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Cool thinking behind the recognition wave

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As of September 22, during the 80th session of the United Nations General Assembly, another ten countries recognized Palestine: the United Kingdom, Canada, Australia, Portugal, Belgium, Monaco, Belgium, Luxembourg, Malta, and Andorra. The important feature of this “recognition wave” is that the State of Palestine has received widespread recognition from influential developed Western countries, bringing an explosive surge of large-scale and high-quality diplomatic recognition to the cause of Palestinian independence. Weighty countries in the Western world such as Germany, Italy and Japan, although under tremendous pressure from the United States, have also respectively stated that “recognizing the State of Palestine should be the end point of negotiations on the ‘two-state solution’,” “will recognize the State of Palestine conditionally,” and “recognizing the State of Palestine is only a matter of time.”

At this point, among the five permanent members of the UN Security Council, only the United States refuses to recognize the State of Palestine; among the 193 UN member states, the number that recognize the State of Palestine has reached 157, only nine fewer than Israel, which has been established for 83 years. Therefore, this roaring “recognition wave” can be called a historic victory for the Palestinian people. It embodies the international community’s collective affirmation of historical fairness, social justice, and the axioms of civilization; it reflects the unstoppable trend of the times; and it also reflects the great sympathy and firm support of the international family for the Palestinian people, who have endured profound suffering. On the 23rd in New York, U.S. President Trump, during a meeting with leaders and dignitaries of eight Arab and Islamic countries, proposed a “21-point peace plan” aimed at ending the Gaza war and also explicitly pledged to prevent Israel from annexing the West Bank.

The emergence of this “recognition wave,” in a certain sense, is also a victory of the Palestinian people’s continued struggle based on their natural rights endowed by international law, and can even be called a political victory for the Palestinian Islamic Resistance Movement (Hamas). As I have analyzed many times, by launching the large-scale cross-border suicide attack “Al-Aqsa Flood,” inflicting heavy damage on Israel and thereby igniting the “Sixth Middle East War” that has lasted nearly two years and affected the entire Middle East, and by paying the price of unprecedented loss of life and property by the Palestinian people as well as plunging the entire region into war, turmoil, and insecurity, Hamas has made the world community feel the pain of the Israeli-Palestinian conflict and enabled the international community to truly realize that the Palestinian issue is the core issue of Middle Eastern disputes.

Of course, Hamas must be condemned for harming Israeli civilians in the cross-border attacks, for kidnapping, abducting and detaining hundreds of civilians for long periods and causing the deaths of some detainees. It must also be pointed out that Hamas’s “self-mutilating” radical strategy of awakening the international community and seeking international sympathy at the cost of the unprecedented suffering of 2.3 million Palestinians in Gaza and the sacrifice of 65,000 lives is not worthy of affirmation and certainly not of praise. Under no circumstances can lofty goals and just demands be premised on the mass death of civilians, nor can they be achieved by means of mutual destruction.

The emergence of this “recognition wave” is of course a major historical failure for Israel and even for the Jewish nation. It not only reflects the international community’s firm rejection of Israel’s zero-sum thinking, law-of-the-jungle approach, logic of might, and fetishization of the military in its national policies and behavior, but also a firm opposition to Israel’s creation of a “hell on earth” in the Gaza Strip, its ethnic cleansing, its implementation of a “scorched-earth policy,” and its use of hunger as a weapon. It is also a firm resistance to Israel’s barbaric acts of arbitrarily invading neighboring sovereign countries in violation of the bottom line of human civilization, extinguishing the conscience of civilization, and violating the UN Charter and international law.

Israel can be described as having “asked for the hammer and gotten hammered.” In order to realize the mirage of “Greater Israel,” to nibble away at and annex the ancestral land of the Palestinian people, to obtain unilateral, one-sided, even selfish so-called absolute security, and even for the ethnic ideals, political propositions, and personal futures of extreme right-wing groups, it has been willing to place the country in a constant “state of war,” to seize cities and expand battlefronts through militarism and state terrorism, and even to openly and brutally attack friendly countries, ultimately turning itself into an undisputed “outcast of the West” and an “international orphan.”

