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Saudi Industry Minister: Kingdom Aspires to Be Effective Economic Partner in Tunisia

Saudi Minister of Industry and Mineral Resources Bandar bin Ibrahim Alkhorayef. (SPA)
Saudi Minister of Industry and Mineral Resources Bandar bin Ibrahim Alkhorayef. (SPA)
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Saudi Industry Minister: Kingdom Aspires to Be Effective Economic Partner in Tunisia

Saudi Minister of Industry and Mineral Resources Bandar bin Ibrahim Alkhorayef. (SPA)
Saudi Minister of Industry and Mineral Resources Bandar bin Ibrahim Alkhorayef. (SPA)

Saudi Minister of Industry and Mineral Resources Bandar bin Ibrahim Alkhorayef stressed on Tuesday that the Kingdom aspires to be an effective economic partner in Tunisia by exploring investment opportunities and sharing them with the private sector, to achieve the objectives of the two countries and boost the level of trade.

Alkhorayef, who headed the Saudi delegation to the 11th Saudi-Tunisian Joint Committee meeting held in Tunis, said Saudi Arabia and Tunisia share a religious, cultural and social heritage, forming a solid basis for further boosting political and economic ties.

The minister commended the positive Tunisian stance toward the Kingdom, and its constant support of Saudi Arabia in all forums, and conveyed the gratitude of the Kingdom for Tunisia’s support for Riyadh to host Expo 2030 and for the Kingdom's bid to host the 2034 FIFA World Cup.

Alkhorayef welcomed the signing of seven memoranda of understanding between the two sides, in the fields of industry, tourism, environment, agricultural scientific research, meteorology, climate, water and labor, on the sidelines of the meeting, and said that they reflect the keenness of the two countries to broaden cooperation.

He expressed satisfaction with the Saudi-Tunisian Investment and Partnership Forum that will be held on Wednesday.

Tunisian Minister of Finance and Interim Minister of Economy and Planning Sihem Nemsia expressed pride in hosting this event in Tunisia, saying it is testimony to the deep ties between the two countries.

She expressed keenness to boost cooperation and joint action to achieve the goals of their people and economic, social and cultural prosperity, peace and security in the Arab region.

She stressed that the event will be an opportunity for participants to consult and agree on programs in order to arrive at the best conditions for fruitful cooperation between the two countries, and to boost access to investment opportunities, develop business and exchange expertise, thus upgrading the global value chains and leveraging the advantages offered by the Tunisian and Saudi economies.

She highlighted Saudi Arabia's support for Tunisia's development process, thanks to the wise leaderships of the two countries. The areas of cooperation have diversified to include economic, social and cultural activities, serving as a true example and a reflection of the depth of historical relations.

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Trump’s Copper, Aluminium Tariffs May Raise Costs for US Consumers 

President Donald Trump speaks to reporters aboard Air Force One en route from Miami to Joint Base Andrews, Md., Monday, Jan. 27, 2025. (AP)
President Donald Trump speaks to reporters aboard Air Force One en route from Miami to Joint Base Andrews, Md., Monday, Jan. 27, 2025. (AP)
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Trump’s Copper, Aluminium Tariffs May Raise Costs for US Consumers 

President Donald Trump speaks to reporters aboard Air Force One en route from Miami to Joint Base Andrews, Md., Monday, Jan. 27, 2025. (AP)
President Donald Trump speaks to reporters aboard Air Force One en route from Miami to Joint Base Andrews, Md., Monday, Jan. 27, 2025. (AP)

President Donald Trump's vow of tariffs on US copper and aluminium imports would result in higher costs for local consumers because of a shortfall of domestic production and the length of time it would take to renew the industry, analysts and industry participants said on Tuesday.

In a speech to Republican lawmakers on Monday, Trump said he would impose the tariffs on aluminium and copper - metals that are needed to produce US military hardware - as well as steel, to entice producers to make them in the United States.

"We have to bring production back to our country," he said.

Trump won the US presidency in November vowing to lower costs for consumers still smarting from an inflation surge in the first half of his predecessor Joe Biden's term. However, analysts argue his plan for tariffs on imports to bolster the country's manufacturing sector, another of his promises, may undercut his price-cutting pledge.

It was not clear how broadly the tariffs could be applied, but several mining CEOs have previously said they are preparing for different scenarios as markets brace for a potential change to trade flows.

"There’s a few unknowns here. Will these tariffs be enacted, and at what scale, and who will pay? Ultimately, they generally get paid by the consumer particularly in the case where there’s no domestic substitute," said analyst Daniel Morgan at Sydney investment bank Barrenjoey.

US aluminium and copper smelters have been closing and would need new infrastructure and power contracts to restart, among other measures, all of which take time, he said.

Aluminium producers in Canada such as Rio Tinto and Alcoa would be unlikely to take revenue hits, instead the costs would likely be rolled to automakers who would then pass them to US consumers, he added. Rio Tinto declined to comment.

An Alcoa spokesperson pointed to comments from CEO William Oplinger from a results call last week that flagged the potential for "wide ranging effects on supply, demand and trade flows". He estimated that a 25% tariff on current Canadian export volumes to the US could represent $1.5 billion to $2 billion of additional annual costs for US customers.

An executive at India's top mining lobby group noted the US is the biggest export market for its aluminium, and it expects India's government to take action by convincing Trump not to issue any levies.

"If Trump imposes tariffs, it will have an adverse impact particularly on aluminium because Europe is already on path to impose a carbon tax and the UK might do it too," said B.K. Bhatia, additional secretary general at the Federation of Indian Mineral Industries.

On copper, John Fennell, CEO of the International Copper Association Australia said any tariff on imports to the US would impact its industry given the country is a net copper importer, although it may speed the development of new mines such as Rio Tinto's Resolution in Arizona.

"This could be good for new mines like Resolution but that is many years off, and the pain would be felt by local manufacturers paying the tariffs in the interim," he said.

Freeport-McMoRan CEO Kathleen Quirk said last week that the miner would not be affected by any copper tariffs as they sell all their US copper domestically and their Indonesian metal goes to Asia. But she worried about any potential inflationary effects of copper tariffs.

In Japan, the world's third-largest steel maker, steel and aluminium tariffs during Trump’s previous term had a limited impact, noted Tomomichi Akuta, senior economist at Mitsubishi UFJ Research and Consulting.

"The majority of Japan's steel exports are value-added specialty products. And since value-added products were excluded, we expect a similar approach this time. These value-added products are difficult to substitute, making them less likely to be targeted," Akuta said.