Good morning, lovely people. We have a brisk read for you this morning — and the cross-cutting theme is energy logistics.

Up first: Kuwait’s quiet moves to court investors for the planned sale of its pipeline network. The sale could generate USD 7 bn for the country, with some expecting the transaction to be official within weeks.

Meanwhile, the UAE and Saudi are also advancing their own energy logistics, with storage and terminal projects targeting LPG products and renewables.

The big logistics story abroad

The US’ new 10% tariff plan took effect yesterday. The 10% rate, which came after the US Supreme Court struck down its earlier emergency‑based tariffs, is enforced despite US President Donald Trump’s announcement that he will raise the rate of his back-up tariffs plan from 10% to 15%, leaving companies and trade partners navigating policy uncertainty.

Tariffs have impacted regional aviation players, with Etihad Airways CEO Antonoaldo Neves pointing out that the disruptions caused to the airline by global tariffs were “bigger than any geopolitical tension” over the past year. The unpredictable shifts in tariff rates hit the airline in the form of short-notice changes to travel patterns. “We saw an impact in demand in the short term, but it [usually] came back very quickly,” Neves said.

Watch this space

WAREHOUSES — Asmo taps Arcapita to develop a new logistics facility: Asmo, an Aramco-DHL joint venture, has roped in Bahrain-based investor Arcapita to bankroll a 1.4 mn sqm purpose-built logistics facility at King Salman Energy Park (Spark). Under the arrangement, Acrapita will fund and own the asset, while Asmo will lead development and operation under a 22-year lease.

What we know: The facility includes a 43k sqm temperature-controlled Grade-A warehouse, 5.3k sqm of chemical storage, and more than 3k sqm of offices. Construction timeline or investment details weren’t disclosed.

The location is the real asset: The site sits between Dammam Seaport, Aramco’s Abqaiq facilities, and Al Hasa, positioning the facility to serve Aramco, its affiliates, and nearby industrial players. The move comes as Saudi warehouse demand continues to outpace supply — especially in the Eastern Province, where new capacity remains limited.

Background: ASMO plans to operate six logistics facilities by 2030, with annual procurement volumes expected to exceed USD 8 bn.

PORTS-– UAE’s Khalifa Port is doubling down on energy infrastructure with a new privately-led Liquefied Petroleum Gas (LPG) storage terminal. AD Ports Group and Nimex terminals broke ground yesterday on the new LPG terminal, which will feature a fully automated storage and distribution system, as well as two propane and butane containment refrigerated storage tanks. The first phase is scheduled to be commissioned within three years.

This is the second major energy storage groundbreaking at Khalifa Port this week, after Oylz Terminals began construction on its 660k petroleum products storage hub at the same site. By clustering LPG and petroleum storage, the port is ramping up its integrated ecosystem that serves energy traders and industrial off-takers.

Market watch

Oil prices are still at almost a seven-month peak as market concerns over a US-Iran military conflict remain high, Reuters reports. Brent crude futures gained USD 0.43 to trade at USD 71.20 / bbl as of 04:00 GMT, while US West Texas Intermediate (WTI) increased USD 0.38 to USD 66.01 / bbl.

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