Israel’s war-mongering and retrograde actions over the past two years have long provoked the wrath of heaven and the resentment of people, and have ultimately forced a large number of European countries that had long indulged its policies of aggression and expansion to take the opposite side, to stand with the Palestinian people, turning a country that entered the First World through innovation and self-struggle into a sovereign actor driven by war, speaking with its fists, flaunting force, and maintaining regime stability through endless military operations. Israel’s unscrupulous practice of “sustaining war with war” and “sustaining governance with war” has also completely overdrawn the international sympathy accumulated by the “Jewish Holocaust” and the millennia of Jewish suffering, and has in many countries triggered anti-Israel waves and even awakened anti-Semitism. This is a major loss for Israel and the Jewish people that is immeasurable and difficult to remedy.

However, the “recognition wave” is only a moral highlight, a diplomatic spectacle, and a momentary bustle; the Israeli-Palestinian conflict still needs cool-headed thinking to seek its path to resolution.

First, the State of Palestine announced its establishment as early as 1988, and became one of the only two observer states of the United Nations as well as a member of multiple UN organizations. However, the State of Palestine remains a de jure state, a state on paper, although it possesses inherent land recognized and guaranteed by international law, has a semi-autonomous government that has fallen into paralysis, and enjoys diplomatic recognition by most sovereign states along with extensive diplomatic relations.

The key problem is that the territory set for the State of Palestine, namely the limited space that accounts for only 23% of the entire area of Palestine before the partition between Arabs and Jews — East Jerusalem, the Gaza Strip and the West Bank of the Jordan River — still remains entirely in Israel’s hands. Broad international recognition cannot automatically bring about the independent, autonomous and free presence of the State of Palestine on this land. Therefore, the State of Palestine remains a national dream yet to be realized.

Second, Israel resolutely opposes the establishment of a Palestinian state, especially one that is unilateral or imposed from outside. Owing to the strong and unconditional protection of the United States, even if the State of Palestine, in accordance with international law and the collective self-defense obligations stipulated in the UN Charter, were to call on the international community to take all measures to “liberate Palestine,” it would still be impossible for a multinational force led by great powers to use military threats or even military action to forcibly recover from Israeli occupation the sovereign land recognized by the international community for the State of Palestine. Israel will inevitably, with the posture of a nationwide war, thwart any attempt to establish a Palestinian state through external military intervention.

So long as American hegemony does not decline, so long as the American view of Israel does not change, so long as the strong alliance between the United States and Israel remains, and so long as the conditions for Israel to accept the establishment of a Palestinian state are not met, the State of Palestine will have no hope of truly rising in the Gaza Strip and the West Bank, and East Jerusalem cannot become a capital under Palestinian control.

Third, the underlying logic of the “recognition wave” is the acknowledgment that historic Palestine belongs to both Israelis and Palestinians, the support for Palestinians to achieve effective partition, and the adherence to the “two-state solution,” or in other words, the opposition to Israel’s scheme to expel the Palestinian people and monopolize their land. Therefore, the greatest value of the “recognition wave” lies in urging Israel to abandon its illusions, and also urging Hamas and its regional allies to recognize Israel, so that both sides return to the right track of “land for peace,” reconciliation through negotiation, and seeking development through coexistence. Zero-sum victory and unilateral survival, development and prosperity are but the fantasies of a single country or a single side, and cannot be the fundamental way out for resolving the Israeli-Palestinian conflict and Middle Eastern disputes.

Fourth, what inevitably follows the “recognition wave” is the cruel and complex reality that cannot be avoided. Whether it is the Israeli-Palestinian conflict, the disputes in the Middle East, or the peace and security development of the entire region, all must return to the level of basic common sense, to the level of seeking truth and pragmatism, to the rational and realistic right path of changing mindsets, adjusting policies, altering strategies, avoiding single-win outcomes and striving for multiple-win outcomes, and must reject all the byways and even the crooked paths that have prolonged war and chaos in the Middle East for more than 80 years.

Fifth, the key to resolving the Israeli-Palestinian conflict lies in the sincere will and bold actions of both sides. This is the fundamental point. It is simply unrealistic for Israel to enjoy exclusively this historic land of Palestine, and a Palestine without Israel has long since become history. Israel and Palestine must follow the broad framework of the “two-state solution,” pick up the basic principles of the “Oslo Accords,” return to the negotiating table, and through consultation resolve all issues of partition between the two states and the establishment of the State of Palestine, including all the elements of how the future State of Palestine will be implemented — borders, capital, national defense, internal affairs and foreign affairs. One of the basic prerequisites for resuming negotiations is to end the current situation in Palestine of “a state without a government,” “a government without governance,” and the lack of a unified, authoritative, efficient decision-making center that truly holds the power to decide in negotiations.

