The Yesha Council of Settlers reacted angrily Tuesday to a Haaretz report detailing Prime Minister Benjamin Netanyahu's plan for a West Bank withdrawal as part of a diplomatic initiative to counter an impending unilateral Palestinian declaration of statehood.

Netanyahu is weighing a withdrawal of Israel Defense Forces troops from the West Bank and a series of other measures to block the "diplomatic tsunami" that may follow international recognition of a Palestinian state within the 1967 borders at the United Nations General Assembly in September.

"Instead of behaving with a cool head and reason, Israel is radiating panic," Yesha said in a statement.

According to Yesha, Israel's "panic" is a self-fulfilling prophecy, inasmuch as the Arab world and the international community can sense this panic and as therefore intensify their demands on Israel.

The council added that "the correct path is to clarify that unilateral Palestinian steps will be met with our own unilateral steps, such as the assumption of sovereignty over Judea and Samaria or parts of it, in parallel with applying diplomatic, economic, security and other pressures available to Israel."