In response to an uptick in settler violence, US State Department spokesperson Matthew Miller announced new sanctions on Hashomer Yosh and Yitzak Levy Filant.
The push to advance the idea of sanctions comes as Ben-Gvir had pushed the issue of Jewish prayer on the Temple Mount.
Hezbollah is accused of administering a state-within-a-state by using independent and civilian systems, which sits in strong contrast to the weak Lebanese state.
After an 80-year break, the US-led world is reinstating an ancient European practice: sanctions against Jews.
Despite US and EU restrictions and sanctions on Russia, the influx of foreign cash continues, mainly through countries like UAE and Turkey.
According to a recent report by Rescuers Without Borders, since January 2024, Palestinians have committed 3,272 acts of terror in the region.
Israeli media had previously reported that Washington would impose sanctions on the battalion over its treatment of Palestinians in the West Bank.
Foreign Minister Katz said on Wednesday during a meeting with Judea and Samaria heads that there was "no such thing as settler violence."
The move by the Australian government comes after allies Britain, the United States, Canada and Japan sanctioned some Israeli settlers in response to the violence in the West Bank.
Violent acts by some Israeli settlers in the West Bank have increased dramatically since last October, said Japan's Chief Cabinet Secretary Yoshimasa Hayashi.