Sixth, resolving Middle Eastern disputes is not limited to ending the Israeli-Palestinian conflict; it must also simultaneously resolve Israel’s territorial disputes with Lebanon and Syria, so as to eradicate at the root the lesions that frequently trigger clashes and wars. Israel must completely and thoroughly withdraw from the Golan Heights, and hand over the old territorial accounts of the Golan Heights, especially disputes such as the Shebaa Farms over which Lebanon claims sovereignty, to be handled through consultations between Syria and Lebanon. Once Israel no longer occupies an inch of Syrian or Lebanese land, the two countries should recognize Israel’s legitimate existence as a sovereign state and normalize relations with it, just as in 1978 when Egypt and Israel achieved land for diplomacy and secured security through diplomacy. Once Israel and Syria and Lebanon achieve normalized diplomatic relations, the two countries must also dismantle all non-state armed groups targeting Israel and stop all hate-Israel, anti-Israel and resist-Israel propaganda.

Seventh, resolving Middle Eastern disputes, in addition to systematically addressing the Israeli-Palestinian conflict, the Israel-Syria conflict and the Israel-Lebanon conflict, must also eliminate external factors that hinder the peaceful settlement of Middle Eastern disputes, especially by achieving normalization of relations between Iran and Israel. Israel has no territorial dispute with Iran; the hostility in Israel-Iran relations is entirely based on the ideology of Iran’s Islamic regime. Because Iran’s Islamic regime pursues pan-Islamism and uses support for anti-Israel forces in the Middle East as a policy tool to intervene in Middle Eastern affairs, seek great-power status, or pry at geopolitical relationships, it has thereby plunged itself into the game board of the Israeli-Palestinian conflict and Middle Eastern disputes.

More than forty years of lessons show that this policy of Iran’s Islamic regime has made itself a mortal enemy of Israel and has also turned itself into a financier, instigator and protector of anti-Israel forces; it has not only overdrawn vast amounts of the people’s wealth and national resources, but has also seriously impeded normal relations with the United States and the Western world, thereby enduring blockades and sanctions over the long term, long restricting the country’s opening to the outside world and normal development, and even ultimately bringing the flames of war from Israel and the United States onto its own soil, humiliating the country, the regime and the nation, and causing ordinary people to suffer from the Israeli-Palestinian conflict and Middle Eastern disputes. The Iranian authorities must understand that in today’s 21st century, ancient Islamic law cannot replace the existing norms of international relations and international law. To continue clinging to a predetermined anti-Israel policy in such a rigid, futile way is tantamount to entangling oneself in the snarls of the Israeli-Palestinian and Middle Eastern conflicts, a thorough case of spinning a cocoon to bind oneself.

Eighth, in resolving Middle Eastern disputes, the Arab states are the principal actors. The hard-won favorable momentum of Arab-Israeli reconciliation must not be reversed. While firmly opposing Israel’s expansion and militaristic policies, the Arab countries must adhere to the established principle of “land for peace,” stick to the overarching direction of peace and development, and strive to create an increasingly relaxed, secure, stable and harmonious macroclimate for Arab-Israeli relations, thereby creating external conditions for resolving the Israeli-Palestinian, Israel-Syria and Israel-Lebanon conflicts.

By making peace with Israel in 1978, Egypt thus rid itself of prolonged war and won half a century of peace and development. By reaching the “Oslo Accords” with Israel in 1993, Palestine was able to launch the process of transitional autonomy, once presenting a bright prospect for the two peoples. By making peace with Israel in 1994, Jordan, a tiny country wedged among powerful neighbors, managed to save itself from dire straits and has long basked in the sunshine of development and prosperity. The process initiated by the “Abraham Accords” in 2020 enabled the UAE, Bahrain, Sudan and Morocco to normalize relations with Israel, thereby stepping into a new era in which Arab states and Israel expand peaceful coexistence and engage in all-round contacts and exchanges.

If the Arab world and Israel move toward each other in both directions and jointly promote peace, they can fundamentally change Israel’s strategic security environment, relax Israel’s high-tension diplomatic posture, allow Israel to see new hopes and prospects for focusing on development and prosperity through resolving Middle Eastern conflicts, and ultimately help ease Israel’s taut geopolitical and security perceptions. This may also facilitate the resolution of the Israeli-Palestinian, Israel-Syria and Israel-Lebanon conflicts, and may even force the Iran that is “seeking defeat in solitude” to abandon its rigid Middle East policy, thereby laying a solid foundation for the region’s transition from war to reconciliation.

