Although US President Trump imposed a minimum tariff of 10% on Egypt as part of "Liberation Day," it is expected to suffer a significant economic blow.
This is a result of Egyptian exporters' reliance on the American market and the delicate economic situation in which Egypt is currently in any case.
Egyptian exporters in the clothing, petrochemicals and food sectors are the most concerned, since most of the local production in these sectors is directed to the US market.
Those who will also be affected are Egyptian factories under the QIZ agreement, which requires an Israeli component in every product at a rate of 10.5%. Until now, these products would enter the American market duty-free.
If Trump does not change his decision, Egyptian exports are expected to be affected, and in other words, fewer dollars will flow into the Egyptian market.
The fear is that in this situation, with revenues from the Suez Canal also declining, the Egyptian pound will lose even more of its strength, inflation will rear its head, and many Egyptians will be forced to leave their jobs.