AD Ports Group, the operator of industrial cities and free zones in Abu Dhabi, has awarded a contract to Egypt’s Hassan Allam Construction to build the infrastructure for Noatum Ports-Safaga Terminal on Egypt’s Red Sea coast.
It will be the first internationally operated port terminal in the Upper Egypt region.
The terminal, spanning 810,000 square metres, will have be able to handle 450,000 20-foot equivalent units (TEUs) of container cargo, 5 million tonnes of dry bulk and general cargo, and 1 million tonnes of liquid bulk. It will also feature roll-on, roll-off facilities with a capacity for 50,000 car equivalent units.
The project will include the construction of administration buildings, workshops, warehouses and support infrastructure such as roads, utilities and security systems, AD Ports said in a statement on Wednesday.
Noatum Ports-Safaga Terminal will be a “key addition” to Egypt’s maritime and ports infrastructure on the Red Sea, according to Hassan Allam, chief executive of Hassan Allam Holding.
Capt Mohamed Al Shamsi, managing director and group chief executive of AD Ports Group, said the project will drive economic growth in the region.
The project will feature a 48,000-square-metre concrete apron, an 80,354-square-metre container terminal with supporting infrastructure, and nearly 66,360 square metres for general cargo and break-bulk operations, AD Ports said.
The terminal is part of AD Ports' nearly $349 million investment in Egypt over the past three years, which includes acquisitions of maritime companies and new terminal developments.
Some of these include purchases of maritime companies Transmar, TCI and Safina, the planned construction of a roll-on, roll-off terminal in Ain Sokhna, and long-term concessions to develop and operate cruise terminals in Safaga, Hurghada, Ain Sokhna and Sharm El Sheikh.
The UAE is Egypt’s second-largest trading partner and its biggest international investor, according to the Egyptian Commercial Service, with $9.6 billion invested in the country last year. Trade volume reached Dh25.2 billion ($6.9 billion) in 2023, according to the UAE Ministry of Economy.
In February, the countries signed an agreement that will see the UAE invest $35 billion to develop the Ras El Hekma coastal region, about 350km north-west of Cairo.
Ten tax points to be aware of in 2026
1. Domestic VAT refund amendments: request your refund within five years
If a business does not apply for the refund on time, they lose their credit.
2. E-invoicing in the UAE
Businesses should continue preparing for the implementation of e-invoicing in the UAE, with 2026 a preparation and transition period ahead of phased mandatory adoption.
3. More tax audits
Tax authorities are increasingly using data already available across multiple filings to identify audit risks.
4. More beneficial VAT and excise tax penalty regime
Tax disputes are expected to become more frequent and more structured, with clearer administrative objection and appeal processes. The UAE has adopted a new penalty regime for VAT and excise disputes, which now mirrors the penalty regime for corporate tax.
5. Greater emphasis on statutory audit
There is a greater need for the accuracy of financial statements. The International Financial Reporting Standards standards need to be strictly adhered to and, as a result, the quality of the audits will need to increase.
6. Further transfer pricing enforcement
Transfer pricing enforcement, which refers to the practice of establishing prices for internal transactions between related entities, is expected to broaden in scope. The UAE will shortly open the possibility to negotiate advance pricing agreements, or essentially rulings for transfer pricing purposes.
7. Limited time periods for audits
Recent amendments also introduce a default five-year limitation period for tax audits and assessments, subject to specific statutory exceptions. While the standard audit and assessment period is five years, this may be extended to up to 15 years in cases involving fraud or tax evasion.
8. Pillar 2 implementation
Many multinational groups will begin to feel the practical effect of the Domestic Minimum Top-Up Tax (DMTT), the UAE's implementation of the OECD’s global minimum tax under Pillar 2. While the rules apply for financial years starting on or after January 1, 2025, it is 2026 that marks the transition to an operational phase.
9. Reduced compliance obligations for imported goods and services
Businesses that apply the reverse-charge mechanism for VAT purposes in the UAE may benefit from reduced compliance obligations.
10. Substance and CbC reporting focus
Tax authorities are expected to continue strengthening the enforcement of economic substance and Country-by-Country (CbC) reporting frameworks. In the UAE, these regimes are increasingly being used as risk-assessment tools, providing tax authorities with a comprehensive view of multinational groups’ global footprints and enabling them to assess whether profits are aligned with real economic activity.
Contributed by Thomas Vanhee and Hend Rashwan, Aurifer
