The Dutch pension fund ABP divests from Caterpillar shares due to bulldozer sales to Israel.
ABP, the largest pension fund in the Netherlands, has sold all its shares in the American equipment manufacturer Caterpillar. The stake was valued at 387 million euros, and the decision came amid increasing criticism of Israel's use of Caterpillar bulldozers to demolish Palestinian land.
The decision came after ABP published its updated investment list, which no longer includes Caterpillar. The fund's spokesperson declined to clarify the move to NOS, citing "competitive sensitivity." However, ABP had launched a new sustainability policy last year requiring investments to be "socially responsible."
Israel uses Caterpillar bulldozers, modified by its army with bullet-resistant glass and protective steel structures, for demolition work within Palestinian territories. These bulldozers have been used to destroy towns, roads, and agricultural land in Gaza and the occupied West Bank.
Last year, the United Nations warned Caterpillar that its continued delivery of bulldozers to Israel could make it complicit in human rights violations. The company is facing increasing international pressure due to its role in the conflict.
The ABP move came after a similar decision by the Norwegian central bank, which announced in September that the sovereign wealth fund also divested its shares in Caterpillar. The bank explained that the reason was due to an "unacceptable risk" posed by the company's contribution to serious violations of individual rights in war and conflict zones.