The decision to end the exceptional customs exemption period for mobile phones brought abroad by passengers arriving in Egypt has sparked public debate between supporters and opponents since it came into effect on 21 January.
An official statement by the National Telecommunications Regulatory Authority (NTRA) and the Egyptian Customs Authority (ECA) said that the 90-day exemption period for mobile phones carried by Egyptians living abroad and tourists will remain in effect.
This is part of the implementation of the tax system for imported mobile phones, which began in January 2025. Upon its implementation, every person coming from abroad was allowed to enter the country with a personal mobile phone, but additional phones were subject to new fees.
The fees had to be settled within 90 days of entering or the phone was disconnected from network services.
The decision was implemented to curb smuggling and to encourage local manufacturing. Some 95 per cent of the mobile devices entering the country bypass official channels, Deputy Finance Minister for Taxation Sherif Al-Kilani was quoted as saying. This has resulted in an estimated monthly loss of LE100 million in uncollected customs duties, he said.
Fast forward to January 2026, the NTRA statement noted that 15 international mobile phone brands are now being manufactured in Egypt, with a combined annual production capacity of 20 million devices.
The phones are produced by global manufacturers, or under their direct technical oversight, and meet identical technical specifications and international quality standards as models sold abroad, while being offered at competitive prices.
Taxes and fees on imported mobile devices can be paid through the “Telephony” application, in addition to digital payment methods available through banks and electronic wallets, the statement said.
A grace period of up to 90 days from the date of initial activation of the devices will be allowed before any regulatory measures are taken. Furthermore, the option to pay the taxes and fees in installments will be available in the coming period.
Despite assurances from the ECA and the NTRA that these taxes and fees would not be applied retroactively, the new decision was met with a fierce wave of criticism, particularly from expatriates who voiced their complaints on social media.
One wrote that just because they work abroad and have a high-end phone does not mean they are rich, as they are more likely to have bought it at a discount or through an easy installment plan with no interest, taking into consideration that customs duties on high-end phones could exceed LE40,000.
Imported mobile phones are subject to customs and tax fees close to 39 per cent, according to Al-Kilani.
Another expatriate, who declined to give her name, said that “it’s not my fault that there are black marketeers and smugglers who have abused the system. These people should be punished. This would eliminate smuggling.”
Another expatriate emphasised that “if the mobile price in Egypt is the same or less than the international price, with decent after-sales service, consumers would buy the local product and wouldn’t want to buy it from abroad.”
Some expatriates on Facebook demanded action against the decision to revoke the exemption, launching hashtags such as #ExpatriatesAreNotBanks and #NoToPhoneFees and even calling on other expats to stop sending remittances to Egypt.
MP Maha Abdel-Nasser, vice president of the Egyptian Social Democratic Party and deputy chairman of the Communications and Information Technology Committee in the House of Representatives, announced that the committee has decided to summon government representatives on the first day of its session before the end of January to discuss the decision.
Abdel-Nasser explained to Al-Ahram Weekly that the purpose of the session would be to examine the justification for the decision, its implementation mechanisms, and its compatibility with considerations of social justice and the interests of citizens.
She emphasised that the committee is committed to fulfilling its oversight and legislative role, stressing the importance of opening a clear and transparent dialogue with the government regarding the decision, assessing its economic and social impact, and exploring possible alternatives.
Mohamed Talaat, head of the Communications and Mobile Phones Division at the Chamber of Commerce, commented that despite all the incentives provided to manufacturers, locally manufactured phones in Egypt are still more expensive than their foreign counterparts.
Talaat attributed this to the fact that the manufacturers still price their products as if they were importing the phones. He pointed out that they pay only two per cent customs duties on imported spare parts. Therefore, the price should be in the consumer’s favour, he said.
Essam Al-Alami, 33, who has owned mobile phone shops for 15 years, welcomed the decision, noting that it would significantly increase sales in Egyptian shops, while also emphasising the need to reduce the prices of locally manufactured phones.
Hoda Zakaria, a professor of political and military sociology, stressed that policies should not be adopted without assessing their impact on citizens. She argued that any move to impose customs duties or taxes must be preceded by a thorough evaluation of its social, economic, and psychological consequences.
“Comprehensive, well-documented studies are crucial, as they ultimately ensure stability, reduce public resistance, foster support for decision-makers, and prevent an erosion of trust between citizens and administrative institutions,” she told the Weekly.
* A version of this article appears in print in the 29 January, 2026 edition of Al-Ahram Weekly
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