Of course, some may say that the successive reconciliations between Arab countries and Israel have not led Israel to give up the Palestinian occupied territories and Syria’s Golan Heights, have not prevented the marginalization of the Palestinian issue, and have not avoided the ignition of the “Sixth Middle East War” and its gradual expansion and escalation. However, from the perspective of grand history, Arab nationalism has completely ebbed, and Israel, as a sovereign state and a neighbor of different ethnicity and religion, is being widely accepted by the Arab public. The general indifference and coolness of Arab societies toward the plight of the Palestinians in the past two years, in stark contrast to Western societies, is clear evidence of this.

Moreover, it is precisely because the dead knots between Israel and Palestine, Syria and Lebanon have never been untied that today’s “butterfly effect” affecting the Middle East has formed. Therefore, to systematically resolve local conflicts, country-specific conflicts and the entire Middle Eastern dispute, and to achieve peace and stability across the whole region, efforts must proceed in parallel, with many parties working together to bring it about.

Prof. Ma is the Dean of the Institute of Mediterranean Studies (ISMR) at Zhejiang International Studies University in Hangzhou. He specializes in international politics, particularly Islam and Middle Eastern affairs. He previously worked as a senior Xinhua correspondent in Kuwait, Palestine, and Iraq.

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Macroeconomic consequences of asymmetric UAV attacks in Russia

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Today, the nature of asymmetric threats is undergoing a profound transformation, with their focus shifting increasingly toward economic centers. By mid-2026, the nature of asymmetric warfare within the borders of the Russian Federation entered a qualitatively new and critical phase.

An analysis of the Ukrainian unmanned aerial vehicle (UAV) strikes carried out in July 2026 reveals a deliberate shift in targeting. Moving beyond military installations and fuel-energy infrastructure, these attacks directly targeted civilian logistics networks and critical nodes of the macroeconomic infrastructure.

The primary objective of this strategic shift is to deplete the country’s internal resources, induce insurmountable disruptions in supply chains, and exert intense psychological pressure on the civilian population.

Large-scale, coordinated strikes on the distribution centers of Wildberries—Russia’s largest e-commerce platform and part of the RVB joint venture (formed by the 2024 merger of Wildberries and Russ)—became the symbol of this new phase of home-front vulnerability. The geographic scope of these attacks, spanning an unprecedented area from the Northwestern Federal District to Southern Russia and Crimea, exposed critical gaps in national industrial risk insurance mechanisms. Furthermore, this situation sparked severe legal disputes between platform economy giants and small businesses, compelling immediate intervention from both corporate executives and senior state officials.

Tracing the multi-layered consequences of the kinetic impacts resulting from these July attacks on the state’s digital and physical economy will shape the new architecture of civilian sector security.

The zenith of the logistical terror waged by Ukraine was recorded on the night of July 24, 2026, marking the most technically complex UAV attack inflicted on Russian Federation territory since the beginning of the year. According to data from the Ministry of Defense of the Russian Federation, domestic air defense systems detected and destroyed 571 fixed-wing Ukrainian UAVs that night.

Two points have become exceptionally critical here: saturating radar fields and the military “swarm” effect. In short, this event is the clearest indication that the enemy has transitioned to a tactic of overwhelming radar systems. At the same time, the “swarm” effect generated across a vast geographic expanse aims to rapidly deplete the ammunition of anti-aircraft missile systems and expose air defense positions deep behind the front lines.

The breadth of the targeted geography attests to the unprecedented scale of the operation. UAVs were neutralized over the Belgorod, Bryansk, Kaluga, Kursk, Leningrad, Novgorod, Oryol, Pskov, Ryazan, Smolensk, Tver, Tula, and Vladimir regions, as well as over Moscow, Krasnodar, the Republic of Crimea, and the waters of the Azov and Black Seas.

Such a dense dispersion of targets across a vast territory points to an attempt to paralyze transportation and logistics arteries within Russia’s European landmass.

In parallel with the mass deployment of UAVs, missile strikes were also conducted against civilian industrial enterprises. During the same period, a missile attack on a local enterprise in the Fileyka district of Kirov resulted in outright catastrophe, leaving 6 people dead and 32 employees injured with varying degrees of severity.

