Damascus, Paris Forge New Economic Partnership for Reconstruction

 Macron attends a meeting with al-al-Sharaa in Damascus (EPA)
Macron attends a meeting with al-al-Sharaa in Damascus (EPA)
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Damascus, Paris Forge New Economic Partnership for Reconstruction

 Macron attends a meeting with al-al-Sharaa in Damascus (EPA)
Macron attends a meeting with al-al-Sharaa in Damascus (EPA)

Syria is moving to reshape its investment landscape and turn the page on the legacy of war, driven by complex geopolitical shifts that have redrawn trade and energy routes across the Middle East.

At the forefront is the crisis caused by the closure of the Strait of Hormuz amid the conflict with Iran, a development that has renewed international focus on Syria’s geography as a “safe corridor and vital alternative” for global trade flows.

At the People’s Palace in Damascus, Syrian President Ahmed al-Sharaa and French President Emmanuel Macron laid the groundwork for what officials described as a “strategic shift” by launching a broad economic partnership for reconstruction.

The initiative took shape at a roundtable that brought together senior officials, investors, and leaders of French business during Macron’s first official visit since the end of the civil war in 2024.

The visit aims to move bilateral ties into a new phase based on mutual respect and equal partnership.

Despite security explosions caused by explosive devices that targeted the heart of Damascus and shook the city center near the hotel where the French president spent the night during the talks, the French delegation pressed ahead with activating the partnership.

The high-level French presence, which included major players in shipping, energy and industry, reflected a decisive French and European decision to move beyond security challenges and build an equal partnership based on mutual interests rather than slogans.

In his extended opening remarks, al-Sharaa welcomed leading French industrialists and business figures, saying there was a comprehensive road map for reconstruction and partnership.

He stressed Syria’s geopolitical advantage, saying: “Syria has a strategic location linking the Mediterranean to the Gulf and Iraq, and is only a few hours by sea from Marseille. After the Strait of Hormuz crisis, the world understood the value of safe and stable corridors.”

“Here lies the importance of Syrian geography, which has today regained its vital role as an indispensable hub in the global corridors market. We want France to be our first partner on this path.”

Al-Sharaa outlined the sectors covered by the investment map, saying: “We are talking about an integrated system, from renewing our air fleet, operating our airports and modernizing air navigation systems, to energy exploration in our territorial waters, upgrading electricity and water networks, and developing university hospitals, food industries, digital infrastructure and the civil registry.”

He added: “Syrian industrial cities are ready to serve as a launchpad for your factories. Supporting this is our reliance on Syria’s revival through a sovereign decision. We are building a modern investment environment governed by laws and institutions.”

He concluded by saying the strategic partnership was the model Damascus wanted with Europe and the world because it is “built on interests that serve the peoples of both countries, not on slogans.”

Logistics cooperation

Logistics and shipping emerged as strategic sectors, with the talks resulting in greater commercial influence for the French global shipping group CMA CGM.

Al-Sharaa cited the successful partnership with the group, saying it had signed a contract 14 months earlier to develop the port of Latakia with an investment of 230 million euros, and that within a year, it had decided to inject an additional 200 million euros to raise the port’s capacity.

In that context, CMA CGM Chief Executive Rodolphe Saadé stressed the importance of investment opportunities in Syria, saying: “Today we are reactivating the port of Latakia, and we expect important partnerships with Damascus in various fields.”

Syrian Economy and Industry Minister Nidal al-Sha’ar said Syria was looking for an active French presence in industry, transport, infrastructure, education and health in a way that would add value to both economies.

He said the country had “chosen to open a new page in its economic approach so that it becomes more competitive and more able to integrate into the global economy.”

Talal al-Hilali, head of the Syrian Investment Authority, echoed that view, describing the meeting as “a pivotal stop in Syria’s path toward building a modern economy and investment partnerships.”

Oil meetings

Energy also emerged as one of the most important areas of French engagement. TotalEnergies Chief Executive Patrick Pouyanné met Syrian officials to discuss signing a formal oil exploration contract.

The meetings build on a memorandum of understanding signed by the French company in May with Syria’s General Petroleum Corporation, granting TotalEnergies the right to explore a historically unexplored offshore block in the Mediterranean.

Pouyanné said his company had entered into an alliance with other companies to conduct preliminary studies and analyze technical data for the targeted block, with the aim of converting the memorandum of understanding into a formal contract binding on both parties.

In his assessment of the available technical opportunities, Pouyanné said TotalEnergies usually preferred to find crude oil, but added that the nature of historical discoveries in the eastern Mediterranean, as in Cyprus and Israel, showed that the stronger indicators pointed toward natural gas.

Pouyanné described Syria as strategically important because it is a key transit state at the “crossroads of the Middle East,” enabling the transport of Iraqi oil to the Mediterranean and bypassing the Strait of Hormuz.

