Norway’s largest pension fund, KLP, has cut ties with two international companies supplying equipment to the Israeli military, citing concerns that their products may be used in the ongoing war in Gaza.
The companies affected are US-based Oshkosh Corporation, known for manufacturing military vehicles, and Germany’s ThyssenKrupp, an industrial conglomerate that produces, among other things, warships and submarines.
KLP said it had invested $1.8 million in Oshkosh and nearly $1 million in ThyssenKrupp until June 2025, but decided to divest due to an “unacceptable risk” of contributing to human rights abuses.
ThyssenKrupp reportedly acknowledged its long-term relationship with the Israeli military, including the delivery of four Sa’ar 6 warships to the Israeli Navy between 2020 and 2021, and plans to supply a submarine later in 2025.
This move by KLP is part of a wider trend among European pension and sovereign wealth funds distancing themselves from companies linked to Israeli military actions or illegal settlements in the occupied West Bank.
KLP has a history of taking similar ethical investment decisions. In 2021, it divested from 16 firms including Motorola over their alleged involvement in illegal Israeli settlements. It also withdrew from India’s Adani Ports over its ties to Myanmar’s military junta, and from Caterpillar for supplying bulldozers used in Palestinian territories.
Other funds have followed suit. In May 2025, Norway’s sovereign wealth fund, the world’s largest, divested from Israel’s Paz Oil over its role in fuelling illegal settlements. It had previously sold its stake in Bezeq, an Israeli telecom provider.
In 2024, Denmark’s largest pension fund divested from Israeli banks, and in August, the UK’s Universities Superannuation Scheme announced it would sell its $101 million in Israel-linked investments.
KLP, which manages a $114 billion fund covering nearly a million public-sector workers, said its latest decision was based on ethical investment principles and the need to avoid complicity in violations of international law.