Following the incident, Regional Governor Aleksandr Sokolov stated that the situation required not only the evacuation of the wounded, but also large-scale interventions such as restoring water and power supplies and auditing the security of neighboring settlements. This combined approach—employing inexpensive kamikaze drones to degrade air defenses followed immediately by missile strikes on unprotected industrial zones—presents an entirely new threat paradigm for the civilian economy.

Systematic and sequential attacks directed at the facilities of a single commercial entity completely eliminate the possibility of coincidence. The strategic, macroeconomic, and psychological factors turning civilian commercial warehouses into critical vulnerabilities for an entire state rest upon four pillars:

  1. Role as the central circulatory system of domestic trade: Wildberries plays a critical role in the architecture of the modern Russian economy, connecting millions of consumers with tens of thousands of SMEs. Damage to distribution centers severe supply chains, triggering localized shortages of essential consumer goods and regional inflationary spikes. The primary goal is to destabilize the domestic market and create an artificial supply vacuum.
  2. Immense facility footprints and defense complexity: Spanning hundreds of thousands of square meters across the nation, these hangars constitute massive targets with high radar contrast. Unlike military bases, these commercial warehouses cannot possess their own air defense systems; placing every such facility under an air defense umbrella is physically impossible without compromising frontline systems.
  3. Social and psychological impact: In the eyes of the public, logistics centers symbolize daily economic stability. Black plumes of smoke visible from miles away, massive fires, and civilian casualties represent a hybrid terror tactic designed to transport an atmosphere of fear deep into peaceful cities and shake the internal socio-political climate.
  4. Magnified radius of economic impact: Inventory consumed by flames in these warehouses generally consists of stock purchased by merchants on credit. The destruction of commodity inventories holds the potential to cause mass vendor bankruptcies, bank loan defaults, and cascading layoffs across small businesses.

The events of July 2026 mark an irreversible shift in the threat landscape facing Russian commerce and macroeconomics. Attacks directed at Wildberries hubs in regions such as St. Petersburg, Moscow, and Tambov exposed the utter vulnerability of civilian logistics infrastructure.

Deploying relatively inexpensive unmanned aerial vehicles, the enemy is capable of inflicting tens of billions of rubles in direct damage, paralyzing the supply of essential goods, and triggering an acute social crisis in which hundreds of thousands of entrepreneurs face the threat of bankruptcy. According to Russian experts, the total cost of a single fire—similar to the Kotovsk incident on July 18—can range between 50 and 100 billion Rubles ($630 million – $1.2 billion USD).

Despite its massive capital reserves, corporate business was caught unprepared for military threats. The medium-term survival of the e-commerce economy depends on the state and the private sector uniting to engineer unprecedented systemic solutions. Establishing compensation funds and introducing mandatory risk-distribution mechanisms are critical steps that must be taken.

Logistics hubs will remain open targets unless a “state program for subsidized reinsurance of military risks” is established for the critical nodes of the civilian economy. In the future, it will not suffice for large enterprises merely to pour capital into the physical protection of infrastructure; they must also deeply decentralize their logistics networks to prevent the concentration of goods and capital at single points of failure.

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Egypt Under Fire: What Does the Damietta Strike Mean for Global Energy Markets?

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Dr. Ahmed Moustafa, Director & Founder, Asia Center for Studies & Translation, Egypt

For the first time since successive waves of escalation between Washington and Tehran began in recent months, an Egyptian liquefied natural gas (LNG) export facility has become a direct target.

In the early hours of Wednesday, 29 July 2026, at least one drone struck the floating storage unit Energos Winter, owned and operated by a U.S. company and sailing under the Marshall Islands flag, while it was moored at the Mediterranean port of Damietta. The impact ignited a fire that spread to a neighboring LNG carrier, GasLog Salem. Egyptian authorities confirmed that the blaze was brought under control without any reported casualties, while no group had claimed responsibility for the attack at the time of writing.

A Broader Context That Cannot Be Ignored

The incident did not occur in a vacuum. It came only hours after the United States Central Command (CENTCOM) announced that it had conducted joint strikes with Saudi forces targeting armed factions in Iraq accused of launching drone attacks against Saudi oil facilities. Tehran responded by warning against a “miscalculation,” at a time when the Middle East is still grappling with the repercussions of an earlier round of escalation that erupted on 8 July, when U.S. forces carried out strikes inside Iranian territory following an attack on a commercial vessel in the Strait of Hormuz. Iran retaliated with attacks targeting U.S. military bases in Bahrain, Jordan, Qatar, Kuwait, the United Arab Emirates, and the Sultanate of Oman.