He referred to Iraq’s April announcement that it had begun transporting its oil overland by truck through Syrian territory, as well as to talks between Damascus and Baghdad to establish mechanisms for energy transit and to rehabilitate the shared oil pipeline.

But his view was marked by cautious realism. He acknowledged that the current security situation did not allow for immediate fieldwork, saying his visit was aimed at building trust and establishing initial logistical contacts.

He urged investors to show some patience and give the government enough time to impose full control after a civil war that lasted more than 13 years and ended in 2024.

He called on the international community and investors to be patient, giving the Syrian government enough time to consolidate full control and stability.

For his part, the French president said Paris was ready to build trust and enter into partnerships in several fields, including energy, banking, and infrastructure.

He said the two sides had agreed to form joint, expanded economic committees to support efforts to rebuild Syria, adding that there would be a close partnership with Gulf countries within this framework.

Macron acknowledged that Damascus faced many challenges, but said there were also promising opportunities for partnership. He renewed his pledge that France would always stand by the Syrian people to help create a safe and stable investment environment.

As part of supporting financial measures, the Elysee Palace announced the start of formal procedures with Damascus to return 51 million euros, about $58.29 million, to the Syrian state. The funds had been seized from Rifaat al-Assad, the uncle of former President Bashar al-Assad.

The meetings were capped by strong political statements from the leaders of both countries outlining the features of a “new Syria.”

Addressing French business leaders, the Syrian president said the People’s Palace was opening its doors to anyone wishing to contribute to building the future. He stressed that the world had recognized the value of safe and stable trade corridors through Syria after the Strait of Hormuz crisis.



Canada Unveils Counter Tariffs of 15% to 50% on US Goods

Canadian flag is pictured across the Detroit River in Windsor, Ontario, Canada, 25 August 2026. EPA/ARI SAPERSTEIN
Canadian flag is pictured across the Detroit River in Windsor, Ontario, Canada, 25 August 2026. EPA/ARI SAPERSTEIN
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Canada Unveils Counter Tariffs of 15% to 50% on US Goods

Canadian flag is pictured across the Detroit River in Windsor, Ontario, Canada, 25 August 2026. EPA/ARI SAPERSTEIN
Canadian flag is pictured across the Detroit River in Windsor, Ontario, Canada, 25 August 2026. EPA/ARI SAPERSTEIN

Canada on Tuesday announced counter-tariffs on US goods ranging between 15 percent and 50 percent, intensifying the trade war between the historically close allies.

Ottawa's retaliation takes effect September 8, a timeframe earlier outlined by Prime Minister Mark Carney after US President Donald Trump's 50-percent duties on Canadian products came into place Saturday.

In detailing Ottawa's response, officials said Tuesday that its duties will match US levels. These impact industries like steel, dairy and electronics.

Canada's government also announced a $5.4 billion (CA$7.5 billion) aid package for impacted firms and workers.

"This is an unprecedented challenge imposed on Canada. But Canada will meet the moment," AFP quoted Canada's Finance Minister Francois-Philippe Champagne as saying.

"I think what Canadians can see this morning is that we stand united. We stand united in our response," he added.

The steep US tariffs hit about $20 billion in Canadian goods -- about 5.5 percent of its exports to the United States -- after trade negotiations collapsed at the eleventh hour.

Under Canada's planned response, US steel and aluminum products previously subject to a 25-percent duty will soon face 50-percent tariffs.

Goods facing 25-percent tariffs will include appliances, dairy products like cheese, as well as certain steel and aluminum derivative products.

A small category will see a 15-percent duty, including electric equipment and tools.

Overall, these form about 7.3 percent of Canada's imports from the United states.

But analysts warn of tit-for-tat escalation.

Already, Trump additionally pledged Monday to double tariffs on Canadian autos starting next year, up to 50 percent from the current 25 percent for non-US content.

Ontario Premier Doug Ford criticized Trump's threat on autos, saying he could "kiss my ass" and threatening an electricity export surcharge.

A freighter travels along the Detroit River in Detroit, Michigan, USA, 25 August 2026. EPA/ARI SAPERSTEIN

In an earlier phase of the dispute, Ontario imposed a temporary 25-percent surcharge on electricity exports to three US states.

Trump lashed out at Ford, warning of "far worse" consequences. He also referred to Carney as a "governor," re-upping his inflammatory push for Canada to become the 51st US state.

Highlighting the animosity, Trump said Tuesday he was considering renaming Lake Ontario as "Lake America," as he did last year with the Gulf of Mexico, which he said should now be called the "Gulf of America."

Trump's latest tariffs do not exempt products covered by the US-Mexico-Canada free trade agreement (USMCA). They raise the US effective tariff rate on Canadian exports to 6.9 percent from 5.1 percent, Oxford Economics estimates.

