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Egypt Prepares to Launch New Export Subsidies Program

Container ship sails through the Suez Canal (File Photo: Egypt)
Container ship sails through the Suez Canal (File Photo: Egypt)
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Egypt Prepares to Launch New Export Subsidies Program

Container ship sails through the Suez Canal (File Photo: Egypt)
Container ship sails through the Suez Canal (File Photo: Egypt)

Egypt’s Minister of Trade and Industry Nevine Gamea announced the main features of a new program of export subsidies which includes boosting national industry, developing Upper Egypt and the country’s border areas, as well as supporting projects established in the Suez Canal Economic Zone (SCZone).

Gamea held a meeting with heads of export councils to review the main features of the new program ahead of submission to Prime Minister Mostafa Madbouly for approval.

She pointed out that the program includes developing and enhancing exports to African and new markets, in addition to supporting land, sea, and airfreight for exports, as well as supporting export infrastructure.

Gamea added that it aims to increase export rates and avoid a decrease in Egyptian exports affected by the global economic downturn due to the coronavirus pandemic.

In addition, it would help achieve a substantial increase in Egyptian exports as the main source of foreign exchange, and a growth engine for competitive industries in the country, which are highly competitive in global markets.

She explained that the goals of the new program include increasing employment rates in various industries and achieving a fundamental shift in local and foreign investments while accommodating the economic repercussions of COVID-19.

The program also aims to enhance the national industry and the quality of the Egyptian product, as well as linking the Egyptian product to global supply chains and creating a new generation of exporters, according to the minister.

Gamea emphasized that the political leadership and the government want to expand Egyptian exports to foreign markets, that being a main catalyst for a large number of productive sectors in the local economy.

She pointed out that the new program reflects the current trends of the Egyptian government to develop the national industry and increase exports to global markets.

The minister pointed to the importance of reaching a complete consensus on the new program to achieve its desired goals in the industrial and export sectors.

The Ministry of Trade and Industry is keen to open new markets for Egyptian exports, especially in light of the exceptional circumstances that the global economy is going through due to the COVID-19 outbreak, Gamea said.

For their part, the export councils’ heads indicated the importance of addressing the problems of each council separately in the new program, in addition to supporting participation in local, global, and virtual exhibitions.

They also demanded achieving legislative stability for the industrial sector to enable the completion of projects that require several years to implement.

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Business

CEO: Exxon Evacuated Non-essential Middle East Staff

An Exxon gas station sign in Dallas, Friday, March 6, 2026. (AP Photo/Tony Gutierrez)
An Exxon gas station sign in Dallas, Friday, March 6, 2026. (AP Photo/Tony Gutierrez)
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CEO: Exxon Evacuated Non-essential Middle East Staff

An Exxon gas station sign in Dallas, Friday, March 6, 2026. (AP Photo/Tony Gutierrez)
An Exxon gas station sign in Dallas, Friday, March 6, 2026. (AP Photo/Tony Gutierrez)

Exxon Mobil has evacuated non-essential employees from its operations in the Middle East, CEO Darren Woods said in an interview on Tuesday, as the US-Israel war on Iran continues.

Some operations have been scaled back to manage oil inventory levels as traffic through the Strait of Hormuz has been challenged, he said. ⁠Exxon is a ⁠minority partner in oil and gas projects in the UAE, Qatar and Saudi Arabia.

"Our first and highest priority is making sure our people remain safe, and we evacuated folks who weren't critical or essential to the operations that we were providing support for," Reuters quoted Woods as saying.

Traffic ⁠through the Strait of Hormuz, an important waterway between Iran and Oman that sees one-fifth of the world's oil supply pass through it, has effectively halted after Iran threatened to attack tankers that attempt to pass.

US President Donald Trump on Monday threatened to escalate the war with Iran if it blocked oil shipments from the Middle East, even as he predicted a quick end to the conflict.

With exports strained, oil producers have ⁠cut output ⁠at some oilfields as storage capacity runs out.

"The ability to manage ... inventory becomes very challenged, and many of the operations are pulling back simply to manage inventory levels as the logistics in the supply chain and the flow through the Strait get worked (through) with time," Woods said.

About 20% of Exxon's oil and gas production is in the Middle East, according to analysts from Jefferies. Nearly 60% of the US oil major's liquefied natural gas business is concentrated in the region, according to TD Cowen.

Business

EU Opposes Removing Oil Sanctions on Russia to Cool Energy Prices

Pumpjacks operated by Aera Energy work the wells at the Midway-Sunset field near Taft in Kern County, California, on March 8, 2026. (Photo by Frederic J. BROWN / AFP)
Pumpjacks operated by Aera Energy work the wells at the Midway-Sunset field near Taft in Kern County, California, on March 8, 2026. (Photo by Frederic J. BROWN / AFP)
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EU Opposes Removing Oil Sanctions on Russia to Cool Energy Prices

Pumpjacks operated by Aera Energy work the wells at the Midway-Sunset field near Taft in Kern County, California, on March 8, 2026. (Photo by Frederic J. BROWN / AFP)
Pumpjacks operated by Aera Energy work the wells at the Midway-Sunset field near Taft in Kern County, California, on March 8, 2026. (Photo by Frederic J. BROWN / AFP)

EU economy chief Valdis Dombrovskis said Tuesday the European Union did not support removing sanctions on Russian oil despite soaring energy prices, AFP reported.

