Opinion
US aggression and China’s stance
The sustained assaults by the US-Israeli axis against Iran remain unabated. In the wake of Washington’s rogue actions in Venezuela—culminating in the abduction of the nation’s elected president—the unfolding tableau in Iran lays bare both the sheer magnitude of American imperialist aggression and the ultimate limits of its power. The United States makes no secret of its intent to target Cuba next. Beyond their geopolitical, strategic, economic, and military dimensions, it is patently clear that these incursions are designed to send a definitive message to China. Yet, regardless of its maneuvers, Washington remains fundamentally powerless to arrest China’s ascent. Given Venezuela’s close ties with Beijing, the strategic premium China places on the Panama Canal, its status as a primary consumer of Middle Eastern oil, the depth of Sino-Iranian relations, and the critical importance of the Strait of Hormuz to Chinese foreign trade and energy security, the global community is eminently justified in its curiosity regarding China’s stance on these unfolding crises.
China operates under the conviction that time is firmly on its side. It places unwavering faith in its colossal economic might and formidable production capacity. With strategic patience, Beijing quietly observes the gradual attrition of the United States. Long dubbed the “factory of the world,” China not only stands as the premier destination for foreign direct investment but is also universally recognized as the nation allocating the most substantial resources and investments toward advanced technology, artificial intelligence, and renewable energy. China’s Achilles’ heel, however, is its profound reliance on foreign energy; it imports roughly three-quarters of its domestic consumption. As the world’s leading energy consumer (followed by the US and India), China is executing massive, large-scale investments in both nuclear and renewable energy sectors to mitigate this severe external vulnerability.
The Chinese economy and the Belt and Road Initiative
China consistently underscores the imperatives of sustainable development, social justice, and meticulous centralized planning. Its overarching calculus is predicated on forging a robust and healthy middle-class society. The Chinese leadership articulates a resolute focus on becoming a formidable state of which the Chinese nation can be profoundly proud by 2049, the centenary of the country’s founding. On the economic front, they are implementing stringent measures to ensure that national resources are utilized with frugality, efficacy, efficiency, and profound productivity. Even as it accelerates its integration into the global economy, Beijing is enacting draconian measures to eradicate bribery and corruption—a chronic impediment not merely for domestic operations but equally for foreign investors.
China harbors exceptionally ambitious economic objectives and programmatic agendas. Endeavoring to replace the heavy exploitation of natural resources and cheap labor with innovation, productivity, a highly skilled workforce, and premium-quality manufacturing, China envisions a structural transition wherein the service sector not only complements heavy industry but ultimately eclipses it. The economic blueprint targets technological modernization, brand elevation, and full employment. Furthermore, China champions one of the most formidable poverty alleviation programs in global history, striving to ensure that not a single citizen is left languishing below the poverty line.
Another formidable objective of the state is the eradication of air pollution in major metropolises. The guiding ethos is encapsulated in the slogan: “A beautiful China with blue skies, green lands, and clean waters.” Among the ten future industrial sectors deemed of paramount importance, priority is accorded to next-generation information technology, numerical control tools and robotics, aerospace and satellite equipment, ocean engineering and high-tech vessels, advanced energy generation equipment, medical and healthcare devices, novel materials, new energy turbines, advanced railway equipment, and agricultural machinery. Paradoxically, while China consumes more coal than any other nation, it simultaneously boasts the world’s highest installed capacity for wind and solar energy, and firmly holds the global vanguard in electric public transportation systems.
China actively champions the market economy, free trade, and commercial competition on a global scale. It takes palpable pride in the growing ranks of its wealthy citizens. It meticulously cultivates relationships both with the select few nations that have reaped the dividends of globalization, and the multitude of nations that have been disproportionately disadvantaged by it. It conducts robust trade with Japan despite underlying political and diplomatic friction, just as it does with Australia, a nation firmly entrenched in the geopolitical orbit of the US and the UK. In other words, Beijing exhibits a masterclass in compartmentalizing its foreign relations. It pursues a fiercely multi-vector, multidimensional foreign policy. Furthermore, it is systematically accelerating efforts to internationalize its currency, the Yuan (officially the Renminbi), cementing its status as a global reserve currency in international trade.
As the world’s largest automotive market, China has eclipsed both the United States and Japan in vehicle production. In addition to cultivating its indigenous brands, it manufactures vehicles for a plethora of global marques—including Volkswagen, Audi, General Motors, Hyundai, Nissan, Honda, and Toyota—through strategic joint ventures with domestic partners. Notably, 55 percent of the vehicles produced are of foreign brand origin. Its dominance, moreover, is not confined to automobile manufacturing; it currently occupies the premier global position in absolute shipyard capacity.
Beyond the traditional levers of hard power, the primary vanguard of Chinese soft power and public diplomacy is the network of approximately 550 Confucius Institutes dispersed across nearly 160 countries. Tellingly, fully half of these institutes are strategically situated within nations participating in the Belt and Road Initiative. Advancing its educational, scientific, and technological frontiers in tandem with its economic expansion, the steady proliferation of Chinese corporations within the global Fortune 100 and 500 is precisely mirrored by the ascent of Chinese universities into the top 100 and 500 global academic rankings. China’s relentless augmentation of its research and development budget, culminating in its ascension to the number one global ranking in patent filings, serves as incontrovertible proof of this paradigm shift.
The sheer scale of the China-led Belt and Road Initiative is monumental. Despite its most strenuous efforts, the United States has categorically failed to stymie the project’s inexorable advance. Moreover, a multitude of key US allies have actively signed on to the initiative. Consequently, the Belt and Road Initiative now encompasses approximately one-third of the global economy, two-thirds of the world’s population, and three-quarters of the planet’s energy resources.
