Trade War Impact: Google's decision over Huawei influences mobile market in Egypt

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Europe

02:19

The trade war between China and the U.S. is continuing to have an impact on many countries. Google's recent decision to restrict business with China's Huawei is now affecting Egypt. Our Yasser Hakim looks at how the mobile phone market in Cairo has received the news.

Smart phones and tablet sales have seen a 20 % increase year on year in Egypt. 18 million smart phones have been sold in 2018 covering 45% of all electronics sales.

NAGWA TAHA JOURNALIST, AHRAM ECONOMIC NEWS MAGAZINE "The Egyptian mobile market is the largest in the Middle East and North Africa. The brands with the highest demand are far ahead than other competitors, South Korea's Samsung is number one, closely followed by Huawei."

But the decision by google against Huawei has taken everyone here by surprise.

YASSER HAKIM CAIRO "Many of the mobile users don't yet understand the implications of the Google action. There is confusion in the market here in Egypt at the moment."

Mihamed is a salesman at an electronics shop. He says Huawei is a main selling item. Now he's waiting to see how clients will react to the developments.

MIHAMED MAHMOUD SALES, BADR ELECTRONICS SHOP "It's a bit early to get any feedback from the market but clients have come to ask me about the issue and I explained to them the details and how it doesn't affect the operating mobiles. Huawei is a huge company and I expect it will overcome the problems."

The clients themselves are still undecided, though most of whom we talked to and own a Huawei device would want to stay loyal to the brand.

ADHAM STUDENT "The Google apps are important because we are used to it, just like Whatsapp and Facebook. It would affect our decision to buy a mobile but I'm going to wait, maybe the problem will be solved soon."

PR OFFICER "It's essential to have the Google apps and Google Play. We depend on them all the time. I heard Huawei may come up with its own operating system. Maybe it would be a good alternative."

Meanwhile, shop owners like Mohamed fear the Huawei google clash can actually lead to a slowdown in sales. An example of how a trade war thousands of miles away can impact small businesses here in Cairo. Yasser Hakim, CGTN, Cairo.