A Swedish company has apologised for setting up a factory in a settlement-based industrial zone and announced it will move it within Israel.
The board of Assa Abloy, which acquired locksmith company Mul-T-Lock in 2000, is to relocate the factory from the Barkan industrial zone in the West Bank following the publication of a report last month by Swedish human-rights group Diakonia, business-monitoring NGO SwedWatch and the Church of Sweden.
The report alleged that the location of the factory might open the owners up to prosecution.
An Assa Abloy spokesman said: "We are very sorry that we did not notice it before, but we did not understand that we might be violating international law."