These cars are simply registered in Israel and can be driven by Israeli Jew, Israeli Arab, tourist, anybody. The video of the incident when Arab kids, and not kids, attack passing cars and invite media to document these attacks are available on Internet. These are premediated attacks designed to injure and destroy property, and also to inflame and disrupt peace. Israel needs to decide if it want to excercise suverenity over the area and act accordingly.
U.S., allies conduct 31 air strikes in Syria and Iraq against ISIS militants (Reuters)
from the article: Life in Silwan: Unbearable for Jews and Palestinians alike