The Islamabad Memorandum of Understanding (MOU), signed in June 2026, signals a structural transformation in U.S.-Israel relations. While the alliance remains intact, the Islamabad MOU reveals a fundamental divergence in strategic end-states between Washington and Jerusalem. By excluding Israeli leadership from the final diplomatic framework to end the Iran war, the Trump administration has signaled that U.S. domestic economic and electoral imperatives now supersede unconditional alignment with Israeli security objectives. This article examines how the “America First” doctrine has recalibrated the partnership, leaving Israel in a position of managed dependency and highlighting the growing limits of Prime Minister Benjamin Netanyahu’s ability to influence American regional policy.