Listed firms disclose the expected impact of US tariffs
Published: 01:04 PM,Apr 07,2025 | EDITED : 10:04 AM,Apr 08,2025
Muscat: Several Omani companies listed on the Muscat Stock Exchange have disclosed the expected impact of the developments and repercussions of the United States of America's announcement to impose additional customs duties on imports from some countries, including the Sultanate of Oman.
It may be noted that the Muscat Stock Exchange has issued a directive regarding the need for disclosure on the potential effects of the United States’ decision to impose additional tariffs on imports from various countries, including the Sultanate of Oman.
While some ruled out direct impact, others clarified that they are monitoring the developments and will make announcements to the stakeholders at the appropriate time.
Here are some of the statements:
Oman National Engineering & Investment Company
The company would like to announce to its shareholders and investors that currently there is no direct impact on the company's activities, operations and projects, due to the tariffs imposed by the United States on Commercial exchange with certain countries. Shareholders and investors will be informed of any future impacts on the company and its operations.
Oman Arab Bank (OAB)
We would like to inform the Muscat Securities Market and investors that there are no impacts on the bank's activities and investments as a result of the United States' announcement to impose additional tariffs.
Phoenix Power Company
The Management of Phoenix Power Company SAOG would like to inform the Financial Services Authority, Muscat Stock Exchange, and the investor community that it has conducted an initial assessment of the recently announced changes in US tariffs.
Based on this preliminary review, the Company does not anticipate any impact on its transactions or operations as a result of these changes. However, a more detailed assessment is currently underway.
The Company will keep investors informed should any potential impact be identified.
OMAN UNITED INSURANCE
Oman United Insurance Company would like to announce to shareholders and the investment community the following: The Company is actively monitoring the situation, which remains in its early stages and is still evolving. Following an initial evaluation of the available data, we do not foresee any material impact on the Company’s core business or insurance operations resulting from these developments. Nevertheless, the Company’s investment portfolio has experienced some indirect effects due to recent downturns in global financial markets, leading to a reduction in the fair value of investments listed on the Muscat Stock Exchange. This may be reflected in the Company's unrealized gains or losses.
The Company will continue to monitor the situation closely and, if necessary, will take the appropriate actions to mitigate any potential negative effects.
Asyad Shipping
Asyad Shipping Company (ASCO) would like to inform its shareholders and the market that the recently introduced import tax tariffs are not expected to have a significant direct impact on its operations.
Since ASCO provides shipping and ship management services and does not own the cargo, the direct impact of the additional USA tariffs will be of limited exposure. While no major immediate effects are anticipated, the shipping industry may experience some increase in voyage-related costs.
The tariffs may also indirectly affect time charter (TC) rates positively or negatively, particularly on routes that have favorable terms for Oman and other countries' exports. The economic situation remains uncertain, with many countries studying similar reciprocal tariffs in response to the USA tariffs.
ASCO is closely monitoring developments and in communication with brokers, consulting firms, and government entities to understand the broader market impact and find sustainable solutions.
ASCO remains committed to keeping shareholders and the market informed as the situation develops and will provide updates on any relevant developments.
JAZEERA STEEL PRODUCTS
We would like to disclose the following: 1. Whether these developments have any direct or indirect impact on the company's activities, investments, or operations.
As per the US Govt notification, steel is not subject to the Reciprocal Tariff, since steel is already subject to section 232 tariffs of 25%.
Therefore, we would like to disclose that there is no direct impact on the activities, investments, or operations of the company.
OQ BASE INDUSTRIES (SFZ)
Q Base Industries (SFZ) SAOG has implemented a strategy focused on identifying risks and establishing mechanisms to manage and effectively mitigate their impact.
This approach is an essential part of the company's strategy and business continuity plan, based on risk management data that is documented and reviewed periodically. The recorded risks include political and market fluctuations.
The company has developed a strategy to diversify its customer base, taking into account various risks, including geopolitical risks.
