Djibouti has built its economic model around shipping services and maritime logistics, and among its most prominent partners is its landlocked neighbor, Ethiopia. To cater to Ethiopia’s needs, Djibouti has built a host of new infrastructure. Unsurprisingly, Ethiopia’s port deal with Somaliland has set off alarm bells in Djibouti.
Trade
The Ecuador-China Free Trade Agreement has often been portrayed as a milestone for China in Latin America, but recent developments have thrown the fate of the deal into doubt. The sudden uncertainty has implications that extend beyond Ecuador’s borders, affecting the broader landscape of China’s relations across Latin America.
The war in Gaza and the Houthis’ de facto blockade of the Suez Canal have both imperiled the Mediterranean’s recently regained status as a nodal point of global trade. But at the same time, the European movement toward de-risking trade with China and adopting shorter supply chains provides an opportunity for Mediterranean nations.