The brush-up comes as Israel is negotiating with the Palestinians against a backdrop of increasing international pressure to reach a deal, coupled with a growing call for boycotting Israel over its settlements in areas it captured in the 1967 Middle East war.
A small but growing number of European businesses and pension funds have begun to drop investments or limit trade with Israeli firms involved in the West Bank settlements. At a security conference in Germany this weekend, Kerry warned that a breakdown in Israeli-Palestinian talks would accelerate this trend and could threaten Israel's economic prosperity and its safety.
At the opening of his weekly Cabinet meeting, Netanyahu said international pressure on Israel would backfire and only cause the Palestinians to harden their positions.
"Attempts to impose a boycott on the State of Israel are immoral and unjust. Moreover, they will not achieve their goal," he said.
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"You can't expect the state of Israel to conduct negotiations with a gun pointed to its head," he said.
Economics Minister Naftali Bennett, from the religious, pro-settler Jewish Home party, said all "the advice givers" should know that Israel will not abandon its land because of economic threats.
"We expect our friends around the world to stand beside us, against anti-Semitic boycott efforts targeting Israel, and not for them to be their amplifier," said Bennett, a fierce critic of the Kerry-led talks. "Only security will bring economic stability, he said.