Tariffs on plastics, electrical machinery, and wood and paper products contribute most to the increase.

"Manufacturers in Quebec, New Brunswick, and Ontario will be affected the most," Oxford Economics said.

Over the weekend, Carney said US negotiators sought restrictions on Canadian trade deals with other countries at the last minute.

US officials made unacceptable "threats" to the French language and "Quebec culture" too, he added, referring to eastern Canada's French-speaking province.

But Trump pushed back Tuesday, saying on Truth Social that he would "never interfere with Canadians speaking French!"

"This lie was made up by a weak and ineffective Prime Minister in an attempt to gain political support," Trump charged.

The United States is Canada's biggest trading partner, with Canadian exports to its neighbor representing 70 percent of its overall total.

Canada is the second biggest US trading partner in goods this year, behind Mexico.
Polling released Sunday by the Angus Reid Institute showed Canadian broadly support Carney's move to walk away from talks, but some fear economic repercussions.

The White House had alleged "discriminatory treatment" by Canada against US alcohol, automobile and dairy products in rolling out new tariffs.

Trump delayed their implementation, but both sides failed to reach an agreement after hours of talks.

Beyond tariffs, Washington and Ottawa also have to agree on revisions to the USMCA, which Trump declined to renew in its current form.


French Entrepreneur: Saudi Arabia is a Launchpad for Technology into Global Markets

The Biban Forum in Riyadh, specializing in startups (SPA)
The Biban Forum in Riyadh, specializing in startups (SPA)
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French Entrepreneur: Saudi Arabia is a Launchpad for Technology into Global Markets

The Biban Forum in Riyadh, specializing in startups (SPA)
The Biban Forum in Riyadh, specializing in startups (SPA)

French entrepreneur and investor Julie Barbier does not see Saudi Arabia merely as a promising market for technology companies, but as a global launchpad that enables the testing, development, and scaling of breakthrough technologies.

The founder and CEO of Merit believes that the Kingdom's combination of digital infrastructure, capital availability, execution speed, and broad customer base makes it an attractive environment for building technology products that can subsequently expand into regional and international markets.

In an interview with Asharq Al-Awsat, Barbier said that the economic transformation driven by Vision 2030 has created a highly ambitious business environment that is quick to embrace new ideas, alongside the restructuring of major sectors including finance, tourism, transportation, trade, logistics, and government services.

She cited the experience of Merit, a global company specializing in engagement and incentive technologies, whose Saudi team achieves innovation efficiency levels 59 percent higher than the company's internal innovation benchmark and generates about eight innovation initiatives each week.

Barbier said Saudi Arabia has become one of the world's most attractive environments for launching, validating, and scaling new technologies, benefiting from high rates of digital adoption, a willingness among major institutions to collaborate with innovative solutions, abundant capital, and the simultaneous transformation of entire economic sectors.

She explained that these conditions provide entrepreneurs with access to real-world use cases and serious customers, allowing them to launch and test new products at scale before rapidly refining and adapting them for expansion into other markets.

In her view, the Kingdom's pace of transformation also encourages a greater willingness to challenge traditional methods, a critical factor when developing new solutions.

For Merit, which selected Riyadh as its regional headquarters, Barbier said the company's presence in Saudi Arabia gives it direct access to customers and partners while enabling it to develop and test products before introducing them internationally.

"That is why I see Saudi Arabia not simply as a technology market, but as a launchpad for companies with regional and global ambitions," she said.

French entrepreneur and investor Julie Barbier (Asharq Al-Awsat)

Vision 2030: From Ambition to Rapid Execution

Barbier said one of Vision 2030's most significant contributions has been providing the Kingdom with a clear direction and a high level of ambition shared by government institutions, businesses, investors, and entrepreneurs.

"In a transformation of this scale, it is natural for some goals to progress faster than others, but the direction is clear and the momentum is strong," she said.

She believes that the clarity of ambition across the business ecosystem directly influences how new ideas are received. Decisions are made more quickly, experimentation is encouraged, and companies become more willing to adopt new ways of working.

Barbier likened Vision 2030 to a wave pushing the entrepreneurial ecosystem forward. Entrepreneurs and companies operating in the Kingdom are not merely benefiting from this momentum, she said; they are also helping to create it and moving in the same direction.

Merit's experience reflects that transformation. Although the company operates through approximately eight offices and employs staff from 24 nationalities, its Saudi team performs 59 percent better on the company's internal innovation index and launches around eight innovation initiatives each week.

According to Barbier, these figures are a practical demonstration of Vision 2030's impact.

"It is not simply a government strategy," she said. "It creates an environment that encourages people to work harder, experiment more, move faster, and think on a larger scale."

She added that this momentum has become part of Merit's strategic advantage: "We benefit from it and contribute to strengthening it."

