Since yesterday, everyone has been buzzing about the drop in steel taxes in Egypt from 10% to 1%. At first glance, this seems like great news for every investor. However, if we look deeper into the scene, we discover that behind this joy lies a 'bone-crushing' strategy and a very clever deception.
Why Now? The Secret is Venezuela! 🇻🇪 The reason is clear: Venezuela has pulled the rug out from under Egypt’s feet and become the leader in the steel sector. Egypt didn't decide to cut taxes out of love for investors; it’s because of the 'Economic War.'
The Strategy: The 'Luring' Trap 🪤 From my point of view, this reduction is just a temporary ambush (likely lasting no more than a week):
Attracting Investments: The goal is to entice players to build massive steel factories in Egypt immediately, taking advantage of Egypt’s high Bonus combined with the tempting 1% tax.
Striking Venezuela: The bonus difference between Egypt and Venezuela might only be 2%, but the tax gap is now huge. This will force everyone to flee Venezuela and build in Egypt, forcing Venezuela to abandon the steel sector and switch to other resources.
What Happens Next? (The Upcoming Scenario) 📉 Once the investors are 'hooked,' new factories are established on Egyptian soil, and Venezuela withdraws from the competition, Egypt will return to raising taxes—perhaps even reaching 12%. By then, Egypt will have reclaimed its leadership and cut off its competitors' livelihoods in one blow.
The Bottom Line: What we are seeing now is not an economic reform; it is an 'ambush' to cut off Venezuela's revenue, just as they did to Egypt before. Stay sharp, guys; today’s profitable deal might be tomorrow’s trap. Only God knows the truth, but caution is mandatory.
The Free Journalist | DragonBlack195 🖋️🛡️