Egypt, Israel, Iraq want to tap into Asia – Europe trade via rail

Countries all along the Middle Corridor are working on their infrastructure to put more Asia – Europe trade goods on the rails. However, beyond the immediate China – Europe rail route, countries in the near east are also looking to use the iron tracks to benefit from global trade flows. How does that work?
Egypt wants to become part of the railway network that connects Asia and Europe, Reuters reported. To that end, the country is working on its own domestic infrastructure, connecting Red Sea ports to the Mediterranean. Yet, the key project has only just come out of the planning stage: a cross-sea connection to Saudi Arabia.

“We have now completed the planning for the bridge between Egypt and Saudi Arabia and are ready to implement it at any time – whether a bridge or a tunnel”, the transport minister in Cairo stated. “But the current solution for connecting Egypt with Saudi Arabia and Jordan is through the Arab Bridge Maritime Co., which currently has 13 vessels that can take cargo between Saudi Arabia, Jordan and Egypt.”

The Port of Alexandria

The Port of Alexandria, Egypt’s Mediterranean coast. Image: Shutterstock. © Luciavonu

On the way to Europe’s consumers

In other words, ships are still vital in getting goods across the Red Sea, from the Arabian peninsula to Egypt. A tunnel or bridge could change that radically: rail freight could then be sent to Mediterranean ports directly, for example to Alexandria. From there, it could head further into Europe.

Besides Egypt, Israel and Iraq have also been significantly invested in rail for trade between east and west. The numbers run into the billions of dollars, but still involve ships for part of the journey as well, Reuters writes.

Israel revived an idea to connect the Red Sea with the Mediterranean via a high-speed line that could compete with the Suez canal, similar to Egypt’s rail plans. For its part, Iraq could take freight from the Persian Gulf and send it northward into Türkiye via the railways, also providing an alternative route to the Suez canal.

In 2023, Iraq and Türkiye approved the Development Road project, linking the Grand Faw Port in the Persian Gulf to Türkiye to boost trade between Asia and Europe. The 1,200-kilometre rail line, costing over 18 billion euros, is set for completion by 2038. The Grand Faw Port, developed for 11,7 billion euros, will support up to 90 daily train pairs and handle 70 million tonnes of freight annually.

Leave a Reply

Your email address will not be published. Required fields are marked *