This paper examines the overall impact of exports while  accounting for supply chain linkages on local labor market  outcomes in the Arab Republic of Egypt between 2007  and 2018. The paper assesses the effects not only on  directly exporting industries, but also on industries indirectly affected by rising export demand. Furthermore, it  examines potential impacts on specific groups of workers,  such as high-skilled individuals and female workers. The  results show that trade does not lead to the same connection  with domestic labor markets in Egypt as observed in other  countries, as highlighted in the existing literature explaining the adverse effects of imports on developing countries. 

Despite being more open to trade, trade-intensive industries in Egypt have not experienced a significant increase in  their share of employment within the overall workforce. To  harness the benefits of trade, Egypt must undertake deeper  reforms aimed at significantly expanding the export sector.