Turbulent Race for Presidency of the Manufacturers’ Association Set for January 28
Overview of the Upcoming Elections
The upcoming elections for the presidency of the Manufacturers’ Association, scheduled for January 28, have transformed from what seemed to be a foregstart conclusion into a heated contest marked by legal disputes. Approximately a month ago, Tsuri Dvosh, chairman and owner of aluminum profile manufacturer Clal, entered the race against Abraham (Novo) Novogrotsky, chairman of the steel manufacturer Hadaf and current head of the Metal, Electricity, and Infrastructure Association within the association. Dvosh’s entry followed the disqualification of former high-tech association CEO Maya Schwartz, who was deemed inexperienced.
Legal Challenges and Controversies
Dvosh’s late entry into the contest has raised eyebrows, especially as it coincides with ongoing government efforts regarding anti-dumping tariffs on Chinese aluminum-an initiative advanced by Economy Minister Nir Barkat, which was vetoed by Finance Minister Bezalel Smotrich. This issue directly impacts Clal, and shortly before Smotrich’s decision, Dvosh, through Clal, acquired the aluminum importer Golan Tzach for approximately 44 million shekels.
As part of his campaign, Dvosh is actively seeking to change the existing election process. He filed a lawsuit to introduce digital voting in place of the centralized voting at the Kfar Maccabiah venue. The court did not issue an immediate temporary injunction and requested the Manufacturers’ Association’s response by the 14th of the month. Dvosh argues, “It should not take an entire day to cast a five-minute vote,” indicating that a digital voting system could be set up within a couple of days at a cost of 600-700 shekels.
Should his petition be rejected, Dvosh has vowed to rally voters, stating, “I will call on all voters, in great anger, to vote once at Kfar Maccabiah, and that will be the last time-because when I am elected, I will make the voting digital.”
However, Novogrotsky’s supporters perceive the lawsuit as a stalling tactic. “If you introduce digital voting, you need a tender, cybersecurity checks. It’s a months-long process,” noted a manufacturer who backs Novogrotsky. Daron Tomer, the outgoing president, also expressed concerns, remarking, “You cannot change the rules a month before elections. The discussion on the location of the elections is legitimate, but the timing is problematic.”
Implications of Dvosh’s Market Moves
Dvosh’s entry into the import sector has been viewed with skepticism among industrialists. A supporter of Novogrotsky commented, “A true manufacturer would not take the step of buying an import company. He joined late and claimed he was aggrieved. The anti-dumping issue affects Clal.”
In response, Dvosh asserts that the acquisition of the import company aims to diversify Clal’s operations. “Until the day of acquisition, we were uncertain about the tariff’s outcome. It is our responsibility to our shareholders-we cannot be dependent on any governmental decision. Without state assistance, you must find solutions that enable your continued existence.” When asked if the new company would import aluminum from China, he replied, “It imports from other locations. If there is no tariff, then maybe we will also source from China.”
Distinct Backgrounds of the Candidates
The two candidates come from distinct backgrounds. Dvosh (59), who previously co-founded the technology company Amberlight, which reached a peak valuation of $8 billion, purchased Clal in 2001 when it faced difficulties. Despite owning the company for 25 years, he has been relatively inactive within the association. In contrast, Novogrotsky has a long history of managing companies, currently leading Hadaf and serving as the chairman of the Metal Association since 2022.
This difference in backgrounds has become a point of contention, especially after Dvosh reportedly stated that salaried managers are not “true manufacturers.” “Once he said that, he lost voters,” noted a supporter of Novogrotsky. “In today’s era of funds acquiring factories, the salaried CEO sees themselves as the owner. What do you tell them, that they are not manufacturers?”
Dvosh maintains a broader message regarding the state of the industry, stating, “The state of the industry in Israel needs strengthening. Decision-makers do not understand the importance of industrial independence. Already today, Israeli manufacturers are opening their next factories in other countries-and that is not good for Israel.”
Conclusion
Tomer has refrained from endorsing either candidate, stating, “Both candidates are worthy. start (Novogrotsky) has managed numerous factories and been active within the association for years. The other (Dvosh) may have been less active, but he owns a significant manufacturing company. I am pleased there are elections-it is beneficial for the organization and engages the field. When I took over the association, there were 1,600 members; today there are 2,000. Elections stimulate interest.”
The elections are set to take place at Kfar Maccabiah on January 28. The court’s indication that it has allotted the association time to respond until the 14th, just two weeks after the lawsuit was filed, suggests that the chances of a restraining order are low.