They held most of gaza hostage, blocking their access to international waters off gaza's own coast, based on the actions of a much smaller subset of those people. That seems about the most classical example of holding hostage as it gets.

Who says Israel should trade to them? I completely agree with Israel's right of shutting off Israeli borders and trade with Gaza

I'm talking about motion from Gazan waters to directly adjacent international waters, none of which involves touching anything sovereign to Israel.

One of the reasons not to start wars with other countries is it gives them the right to blockade your ports.

But it was closed after a civil war within Gaza where Hamas took over circa 2007, not in response to a war with "other" countries. The blockade has been in places for nearly 20 years.

I think if Israel believes that weapons can be smuggled via sea, which is reasonable given the smuggling via Sinai and Rafah crossing, then they took the rational step of mitigation this risk.

Gazans could smuggle in arms, ergo refugees can't escape out into international waters towards whoever might receive them?

That doesn't make sense, it seems as if they're held hostage by Israel forced to stay in the very land where their own terrorist government might impress them into servitude towards use against Israel.

I can’t image 2 millions gazans going by boats into international waters. To what end? Where would they get so many boats?

The sad part is that Egypt has an obligation under international law to allow refugees into its territory. But Egypt refused.

They have gotten their hostage back 8 months ago, did they stop bombing yet?

The blockade started in 2007