Against this tense backdrop, Damietta appears to represent yet another link in the chain of regional escalation—but an exceptional one. For decades, Egypt has sought to keep itself removed from direct military polarization in the region, unlike several Gulf states that have increasingly become arenas of open confrontation.

At the same time, this interpretation does not entirely rule out the possibility of an indirect Israeli role, driven by hostility toward Egypt’s growing diplomatic influence in the Palestinian and Gaza files. Cairo has remained committed to advancing the two-state solution and to implementing the second and third phases of the peace roadmap agreed upon following the Sharm El-Sheikh Peace Summit last October. The Israeli government, led by Benjamin Netanyahu, has sought to obstruct these efforts. Netanyahu, who is the subject of arrest warrants issued by the International Criminal Court, is widely accused of bearing responsibility for committing genocide that, according to Palestinian authorities, have resulted in the deaths of approximately 73,000 Palestinian civilians since 7 October 2023.

Why Egypt?

Over the past two years, Egypt has steadily strengthened its position as a regional hub for liquefying and re-exporting natural gas. This growing role has been supported by its two LNG plants at Idku and Damietta, in addition to a network of pipelines linking the country with Israel and Cyprus.

This infrastructure—unmatched elsewhere in the Eastern Mediterranean in terms of combined liquefaction capacity and direct access to European and global markets—has transformed Damietta and Idku into critical gateways for Eastern Mediterranean gas, including increasing volumes of Israeli/Stolen Palestinian natural gas liquefied and re-exported through Egyptian facilities.

According to local reports, the Energos Winter alone was supplying approximately 450 million cubic feet of gas per day to Egypt’s national grid and was preparing to receive four additional cargoes during August.

This expanding role gives any attack on Egypt’s gas infrastructure significance far beyond the immediate incident itself. It threatens not only Egypt’s domestic energy supplies but also a supply chain upon which Europe has increasingly relied as part of its strategy to diversify away from Russian natural gas.

Who Was Behind the Attack? Open Scenarios

At the time of writing, no organization had officially claimed responsibility, leaving several possible interpretations.

The first scenario cautions against prematurely attributing responsibility to Iran or its regional allies. It argues that the ambiguity surrounding the incident—and the absence of any claim of responsibility—may itself be deliberate, allowing whichever actor carried out the attack to undermine Egyptian stability without incurring immediate political costs.

This possibility includes actors competing over Eastern Mediterranean energy routes, as well as local or transnational groups pursuing agendas unrelated to the U.S.-Iran confrontation. Egyptian officials themselves have adopted a notably cautious approach. Egypt’s Minister of Information warned against “rushing to accuse any party,” while a former official suggested that “certain actors are seeking to drag Egypt into the conflict,” implying that the attack may have been designed precisely to draw Cairo into a confrontation it has consistently sought to avoid.

A second scenario, Israeli Involvement or the Involvement of Israel’s Allies

This, in itself, remains a serious hypothesis that is reportedly being discussed in undisclosed investigative circles. The prevailing analyses, supported by pro-Israeli and pro-American narratives, have largely centered on suspicions directed at Iran or Iran-aligned actors within the context of the ongoing conflict, rather than at Tel Aviv. This is partly because Israel maintains an energy partnership with Egypt, making any attack on an Egyptian export terminal potentially detrimental to its own natural gas interests.

Nevertheless, this hypothesis—like all others—must ultimately be assessed in light of the findings of the official investigations, which are still underway. It is worth recalling, however, that repeated warnings have been voiced regarding the visits of Israeli Prime Minister Benjamin Netanyahu to Washington, as such visits have often been followed by heightened regional instability, as was argued after developments last December. According to this line of analysis, Netanyahu seeks to prolong the conflict with Iran in order to strengthen his domestic political position, secure his continuation in office, and advance Israel’s long-term strategic objective of neutralizing Iran and carrying out “Greater Israel.”

Within this framework, some analysts argue that there are broader efforts to weaken both Egypt and Türkey. They cite remarks attributed to a former Mossad operative during appearances on Israeli television, alleging that such a strategy would also serve to divert international attention away from the Gaza file and the question of Palestinian statehood—an issue on which Egypt has intensified its diplomatic efforts in recent days. According to this interpretation, creating indirect pressure on Egypt—the region’s most stable and secure state—could be viewed as a means of drawing Cairo into a wider regional confrontation.

