This study aims to analyze the factors and reasons for the United States (US) in recognizing Jerusalem as the capital city of Israel and the transfer of its embassy from Tel Aviv to Jerusalem. The researcher explained that the domistic factors of politics, Military-Economy, and International Context were strong reasons why the US under the skipper Donald Trump made the controversial policy. This US foreign policy is considered to be less popular because it is considered risky/blunder to the existence of Palestine-Israel even the United States in the eyes of the world. Although there was a bill in the US that required the transfer of his embassy in Jerusalem in 1995, but no president dared to make it happen, only when Donald Trump rose to power, he then dared to implement the bill. There are those who support the policy, but who oppose it even more, including the United Nations, the European Union and other Western countries.