THE EARLY PHOENIX
August 1,2025| 12:30 EST| 19:30 LEVANT
★ Note: Respected colleagues and readers,
In alignment with the Congressional recess, The Early Phoenix will be on break for the remainder of the month of August. If a critical event arises during the break, we will issue a special report covering it. Otherwise, we wish all of you across the U.S. government and here in Washington a restful and productive summer.
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★ ISRAEL
Israel Evacuates Diplomats From UAE Over Heightened Security Threat
Israel evacuated most diplomatic staff from the UAE, citing increased terror threats from Iran, Hamas, Hezbollah, and Global Jihad. The National Security Council warned of potential attacks on Israelis, especially during Jewish holidays. Ambassador Yossi Shelley was among those recalled, as Israel fears retaliation for strikes on Iran and global pressure over Gaza escalates.
Witkoff And Huckabee Tour Gaza Aid Site
Steve Witkoff, Donald Trump’s envoy, accompanied by U.S. Ambassador Mike Huckabee, visited a Gaza aid distribution site run by the Global Humanitarian Foundation (GHF) on August 1. The visit, their first to Gaza, took place as Human Rights Watch condemned the Israeli- and U.S.-backed Gaza Humanitarian Foundation sites, calling them “death traps” where deadly violence had become routine. Over 1,373 Palestinians, mostly civilians, have reportedly died since late May near GHF aid sites marked by stampedes, sniper fire, and lack of medical aid. A U.S. doctor urged Witkoff to inspect Kamal Adwan Hospital, citing starvation and the death of an infant after undergoing an amputation.
Palestinian Islamic Jihad Releases Video of Emaciated Hostage Rom Braslavski
Palestinian Islamic Jihad released footage of Israeli hostage Rom Braslavski, kidnapped on October 7 from the Nova Music Festival. The visibly frail medic pleaded for rescue after 664 days in captivity. His family urged immediate government action, describing his condition as dire and calling on President Trump to intervene and bring Rom home without delay.
US Slaps 15% Tariff on Israeli Goods in Major Trade Overhaul
President Trump imposed a 15% tariff on Israeli goods under a sweeping new trade policy affecting 68 countries. The move, effective August 7, follows failed negotiations and aims to protect US industries. Israel’s Finance Ministry downplayed the impact, citing ongoing talks. Israeli exports to the U.S. totaled $14 billion last year, underscoring potential economic consequences.
US Sanctions Palestinian Authority and PLO Over Peace Commitment Violations
The U.S. State Department imposed sanctions on the Palestinian Authority and PLO members, blocking their access to U.S. visas. Citing national security concerns, officials said the groups failed to honor peace commitments and undermined negotiations, prompting the move to hold them accountable through travel restrictions.
Slovenia Becomes First EU Country to Ban Arms Trade With Israel
Slovenia banned all weapons trade with Israel over the Gaza war, citing humanitarian concerns, making it the first EU state to do so. Israel dismissed the move as symbolic. Germany warned of Israel’s growing diplomatic isolation as global recognition efforts for a Palestinian state advance.
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★ IRAN
CBS: China Secretly Buys Iranian Oil Despite U.S. Sanctions
A CBS investigation revealed China covertly purchases 90% of Iran’s oil exports via “shadow fleet” transfers at sea to bypass U.S. sanctions, generating $70 billion in revenue for Tehran. Despite sanctions, China denies wrongdoing. The report coincided with major new U.S. sanctions on shipping firms linked to top Iranian officials, marking the largest punitive action since 2018.
US Sanctions Global Network Aiding Iran’s Drone Program
The US sanctioned five firms and one individual across Iran, Hong Kong, Taiwan, and China for supplying tech to Iran’s military drone program. Treasury identified Javad Alizadeh Hoshyar as procuring materials for a defense-linked firm. Officials vowed continued pressure to block Tehran’s UAV development following Israel’s interception of over 100 Iranian drones in June.
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★ LEBANON
Lebanon Passes Bank Reform Law, But Critical Gaps Remain
Lebanon passed a long-delayed banking restructuring law to tackle its financial collapse and unlock international aid, establishing a new authority to manage insolvent banks. While seen as progress, experts warn it’s ineffective without a “Financial Gap” law to fairly allocate $70 billion in losses. Critics argue that reforms lack transparency and risk shielding banks from real accountability.
IDF Destroys Hezbollah’s Key Missile Facility to Block Rebuild
Israel bombed Hezbollah’s largest precision missile factory in Lebanon, targeting sites near the Israeli border and the Bekaa Valley to halt the group’s reconstruction efforts. Defense Minister Israel Katz warned of relentless force against any threats. Despite over 500 Israeli strikes since the 2024 ceasefire, Hezbollah resists disarmament under growing domestic and regional pressure.
IDF Decimates Hezbollah’s Capabilities, Renders Radwan Force Ineffective
Israel’s 2024 Operation Northern Arrows destroyed up to 80% of Hezbollah’s short-range rocket launchers, neutralized elite Radwan units, and dismantled 1,500 underground sites, crippling Hezbollah’s offensive capacity. With 4,000–5,000 fighters killed and key infrastructure erased, the IDF now operates from five Lebanese outposts to block Hezbollah’s recovery and enforce the post-ceasefire security framework.
