After Embassy Move in Israel, U.S. Changes Status of Consulate
For years, the consulate has served as a de facto embassy to the Palestinians, reporting straight to the State Department in Washington. Placing it under the authority of the embassy could be seen as suggesting American recognition of Israeli control over East Yerushalayim and Yehudah and Shomron.
The Palestinians cut ties with the U.S. after President Donald Trump recognized Yerushalayim as Israel’s capital last year and moved the U.S. Embassy there.
Source: Hamodia