Furthermore, OQ Base Industries is committed to building long-term partnerships with customers by ensuring reliable operations and continuous supply. The company also confirms that the imposition of U.S. tariffs has no impact on its financial or operational performance.
Port of Salalah
Salalah Port Services Company S.A.O.G. wishes to inform the shareholders and investors that, initially, no direct or indirect impact is expected on the Company’s activities, investments, operations, or its financial or operational performance as a result of the United States’ announcement regarding the imposition of additional tariffs.
Given that the Port of Salalah is one of the key regional ports that relies heavily on global market conditions for the shipment of general cargo and containers, the Company is currently assessing the impact of the additional tariffs on its operations and financial position.
Any impacts, if identified, will be disclosed, along with the measures and plans to address and mitigate these effects.
Bank Muscat
We would like to inform the market that we do not anticipate any material direct or indirect impact on the bank’s businesses and operations as a result of these developments. We have seen the market volatility in recent days, and we feel that such volatility may continue in the equity and commodity markets in the US and globally. The bank will continue to closely monitor and assess the market developments and manage any emerging risks as part of its policies and governance processes.
National Bank of Oman (NBO)
The bank does not have direct operating activities in the USA and is not involved in exporting or importing from the USA. Therefore, there is no material impact on the bank’s operations. Indirectly, the macroeconomic impact on oil prices, interest rates, and exchange rate movements may potentially feed through to the local markets and companies operating here. We are in constant dialogue with our customers to gauge the extent of the impact of these developments.
As approved by the recent Shareholders’ general meeting, we have plans for several capital market issuances. These developments may impact any potential capital market activities in the future.
However, these impacts will take time to feed through. We continue to monitor these developments closely through our robust risk management practices, which we have always maintained through a robust capital base, adequate liquidity buffers, and prudent underwriting standards.
Omantel
Omantel remains committed to transparency and will continue to closely monitor any related developments. Should there be any material changes in the future, the company will disclose them promptly under the regulatory requirements issued by the relevant authorities. The company did not anticipate any indirect impact on its financial performance, investments, and operations.
Muscat Insurance, Al Batinah Power, Al Suwadi Power, Oman Reit Fund, Sohar International Bank, Global Finance Investment, Financial Corporation, and National Detergent have also issued their statements as per the MSX directive.
It may be noted that the Muscat Stock Exchange has issued a directive regarding the need for disclosure on the potential effects of the United States’ decision to impose additional tariffs on imports from various countries, including the Sultanate of Oman.
While some ruled out direct impact, others clarified that they are monitoring the developments and will make announcements to the stakeholders at the appropriate time.
Here are some of the statements:
Oman National Engineering & Investment Company
The company would like to announce to its shareholders and investors that currently there is no direct impact on the company's activities, operations and projects, due to the tariffs imposed by the United States on Commercial exchange with certain countries. Shareholders and investors will be informed of any future impacts on the company and its operations.
Oman Arab Bank (OAB)
We would like to inform the Muscat Securities Market and investors that there are no impacts on the bank's activities and investments as a result of the United States' announcement to impose additional tariffs.
Phoenix Power Company
The Management of Phoenix Power Company SAOG would like to inform the Financial Services Authority, Muscat Stock Exchange, and the investor community that it has conducted an initial assessment of the recently announced changes in US tariffs.
Based on this preliminary review, the Company does not anticipate any impact on its transactions or operations as a result of these changes. However, a more detailed assessment is currently underway.
The Company will keep investors informed should any potential impact be identified.
OMAN UNITED INSURANCE
Oman United Insurance Company would like to announce to shareholders and the investment community the following: The Company is actively monitoring the situation, which remains in its early stages and is still evolving. Following an initial evaluation of the available data, we do not foresee any material impact on the Company’s core business or insurance operations resulting from these developments. Nevertheless, the Company’s investment portfolio has experienced some indirect effects due to recent downturns in global financial markets, leading to a reduction in the fair value of investments listed on the Muscat Stock Exchange. This may be reflected in the Company's unrealized gains or losses.
The Company will continue to monitor the situation closely and, if necessary, will take the appropriate actions to mitigate any potential negative effects.
