Some of the demonstrators hurled stones, bottles and chairs from nearby restaurants after attempting to storm the Tel Aviv municipality building.
Mounted police used riot stun grenades and water cannon as well as pepper spray yesterday to disperse the crowd and clear nearby streets, but an AFP correspondent said the protesters kept returning.
Emergency medical services said 23 officers and seven demonstrators were injured in the clashes.
Police spokeswoman Luba Samri said a number of protesters were arrested.
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"There is nobody to talk to," he told reporters.
Yesterday's protest came three days after a stormy demonstration in Jerusalem sparked by footage showing two policemen beating a uniformed Israeli soldier of Ethiopian origin.
Scores of other Israelis also joined yesterday's rally, chanting and holding up signs reading: "A violent policeman must be put in prison" and "We demand equal rights".
As they marched through Tel Aviv, some held their arms up in the air, wrists crossed as if handcuffed.
Demonstrators earlier blocked the Ayalon expressway during rush-hour, causing huge traffic jams on one of Israel's central highways before police forcefully evacuated them.
"I never experienced police violence against me personally, but it is aimed at my community which I have to support," he said.
Police estimated 3,000 people took part in the demonstration, while media reports cited organisers as putting the number at 10,000.
Zion Cohen, an Israeli participant, told AFP the Ethiopians were "a hundred per cent right" to protest.
"It's a racist country and we don't accept them," he said.
As the rally began, Prime Minister Benjamin Netanyahu released a statement saying that today he would meet Damas Pakada, the soldier who was beaten, as well as other representatives of the Ethiopian community.