A Digital Environment that Shortens the Path from Idea to Execution

Discussing her experience as a French entrepreneur and investor leading a global technology company from Riyadh, Barbier said what distinguishes Saudi Arabia's business environment is the speed with which decisions move from ambition to implementation, something entrepreneurs notice in their daily operations.

She noted that a wide range of services have become digital, from government services, digital identity, and payments to banking and business management. Many procedures that once required paperwork, appointments, or multiple intermediaries can now be completed digitally with increasing ease.

Barbier believes this digital transformation is not simply changing service delivery but is also reshaping the business mindset itself by raising expectations regarding execution speed and customer experience, while a broad technology infrastructure continues to be built across the Kingdom.

In this context, she highlighted the role of Saudi companies in strengthening the ecosystem. She noted that HUMAIN is developing capabilities in data centers, cloud infrastructure, models, and applications, while the government-owned company Elm serves as an example of how deeply technology has become integrated into sectors such as government services, finance, logistics, and business services.

Regarding Merit's decision to establish its regional headquarters in Riyadh, Barbier said the Kingdom's importance to the company extends beyond market size to include the environment it offers for product development, testing, and expansion.

"That is why we chose Riyadh as our regional headquarters," she said, "while continuing to develop products and technologies from Saudi Arabia that target global markets."

French entrepreneur and investor Julie Barbier at the Biban Forum in Riyadh (Asharq Al-Awsat)

The Future of Female Entrepreneurship in Saudi Arabia

Asked about the future of female entrepreneurship in the Kingdom, Barbier said: "I witnessed tremendous passion for entrepreneurship during my recent participation in the Saudi Unicorns Forum in Abha, where I met several female founders. What stood out was not only their ability to build companies, but also their level of ambition, commitment, and desire to expand and grow."

She noted that Saudi women are already active as founders, chief executives, investors, and decision-makers. What further strengthens their role, she said, is the growing entrepreneurial support ecosystem, which includes business leaders, investors, and experienced mentors who open doors, share expertise, and support the next generation of female entrepreneurs.

"I would also like to mention Princess Reema bint Bandar, the Custodian of the Two Holy Mosques' Ambassador to the United States, whose leadership and support have helped create more opportunities and support for the next generation of Saudi female entrepreneurs," she said.

Barbier added that Merit has witnessed similar progress internally across areas including product management, design, and marketing, where women directly influence the products the company develops, the decisions it makes, and the way it grows.

"Therefore, I do not believe the question today is whether Saudi women participate in entrepreneurship," she added. "They are already present and playing an active role. The next step is enabling more founders to scale by expanding access to capital, mentorship, and international networks, helping them build companies capable of growing regionally and globally."


HUMAIN, Mistral Collaborate to Advance Sovereign AI in Saudi Arabia and Regionally

Guests at the booth of Saudi AI company HUMAIN during the Future Investment Initiative conference in Riyadh (Company photo)
Guests at the booth of Saudi AI company HUMAIN during the Future Investment Initiative conference in Riyadh (Company photo)
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HUMAIN, Mistral Collaborate to Advance Sovereign AI in Saudi Arabia and Regionally

Guests at the booth of Saudi AI company HUMAIN during the Future Investment Initiative conference in Riyadh (Company photo)
Guests at the booth of Saudi AI company HUMAIN during the Future Investment Initiative conference in Riyadh (Company photo)

Saudi Arabia’s HUMAIN and French Artificial Intelligence company Mistral have announced a strategic collaboration spanning AI infrastructure, advanced model development, and the deployment of AI solutions in Saudi Arabia and across the region.

“Together, the companies will pursue the development and localization of advanced AI models, with initial areas of focus including cybersecurity and voice,” HUMAIN said in a statement on Monday.

“The companies also plan to develop frontier models that perform strongly in Arabic language to help support the broader region. This represents a collaboration in the hundreds of millions of Euros.”

“As part of the collaboration, Mistral will explore using HUMAIN's data center infrastructure to support growing local compute needs,” said the statement.

It added that the two companies also plan to develop a joint go-to-market strategy in the Kingdom focused on bringing advanced AI solutions to regulated industries.

CEO of HUMAIN Tareq Amin said on X that “the collaboration spans AI infrastructure, advanced model development and AI solutions, including plans to develop and localize frontier models with strong Arabic-language capabilities.”

According to the HUMAIN statement, “the collaboration is designed to meet growing demand for sovereign AI: AI that keeps data, intelligence, compute, and operations under the customer's control.”

“That means data can remain within customer-defined boundaries, models can be adapted and owned on open weights, training and inference can run on infrastructure and in jurisdictions the customer chooses, and AI systems can be deployed, governed, observed, and improved over time without ceding control of the learning loop to an external platform.”

The statement stressed its importance in financial services, manufacturing, telecommunications, cybersecurity, and the public sector.