Asyad Shipping
Asyad Shipping Company (ASCO) would like to inform its shareholders and the market that the recently introduced import tax tariffs are not expected to have a significant direct impact on its operations.
Since ASCO provides shipping and ship management services and does not own the cargo, the direct impact of the additional USA tariffs will be of limited exposure. While no major immediate effects are anticipated, the shipping industry may experience some increase in voyage-related costs.
The tariffs may also indirectly affect time charter (TC) rates positively or negatively, particularly on routes that have favorable terms for Oman and other countries' exports. The economic situation remains uncertain, with many countries studying similar reciprocal tariffs in response to the USA tariffs.
ASCO is closely monitoring developments and in communication with brokers, consulting firms, and government entities to understand the broader market impact and find sustainable solutions.
ASCO remains committed to keeping shareholders and the market informed as the situation develops and will provide updates on any relevant developments.
JAZEERA STEEL PRODUCTS
We would like to disclose the following: 1. Whether these developments have any direct or indirect impact on the company's activities, investments, or operations.
As per the US Govt notification, steel is not subject to the Reciprocal Tariff, since steel is already subject to section 232 tariffs of 25%.
Therefore, we would like to disclose that there is no direct impact on the activities, investments, or operations of the company.
OQ BASE INDUSTRIES (SFZ)
Q Base Industries (SFZ) SAOG has implemented a strategy focused on identifying risks and establishing mechanisms to manage and effectively mitigate their impact.
This approach is an essential part of the company's strategy and business continuity plan, based on risk management data that is documented and reviewed periodically. The recorded risks include political and market fluctuations.
The company has developed a strategy to diversify its customer base, taking into account various risks, including geopolitical risks.
Furthermore, OQ Base Industries is committed to building long-term partnerships with customers by ensuring reliable operations and continuous supply. The company also confirms that the imposition of U.S. tariffs has no impact on its financial or operational performance.
Port of Salalah
Salalah Port Services Company S.A.O.G. wishes to inform the shareholders and investors that, initially, no direct or indirect impact is expected on the Company’s activities, investments, operations, or its financial or operational performance as a result of the United States’ announcement regarding the imposition of additional tariffs.
Given that the Port of Salalah is one of the key regional ports that relies heavily on global market conditions for the shipment of general cargo and containers, the Company is currently assessing the impact of the additional tariffs on its operations and financial position.
Any impacts, if identified, will be disclosed, along with the measures and plans to address and mitigate these effects.
Bank Muscat
We would like to inform the market that we do not anticipate any material direct or indirect impact on the bank’s businesses and operations as a result of these developments. We have seen the market volatility in recent days, and we feel that such volatility may continue in the equity and commodity markets in the US and globally. The bank will continue to closely monitor and assess the market developments and manage any emerging risks as part of its policies and governance processes.
National Bank of Oman (NBO)
The bank does not have direct operating activities in the USA and is not involved in exporting or importing from the USA. Therefore, there is no material impact on the bank’s operations. Indirectly, the macroeconomic impact on oil prices, interest rates, and exchange rate movements may potentially feed through to the local markets and companies operating here. We are in constant dialogue with our customers to gauge the extent of the impact of these developments.
As approved by the recent Shareholders’ general meeting, we have plans for several capital market issuances. These developments may impact any potential capital market activities in the future.
However, these impacts will take time to feed through. We continue to monitor these developments closely through our robust risk management practices, which we have always maintained through a robust capital base, adequate liquidity buffers, and prudent underwriting standards.
Omantel
Omantel remains committed to transparency and will continue to closely monitor any related developments. Should there be any material changes in the future, the company will disclose them promptly under the regulatory requirements issued by the relevant authorities. The company did not anticipate any indirect impact on its financial performance, investments, and operations.
Muscat Insurance, Al Batinah Power, Al Suwadi Power, Oman Reit Fund, Sohar International Bank, Global Finance Investment, Financial Corporation, and National Detergent have also issued their statements as per the MSX directive.