"We must continue to exert maximum pressure on Russia," he said when asked about US President Donald Trump's announcement he will waive some sanctions on oil, warning easing restrictions would "reinforce Russia's capacity to wage war, undermining Ukraine".

Business

Airlines Hike Ticket Prices as Iran War Propels Fuel Costs

A Qantas logo is visible on the tail of an airplane at an airport in Sydney, Australia, September 18, 2025. (Reuters)
A Qantas logo is visible on the tail of an airplane at an airport in Sydney, Australia, September 18, 2025. (Reuters)
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Airlines Hike Ticket Prices as Iran War Propels Fuel Costs

A Qantas logo is visible on the tail of an airplane at an airport in Sydney, Australia, September 18, 2025. (Reuters)
A Qantas logo is visible on the tail of an airplane at an airport in Sydney, Australia, September 18, 2025. (Reuters)

Australia's Qantas Airways , Scandinavia's SAS and Air New Zealand announced airfare hikes on Tuesday, blaming an abrupt spike in the cost of fuel caused by the Middle East conflict.

Jet fuel prices, which were around $85 to $90 per barrel before US-Israeli strikes on Iran, have soared to between $150 and $200 per barrel in recent days, New Zealand's flag carrier said as it suspended its financial outlook for 2026 due to uncertainty over the conflict.

The war, which disrupted shipping via the world's most vital oil export route, has sent oil prices surging, upending global travel, pushing airline tickets on some routes sky-high, and sparking fears of a deep travel slump that could lead to widespread grounding of planes.

"Increases of this magnitude make it necessary to react in order to maintain stable and reliable operations," an SAS spokesperson said in a statement to Reuters, adding it had implemented a "temporary price adjustment".

The largest Scandinavian airline said last ‌year it had temporarily ‌adjusted its fuel hedging policy due to uncertain market conditions and that it had no ‌fuel ⁠consumption hedged for the ⁠following 12 months.

While several Asian and European airlines, including Lufthansa and Ryanair, have oil hedging in place, securing a part of their fuel supplies at fixed prices, Finnair warned that even the availability of fuel could be at risk if the conflict dragged on.

"A prolonged crisis could affect not only the price of fuel but also its availability, at least temporarily," a Finnair spokesperson said, adding that it had not seen this happening yet. It had hedged over 80% of its first-quarter fuel purchases.

AIRSPACE CHAOS IN THE MIDDLE EAST

Highlighting the airspace chaos in the Middle East, planes arriving in Dubai were briefly placed in a ⁠holding pattern on Tuesday due to a potential missile attack, flight tracking service Flightradar24 said on X. ‌The planes eventually landed.

Qantas said in addition to increasing international fares, it was exploring ‌options to redeploy capacity to Europe as airlines and passengers seek to evade disruptions in the Middle East, where drone and missile fire have ‌curtailed flights.

Airfares have soared on Asia-Europe routes due to airspace closures and capacity constraints, and Hong Kong's Cathay Pacific Airways said on ‌Tuesday it was adding extra flights to London and Zurich in March.

Air New Zealand said it had raised one-way economy fares by NZ$10 ($6) on domestic routes, NZ$20 on short-haul international services and NZ$90 on long-haul, with more adjustments to prices and schedules possible if jet fuel costs remain elevated.

Hong Kong Airlines said on its website it would raise its fuel surcharges by up to 35.2% from Thursday, with the sharpest increase on flights between ‌Hong Kong and the Maldives, Bangladesh and Nepal.

AIRLINE SHARES STABILISE AFTER SELLOFF

Some airline stocks rose and oil prices fell to around $90 a barrel on Tuesday from a high of $119 on Monday ⁠after US President Donald Trump said ⁠on Monday the war could be over soon. When markets opened in Europe, airline shares were up between 4% and 7%.

In Asia, airline shares showed signs of stabilising, with Qantas closing up 0.5%, Korean Air Lines rising 3% and Cathay Pacific up 3.6%. All had recorded sharp declines on Monday.

Fuel is the second-largest expense for air carriers after labor, typically accounting for a fifth to a quarter of operating expenses.

CONFLICTS SHRINKING AVAILABLE AIRSPACE

In addition to high fuel costs, tightening airspace also threatens to derail the global travel industry, as pilots reroute to avoid the Middle East conflict and capacity on popular routes fills up.

Emirates, Qatar Airways and Etihad typically jointly account for about one-third of the passenger traffic between Europe and Asia and fly more than half of all passengers from Europe to Australia, New Zealand and nearby Pacific Islands, according to Cirium.

European airlines have already struggled with the shortage of available airspace created by the war in Ukraine, with many avoiding Russian airspace and flying longer international routes. Now, with even less available airspace, they say their business has become even more challenging.