China’s foreign policy priorities
China extends voluminous lines of credit to the developing world, with a particular emphasis on Africa. In fact, the volume of Chinese sovereign lending in numerous nations currently dwarfs the disbursements of the World Bank. Furthermore, Beijing actively endorses and supports the intra-regional alliances forged among these developing states. It aggressively incentivizes foreign trade denominated in the Chinese currency. China possesses a profound recognition of Africa’s latent potential, maintaining deeply entrenched relations with the 55-member African Union. Beijing is acutely aware that this vast, impoverished, and deeply challenged continent holds fully one-fifth of the world’s mineral wealth and two-fifths of its subterranean water reserves. It is equally imperative to bear in mind that China reigns as the paramount foreign trade partner for a multitude of nations not exclusively in Africa, but across a vast geopolitical expanse spanning from Latin America to Central Asia, and from Europe to the Middle East.
Buoyed by its economic and political heft, a formidable military apparatus, an advanced defense industry, and technological prowess, China has assumed a significantly elevated profile in foreign policy. It increasingly distinguishes itself on the global stage through deft diplomatic mediation, the hosting of high-stakes summits, and the orchestration of new geopolitical alliances. Concurrently, diverse schools of thought and theoretical approaches concerning international relations and statecraft are increasingly prominent within Chinese academia. In this context, a recently published and exhaustive doctoral dissertation on Sino-centric international relations theories—authored by journalist Dr. Elif İlhamoğlu Akkoç, a brilliant young mind in Turkish academia, under the supervision of Assoc. Prof. Dr. Hasan Duran at the Istanbul University Faculty of Political Sciences—yields invaluable insights into the scholarly discourse unfolding within China in this field.
The seminal research of preeminent Western scholars in this domain, such as Prof. Dr. Peter Gries (at the University of Manchester in the UK) and Prof. Dr. David Shambaugh in the US, despite their varying academic and political divergences, converges on an unequivocal consensus: China’s ascent is an undeniable reality and its upward trajectory will inevitably persist. It must be stated that there remains no monolithic global consensus regarding Beijing’s ultimate grand strategy. While many analysts assert that China harbors revisionist ambitions to dismantle the international status quo—advancing by stealth and depth—detractors of this thesis counter that China is fundamentally non-expansionist, innately respectful of sovereign regimes and territorial integrity, and astutely conscious of the limits of its own power. Proponents of this latter view argue that China is acutely aware it can never replicate the unparalleled success of the United States in weaponizing and globalizing its cultural exports—be it language, culinary tastes, cinema, music, entertainment paradigms, lifestyle, educational institutions, or sports franchises—as instruments of soft power. These experts posit, by way of illustration, that Mandarin will never supplant English as a global lingua franca, that Chinese fast-food models and beverages cannot feasibly challenge the global hegemony of McDonald’s or Coca-Cola, and that, ultimately, Chinese culture cannot present a viable, overarching alternative to Western cultural paradigms.
Prof. Dr. David Shambaugh identifies seven distinct schools of thought within Chinese foreign policy discourse. He categorizes them thus: 1- Globalists, 2- Selective Multilateralists, 3- Global South Advocates, 4- Asia Firsters, 5- Major Power Advocates, 6- Realists, and 7- Nationalists. He emphasizes that the Realists constitute the most influential intellectual current, frequently overlapping with the Nationalists on myriad issues. He underscores that they are adamantly opposed to US hegemony, firmly convinced of the absolute necessity of maintaining a robust military apparatus, and fiercely protective of concepts such as state sovereignty, political independence, and territorial integrity.
Boasting the world’s second-largest population after India, the second-largest economy behind the United States, and a sprawling landmass of 9.5 million square kilometers, China is historically acknowledged for having sustained an average economic growth rate of roughly 10 percent over nearly a quarter of a century. The systemic impact of this hyper-growth, coupled with rapid industrialization, urbanization, and the explosive expansion of the middle class, invariably echoes throughout the nation’s economic and political architecture. Consequently, this not only amplifies China’s geopolitical footprint but also exponentially increases the global visibility of Chinese investors in the corporate arena, Chinese tourists across the globe, and Chinese scholars within international academic institutions. Today, approximately 55 percent of the Chinese populace resides in urban centers. According to the National Bureau of Statistics, this figure stood at a mere 20 percent in 1980. The active-duty personnel of the Chinese People’s Liberation Army exceeds 2.3 million, while the membership roll of the Chinese Communist Party has surpassed the 100 million mark.
In summation, China operates in open defiance of the US-centric Atlanticist system. It vociferously advocates for a multipolar global order. It pioneers alternative organizational structures to circumvent institutions spearheaded by the United States. It strategically funnels aid and capital investments into nations currently buckling under Washington’s pressure. Beijing accords paramount importance to its multifaceted relationship with Russia. Finally, it watches with distinct satisfaction the gradual economic enervation of the United States, the global proliferation of anti-American sentiment, Washington’s eroding international prestige, and the widening fissures fracturing the unity of both US bilateral alliances and foundational Western institutions like NATO.
Opinion
Macroeconomic consequences of asymmetric UAV attacks in Russia
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:
- 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.
- 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.
- 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.
- 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.
Opinion
Egypt Under Fire: What Does the Damietta Strike Mean for Global Energy Markets?
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
4- https://www.nytimes.com/2026/07/29/world/middleeast/ships-drone-strike-egypt.html
Opinion
Rising populist parties in Europe and liberalism
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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