Good afternoon, everyone. For the second day running, the news cycle is dominated by Egyptian-French ties and the fruit of President Emmanuel Macron’s visit.

THE BIG STORY TODAY-

Getting the ball rolling on the Ras Shoukair EUR 7 bn green hydrogen plant: The Red Sea Ports Authority and the New and Renewable Energy Authority inked a cooperation agreement with a consortium of France’s EDF Renewables and Egyptian-Emirati firm Zero Waste, under which it will design, build, finance, and operate its planned EUR 7 bn green hydrogen plan in Ras Shoukair, according to a statement. The agreement builds on another inked last June during the Egypt-EU Investment Conference.

THE BIG STORY ABROAD-

China fires back with a strong warning after Trump threatens additional tariffs: China’s Commerce Ministry said it would “fight to the end” if US President Donald Trump follows through with plans to slap an additional 50% tariff on Chinese goods, according to a statement. “If the United States implements the tariff escalation measures, China will resolutely take countermeasures to safeguard its own rights and interests,” the ministry said, declaring that “the US’s imposition of so-called ‘reciprocal tariffs’ on China is groundless and a typical unilateral bullying practice.” The tit-for-tat escalation comes on the heels of Trump’s pledge to impose the extra duty by tomorrow midnight if China does not withdraw the 34% retaliatory tariff it applied to US goods last week, amplifying risks of a prolonged trade war between the two countries. (Reuters | Associated Press | Financial Times | Bloomberg)

REFRESHER- If Trump’s additional tariffs on China come into force, total duties on Chinese products would hit 120%.

** CATCH UP QUICK on the top stories from today’s EnterpriseAM:

  • Egypt will continue to rely on a flexible exchange rate regime as a first line of defense against global shocks, central bank Deputy Governor Ramy Aboul Naga said at the EFG Hermes One on One in Dubai attended by EnterpriseAM.
  • The EGP slipped further against the greenback in trading yesterday, sliding to fresh lows and ending the day at a selling price of around EGP 51.44-51.47 as foreign investors continue to exit amid tariff uncertainty.
  • EFG Hermes Research’s annual One-on-One live poll in Dubai presented investor expectations for the year, including a majority expecting the US trade war to escalate further.
  • Egypt and France inked a strategic partnership agreement that will focus on areas including railway industry localization, technical and vocational training, AI, cybersecurity, and green hydrogen.

☀️ TOMORROW’S WEATHER- Expect a drastic cooldown tomorrow in the capital — the mercury is expected to drop by ten degrees to 27°C in the morning, and an even cooler 14°C in the evening, according to our favorite weather app.

Tags: