Liverpool council has thrown out a motion that condemned Israel for “human rights violations”.
Councillors voted 74 to two against the proposal , put forward by two members of the Green Party.
Labour councillor Jeremy Wolfson said: “The motion only had the support of the two Green councillors. Apart from them it was overwhelmingly rejected by all other parties.”
The motion was tabled ahead of the Liverpool International Festival for Business 2014, where Israeli investors and businesses are expected to take part.
It urged the council to “distance” the city from “condoning or tolerating the human rights violations, of some participating countries”.
Russia, Israel and China were listed as human rights violators, for acts such as “persecution of gay people, denial of the rights of indigenous ethnic peoples, and the imprisonment of opposition thinkers”.
Mr Wolfson said: “The International Festival for Business is all about Liverpool being open to investors from all over the world.
“I believe it is important Liverpool has strong links with Israel. We help Liverpool business trade and invest with Israel.”
The festival is due to take place in June and July this year.