A third scenario links the incident directly to the broader U.S.-Iran escalation. According to the article, The New York Times, citing two Iranian sources, reported that the attack may have been intended as a signal that global shipping and energy supplies could face deeper disruptions should Tehran or its allies choose to escalate further. The sources, however, did not identify the perpetrators or specify the launch point of the drone.

The Messages Behind the Attack

Regardless of who carried out the operation, the choice of target sends several important signals. An attack on what the article describes as the first American-owned energy asset on Egyptian soil would convey a message to Washington that not only its military installations in the Gulf, but also its economic footprint across the region, has become increasingly vulnerable.

For Egypt, which has consistently pursued a policy of strategic restraint and regional neutrality, the incident serves as a reminder that its geographic position—adjacent to some of the world’s most important energy and maritime corridors—no longer guarantees insulation from the conflicts unfolding around it.

For global markets, the attack suggests that the geographic scope of potential disruption is expanding beyond the Strait of Hormuz and the Arabian Gulf into the Eastern Mediterranean, increasing insurance premiums for shipping and critical energy infrastructure in a region long regarded as comparatively secure.

Egypt’s Official Response

The Egyptian government handled the incident with considerable caution and procedural professionalism, treating it primarily as a crisis-management operation rather than a political event.

The Cabinet confirmed that the fire had been caused by a drone attack without attributing responsibility to any specific party, emphasizing that investigations were continuing “to take all necessary measures to safeguard Egypt’s interests and national security.”

Prime Minister Mostafa Madbouly described the response as a test of the state’s crisis-management capabilities, praising emergency teams for successfully moving the burning vessels away from the port, thereby preventing what could have become a far larger disaster.

President Abdel Fattah El-Sisi addressed the incident publicly for the first time during a telephone conversation with Spanish Prime Minister Pedro Sánchez. During the call, he confirmed that the competent authorities were conducting a comprehensive investigation, warned of the dangers posed by the escalating regional situation, and stressed the importance of cooperation between Egypt and the international community to contain the crisis while adhering to peaceful solutions.

This measured diplomatic approach—avoiding direct accusations while emphasizing de-escalation—reflects Cairo’s determination not to be drawn into a broader regional confrontation despite having come under direct attack on its own territory.

Several Gulf states also expressed their full solidarity with Egypt and voiced support for its efforts to safeguard its national security and sovereignty.

The Impact on Global Energy Markets

The Damietta incident occurred at a time when global energy markets were already under considerable strain. Brent crude had been hovering around US$90 per barrel following the escalation of 8 July, while the European Title Transfer Facility (TTF) benchmark for natural gas had climbed above US$700 per 1,000 cubic meters for the first time since March.

Any additional disruption affecting an Egyptian LNG export terminal risks reinforcing this upward trend. Europe has increasingly relied on Egyptian liquefied natural gas as part of its broader strategy to diversify supplies away from Russian pipeline gas. Consequently, even a temporary interruption to Egypt’s export infrastructure could heighten market concerns over supply security.

The incident also adds to the geopolitical risk premium already factored into insurance costs for vessels operating in the Eastern Mediterranean. Higher perceived risks could translate into increased shipping and insurance costs for LNG carriers throughout the region, even if subsequent investigations conclude that the attack was an isolated event unlikely to be repeated.

What Should Be Done to Prevent Similar Incidents?

First, Egypt should further strengthen its short-range air defense capabilities and counter-drone systems around strategic energy installations along its Mediterranean coastline. This includes deploying advanced early-warning radar networks and cost-effective interception systems capable of neutralizing small unmanned aerial vehicles before they reach critical infrastructure.

Second, broader regional intelligence-sharing mechanisms should be expanded among Egypt and neighboring states—including Cyprus, Greece, and Türkiye—in recognition of the increasingly interconnected nature of Eastern Mediterranean gas infrastructure and the shared strategic importance of safeguarding regional energy corridors.

Third, given that the targeted floating storage unit is owned by a U.S. company, Washington should contribute to financing and modernizing the protection of such critical infrastructure rather than limiting its response to statements indicating that it is merely “monitoring the situation,” as the article characterizes the U.S. reaction.

Finally—and perhaps most importantly—reducing the broader cycle of regional escalation between Washington and Tehran remains the only sustainable guarantee against similar incidents in the future. Any purely technical or localized security measures can mitigate immediate risks but cannot eliminate them so long as the underlying geopolitical drivers of confrontation remain unresolved.

Conclusion

The Damietta incident serves as a stark reminder that geographic neutrality alone is no longer sufficient to shield a country that has become a pivotal node in the global energy network.

