Netanyahu, President Shimon Peres, legislators and foreign dignitaries gathered at the Knesset for a ceremony marking Holocaust Remembrance Day, The Jerusalem Post reported.
Speakers read off the names of family members who died during the Holocaust.
Jews seek peace but "there are those who seek to extinguish this light of ours," Netanyahu said.
"There will never again be another Holocaust," he said.
Peres said he would never forget what was done to his family.
"They were sent to a wooden synagogue and murdered with gunshots and fire," he said.
Israelis paused to stand in silence for 2 minutes as a siren sounded on the day of remembrance, the Post reported. Drivers on the country's highways pulled over and got out of their cars.