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★ SYRIA
Israel Escalates in South Syria, Demands Druze Security Forces
Israel escalated raids, arrests, and aerial activity across Quneitra and Daraa in July, targeting homes, detaining Palestinians, and monitoring Hezbollah sites. Fires triggered by operations prompted UN patrols. Israel demanded Damascus replace the army with Druze-led Interior Ministry units to avoid perceived threats to the Druze. Syrian FM invited Israeli Druze leader Moufaq Tarif to Damascus, but he declined. Israel also seized buffer zones and Mount Hermon, drawing regional condemnation.
Trump Hits Syria With 41% Tariff Despite Limited Sanctions Relief
President Trump imposed a 41% tariff on Syria effective August 7, despite minimal U.S.–Syria trade. Days earlier, Treasury, State, and FinCEN eased select sanctions, allowing certain transactions with Syrian state banks and issuing a 180-day Caesar Act waiver. Baker Hughes, Hunt Energy, and Argent LNG soon launched an energy masterplan west of the Euphrates. Core export controls remain in place, Assad-linked figures stay sanctioned, and experts call the relief narrow and conditional.
American Citizen Hosam Saraya Executed in Sweida
Hosam Saraya, a 35-year-old Syrian-American from Oklahoma, was executed on July 16 by uniformed gunmen in Sweida after being abducted during tribal–government clashes. Footage showed him and others marched at gunpoint and shot. He had returned to aid his father and support education. The U.S. confirmed his death and launched an FBI probe after talks with Damascus. Syria’s Justice Ministry formed a 7-member panel to investigate the violence, while the Finance Ministry reported looting of state salaries.
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★ YEMEN
Houthi Court Sentences Ex-President’s Son to Death for Espionage
A Houthi military court in Sana’a sentenced Ahmed Ali Abdullah Saleh, son of Yemen’s former president, to death for espionage, treason, and corruption. The verdict also includes confiscation of assets and recovery of embezzled funds. Once the head of Yemen’s elite forces and former UAE ambassador, Ahmed Ali has yet to respond to the ruling.
Yemen Accuses Houthis of Using Tobacco Trade to Fund Terrorism
Yemeni Information Minister Muammar Al-Eryani accused the Iran-backed Houthis of seizing the tobacco sector to finance terrorism, generating up to $500 million annually. Since 2015, Houthis have monopolized cigarette production, imposed excessive taxes, counterfeited brands, and created shell companies for smuggling. Revenues bypass the state and fund war efforts, threatening public health and investment.
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★ GULF STATES
Rubio Praises Qatar’s Role in Hostage Talks, Warns Hamas
US Secretary of State Marco Rubio called Qatar’s involvement in Israel-Hamas hostage negotiations “very helpful,” noting its frustrations with Hamas. He warned that consequences must follow if Hamas continues to resist a deal, while also criticizing a growing anti-Israel narrative that, he said, emboldens the group as international disarmament calls grow.
Kuwait Foils Largest Smuggling Operation of Lyrica Pills Led by Inmate
Kuwait’s Interior Ministry announced the seizure of 800,000 Lyrica capsules in the country’s largest-ever drug bust, orchestrated by an inmate in the central prison. The inmate coordinated with an undocumented accomplice to distribute the drugs, which were found on a farm in Kabd and an air cargo facility.
Saudi Budget Gap Narrows to $9.21 Billion on Revenue Surge
Saudi Arabia’s Q2 budget deficit dropped 41.1% to $9.21 billion as revenues rose nearly 14.4% to $80.4 billion, fueled by modest oil gains and strong non-oil income. Spending grew 4.28%, while public debt reached $368 billion. Despite volatile oil prices and regional tensions, the IMF raised Saudi Arabia’s 2025 growth forecast to 3.5% as Vision 2030 investments advance.
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★ IRAQ
Iraq Launches 19 New Oil Projects to Boost Production
Iraqi PM Mohammed Al-Sudani announced the completion of 14 major oil and gas projects, with 19 more underway across fields, refineries, and gas sectors. Key achievements include Al-Faihaa Field, Baghdad crude pipeline, and Al-Halfaya gas treatment. Strategic plans discussed involve seawater injection systems, exploratory drilling, and expanded gas output to strengthen Iraq’s energy infrastructure.
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★ TÜRKIYE
Türkiye Hit With 15 Percent US Tariff Despite Strong Trade Ties
The US imposed a 15% tariff on Turkish goods as Türkiye exported $1.2 billion and imported $1.5 billion in June. Despite this, Ankara aims to expand bilateral trade volume with Washington to $100 billion, signaling continued economic engagement as trade barriers rise.
Greece’s Island Militarization Sparks Turkish Legal and Security Warnings
Greece’s Agenda 2030 plan to deploy autonomous army units on Aegean islands alarmed Türkiye, which views the move as a treaty violation and security threat. Turkish officials argue it breaches the demilitarized status mandated by international law and could justify Ankara invoking Article 60 of the Vienna Convention for treaty suspension, escalating legal, diplomatic, or military responses.
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★ Disclaimer: The Early Phoenix is a digest of various news sources compiled by the Early Phoenix team and edited by Rania Kisar. The items are curated, concise summaries of news items hyperlinked within each story. The items and summaries presented do not necessarily represent the views of the American Center for Levant Studies.
