitor 4,100 MW of combined-cycle generation at eleven units across seven sites ⁴. Israel Electric Corporation is a state-owned utility with approximately 80% market share ²³. Israel Electric Corporation is planning $1-$1.5 billion in annual procurement for 2023-2027 transmission and distribution upgrades ¹³. No specific Schneider Electric contract awards have been identified in public Israel Electric Corporation tender records for 2023-2024 ¹³.

Corporate Structure & Foundational Ties

Schneider Electric traces its origins to 1836 in France (Schneider & Cie) with no Israeli founding origin or dual-headquarters arrangement ¹⁷. The company’s legal form is a European Company (Societas Europaea) domiciled in France with operational headquarters in Rueil-Malmaison, Hauts-de-Seine, Île-de-France ¹⁷. Secondary executive hubs are maintained in Boston, Massachusetts for North America and Singapore for the Asia-Pacific region ¹⁷.

Schneider Electrical Engineering Ltd (Afula, reg. 510963705, 1983) is recorded as a registered contractor for the Israeli Ministry of Defense, holding classified contractor status in books 240, 250, 270, and 160/5A with unlimited classification ⁷. Entity-identity caveat: this Afula-based “Schneider Electrical Engineering Ltd” appears to be a separate Israeli firm that shares the Schneider name, NOT a subsidiary of Schneider Electric SE — whose confirmed Israeli subsidiary is the distinct “Schneider Electric Israel Ltd” (Kadima, reg. 511055329, 1985). The MoD-contractor status is therefore treated as UNVERIFIED for attribution to Schneider Electric SE and is not scored as direct parent-company military supply ¹². No French state ownership stake in Schneider Electric has been identified in public records ¹⁷. No Israeli state ownership stake, government-appointed board members, or mission-linked charter provisions have been identified in available filings ¹⁷. No golden shares, founder shares, charter restrictions, or special share classes tying the company to Israeli institutions have been identified in AMF filings ¹⁷.

Profit Repatriation & Economic Contribution

Schneider Electric does not publicly disclose Israel-specific revenue figures; Israel is not a named geographic segment in annual reports or Capital Markets Day presentations reviewed for this audit ¹⁷. No analyst report or trade press source providing a reliable public estimate of Israel-attributable revenue has been identified in available records ⁹. Schneider Electric Israel Ltd is a wholly-owned subsidiary of Schneider Electric SE, with profits flowing outward from Israel to the French parent via intra-group dividend and intercompany mechanisms ¹⁷. No evidence has been identified of profits generated globally flowing into Israel via Israeli-domiciled ownership structures; the ultimate beneficial ownership chain is France-domiciled ¹⁷.

Schneider Electric serves as a direct employer with an estimated 200-400 staff in Israel ⁹. The company serves as a technology supplier to Israel Electric Corporation and Israeli commercial infrastructure operators ⁴. Schneider Electric contributes to the Israeli technology labor market through innovation partnerships and startup investments totaling approximately $35 million across Grove Ventures and the 12-startup program ⁹¹⁰¹⁴. The EcoXpert partner network sustains indirect employment among Israeli system integrators ⁶. No formal government designation or industry body classification of Schneider Electric as a “sector anchor,” “key employer,” or “strategic investor” within Israel has been publicly identified in available records ¹⁴¹⁷.

Additional Findings — Defense Sector Relationships

Pelco, Inc., which was a wholly-owned subsidiary of Schneider Electric from 2007 to 2019 before being sold to Transom Capital Group, provided 320 CCTV surveillance cameras installed in Silwan, East Jerusalem in January 2012, described as equipment “directed towards the Arab residents’ houses, compromising their privacy” ³¹². This equipment was deployed in what POICA describes as settlement activity in East Jerusalem ¹². Schneider Electric sold Pelco in 2019 and is no longer associated with Pelco’s operations ³.

Schneider Electric is NOT listed in the UN OHCHR database of business enterprises involved in settlement activities in the 2023 update, which includes approximately 158 entities ⁸. Schneider Electric is also NOT listed in the UN Special Rapporteur “From economy of occupation to economy of genocide” report (A/HRC/59/23, June 2025) as a named company ¹⁵.

No public evidence has been identified of press releases, sustainability reports, or investor communications addressing the continuity or withdrawal of Israeli operations following October 2023 events ⁹¹⁷. No public evidence identified regarding any formal statements from Schneider Electric about operational continuity in Israel following October 2023 events.

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