References:

1- https://www.bbc.com/news/articles/c39ez3klwmro

2- https://www.reuters.com/world/middle-east/egypt-confirms-drone-caused-fire-two-gas-vessels-damietta-2026-07-30/

3- https://www.reuters.com/world/middle-east/drone-hits-gas-storage-tanker-egypts-mediterranean-port-2026-07-29/

4- https://www.nytimes.com/2026/07/29/world/middleeast/ships-drone-strike-egypt.html

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Rising populist parties in Europe and liberalism

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Leon Trotsky, one of the foremost leaders of the October Revolution, defined fascism as the totalitarian organization of society by monopoly capital. Magnates of large-scale monopoly capital are acutely aware that their profits cannot be safeguarded in the absence of authoritarian political power. Thus, fascism finds its bedrock of support among capitalist forces, the grand bourgeoisie, monopoly capital circles, and major landowners. We are all too familiar with the calamities fascism wrought upon the world in the era preceding the Second World War.

The post–World War II era is often commemorated as the golden age of capitalism—a period characterized by robust growth rates and low unemployment. Real wages climbed, social rights expanded, demands for a welfare state remained vibrant, and the pursuit of a social state yielded tangible results. This era ultimately met its demise in the 1970s, undone by shifts in the regime of accumulation and structural economic crises.

Today, across Europe, political parties that could virtually be characterized as the direct successors to pre-WWII fascist movements are consolidating their electoral gains. Germany, France, and Italy serve as quintessential examples. These parties weaponize poverty, unemployment, and anti-foreigner, anti-immigrant, anti-Muslim, and anti-Middle Eastern sentiments, while capitalizing on the incompetence of traditional center-right and center-left parties and taking a deeply Eurosceptic, critical stance toward the European Union. They employ caustic rhetoric against the political elites who have dominated governance for decades. Receiving endorsement from both US President Trump and Russian leader Putin, they draw substantial support simultaneously from working-class constituencies—traditionally the bedrock of the left—and from grand capital circles. While monopoly capital quietly pats these populist movements on the back, it simultaneously winks at liberal-democratic and increasingly indistinguishable social-democratic parties that champion unbridled capitalism and aggressive liberalism. Beyond France and Germany, examples abound from Italy to the United Kingdom…

The interests of grand capital, which back populist regimes and advocate authoritarian governance, also champion localization. For the erosion of the national, the public, and the collective—alongside the attenuation of the central state and the elevation of the local—works decisively to the advantage of big capital.

Why?

Because of this:

Under liberalism, the state does not regulate the market; rather, the market regulates, directs, and subdues both the state and society. In a liberal order, the state is expected to act on behalf of capital and in favor of the market—intervening in politics, society, and the law, and enacting statutory frameworks strictly to this end. The state is tasked with engineering legal and institutional arrangements for the market’s account and benefit. Society is reduced to a market-society, wherein the citizen is reimagined as a consumer, a client, and an entrepreneur. Since competition is elevated as the supreme imperative, citizens themselves must become entrepreneurial and competitive—a posture the state actively promotes and incentivizes.

According to liberals, the state bears no obligation to shield its citizens from the pitiless mechanics of the market or the ferocity of unchecked capitalism. On the contrary, the state demands and encourages that citizens establish themselves as entrepreneurial actors within the market arena. Consequently, the state aligns itself with capital, operating at its beck and call. Hence, liberalism harbors an innate preference for unorganized, non-unionized, cheap labor. Wages are suppressed; agricultural subsidies are gutted to a minimum; and strikes are banned on the flimsiest of pretexts.

Because liberalism insists that the state be sculpted, organized, and driven according to market demands—allowing the market to command and direct the state—the liberal vision of the nexus between politics and economics, as well as politics and law, is deeply fractured. In their worldview, law must operate exclusively to the advantage of capital, acting as the vigilant sentinel for the inviolability of property rights. It must dismantle every obstacle standing in the way of free trade, unbridled competition, and the free market, while swiftly and severely penalizing any force that dares to impede them. To conform to the expectations and demands of capital: this is the primary imperative required of the law.

In sum, through its championing of identity politics, its reduction of the citizen to a mere client, and its liquidation of the state’s social character in order to place public power at the disposal of capital, liberalism stands fundamentally opposed to the social, the public, and the national. This is a truth that must be firmly impressed upon left-liberals, nationalist-liberals, and conservative-liberals alike.

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