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Manual fixes underway after glitch hits customs-exempt mobile phones

Abdallah El-Bastaweesy
Published Tuesday, February 17, 2026 - 13:57

Egypt’s telecoms authorities have again mistakenly imposed customs fees on mobile phones that should have been exempt, due to errors in the electronic system now in use, a source familiar with the file at the Ministry of Communications and Information Technology told Al Manassa.

The source, who asked not to be named, said the ministry has begun a manual review of all complaints and appeals filed by citizens to restore service to affected devices immediately.

In January, the government imposed a 38.5% customs duty on imported mobile devices activated in 2025 and beyond. The aim was to squeeze the smuggling-heavy gray market that officials say dominates sales, arguing it was draining tax revenue and undermining efforts to build a domestic electronics industry.

The policy includes a one-device exemption for personal use every three years. However, citizens who should have been exempt received warning messages in late July demanding payment, according to four sources at the Federation of Chambers of Commerce who previously spoke to Al Manassa. A ministry source said at the time some of the messages were sent because of “a system error.”

These developments pushed the government at the end of September 2025 to exempt Egyptian passport holders from the fees entirely and grant foreign passport holders a temporary three-month exemption, before the National Telecom Regulatory Authority announced that the exemption period ended as of Jan. 21, 2026.

The source said the current electronic system has difficulty distinguishing between new phones and older ones entering Egypt, noting that a handset registered and activated before the 2025 fee decision should be exempt to begin with.

“But if the device leaves the country for several months and then comes back, the electronic system may treat it as a new device joining the network for the first time,” the source added.

Solving the problem will take time, the source said, adding that “any new system shows errors that are gradually corrected, and each fix needs a testing period to see if it works or if further intervention is needed.”

The source urged affected users to file formal complaints so the ministry and the telecom regulator can review them and exempt phones proven to have been activated in the Egyptian market before 2025 from the fees.

Regulators say the system has helped pull manufacturing onshore, with the NTRA saying it has contributed to 15 international brands setting up local phone production with annual capacity of 20 million devices, and has created 10,000 job opportunities for Egyptian youth.