Djibouti is offering Ethiopia exclusive access to the Port of Tadjoura as a solution to regional tensions and to provide Ethiopia with direct access to the Gulf of Aden. This proposal is an alternative to Ethiopia’s previous plans to secure port access in Somaliland, which had led to complex negotiations mediated by Turkey. Since Eritrea’s secession in 1993, Ethiopia has been landlocked and relies heavily on Djibouti’s main port for approximately 90 percent of its international trade. Ethiopia’s pursuit of direct sea access has heightened regional tensions. The Port of Tadjoura, which opened in 2017 with a $90 million investment from Djibouti and support from the Italian firm Technical, is located west of Tadjoura town and is designed to handle significant shipping volumes. It features facilities that include a RoRo terminal and can accommodate large vessels, with a capacity to handle up to four million tons of potash annually. Djibouti’s offer aims to counter the growing influence of Somaliland’s Port of Berbera, which has been improving its performance and challenging Djibouti’s maritime dominance. The World Bank’s Container Port Performance Index recently ranked Berbera higher than Djibouti’s port, highlighting the competitive shift. Additionally, the offer comes amid rising regional tensions, including Egypt’s recent arms supplies to Somalia and its ongoing dispute with Ethiopia over a $4 billion hydroelectric dam on the Blue Nile. This dam is a significant point of contention, with Egypt fearing it will negatively impact water flow downstream. Djibouti’s proposal is seen as a strategic move to stabilize the region and strengthen economic ties with Ethiopia while addressing the broader geopolitical shifts.