suez canal crisis

The Suez Crisis, or the Second Arab–Israeli war, also called the Tripartite Aggression ( ar, العدوان الثلاثي, Al-ʿUdwān aṯ-Ṯulāṯiyy) in the Arab world and the Sinai War in Israel,Also known as the Suez War or 1956 War; other names include the ''Sinai war'', ''Suez–Sinai war'', ''1956 Arab–Israeli war'', the Second Arab–Israeli war, ''Suez Campaign'', ''Sinai Campaign'', ''Kadesh Operation'' and ''Operation Musketeer''
was an invasion of Egypt in late 1956 by Israel, followed by the United Kingdom and France. The aims were to regain control of the Suez Canal for the Western powers and to remove Egyptian president Gamal Abdel Nasser, who had just swiftly nationalised the foreign-owned Suez Canal Company, which administered the canal. Israel's primary objective was to re-open the blocked Straits of Tiran. After the fighting had started, political pressure from the United States, the Soviet Union and the United Nations led to a withdrawal by the three invaders. The episode humiliated the United Kingdom and France and strengthened Nasser.

On 26 July 1956, Nasser nationalised the Suez Canal Company, which prior to that was owned primarily by British and French shareholders. On 29 October, Israel invaded the Egyptian Sinai. Britain and France issued a joint ultimatum to cease fire, which was ignored. On 5 November, Britain and France landed paratroopers along the Suez Canal. Before the Egyptian forces were defeated, they had blocked the canal to all shipping by sinking 40 ships in the canal. It later became clear that Israel, France and Britain had conspired to plan the invasion. The three allies had attained a number of their military objectives, but the canal was useless. Heavy political pressure from the United States and the USSR led to a withdrawal. U.S. president Dwight D. Eisenhower had strongly warned Britain not to invade; he threatened serious damage to the British financial system by selling the U.S. government's pound sterling bonds. Historians conclude the crisis "signified the end of Great Britain's role as one of the world's major powers".

The Suez Canal was closed from October 1956 until March 1957. Israel fulfilled some of its objectives, such as attaining freedom of navigation through the Straits of Tiran, which Egypt had blocked to Israeli shipping since 1948–1950.

As a result of the conflict, the United Nations created the UNEF Peacekeepers to police the Egyptian–Israeli border, British prime minister Anthony Eden resigned, Canadian external affairs minister Lester Pearson won the Nobel Peace Prize, and the USSR may have been emboldened to invade Hungary.

Background

History of the Suez Canal

The Suez Canal was opened in 1869, after ten years of work financed by the French and Egyptian governments. The canal was operated by the Universal Company of the Suez Maritime Canal, an Egyptian-chartered company; the area surrounding the canal remained sovereign Egyptian territory and the only land-bridge between Africa and Asia.

The canal instantly became strategically important, as it provided the shortest ocean link between the Mediterranean Sea and the Indian Ocean. The canal eased commerce for trading nations and particularly helped European colonial powers to gain and govern their colonies.

In 1875, as a result of debt and financial crisis, Egypt was forced to sell its shares in the canal operating company to the British government of Benjamin Disraeli. They were willing buyers and obtained a 44% share in the Suez Canal Company for £4 million (£472 million in 2020). This maintained the majority shareholdings of the mostly-French private investors. With the 1882 invasion and occupation of Egypt, the UK took ''de facto'' control of the country as well as the canal proper, its finances and operations. The 1888 Convention of Constantinople declared the canal a neutral zone under British protection. In ratifying it, the Ottoman Empire agreed to permit international shipping to pass freely through the canal, in time of war and peace. The Convention came into force in 1904, the same year as the ''Entente cordiale'' between Britain and France.

Despite this convention, the strategic importance of the Suez Canal and its control were proven during the Russo-Japanese War of 1904–1905, after Japan and Britain entered into a separate bilateral agreement. Following the Japanese surprise attack on the Russian Pacific Fleet based at Port Arthur, the Russians sent reinforcements from their fleet in the Baltic Sea. The British denied the Russian Baltic Fleet use of the canal after the Dogger Bank incident and forced it to steam around the Cape of Good Hope in Africa, giving the Imperial Japanese Armed Forces time to consolidate their position in East Asia.

The importance of the canal as a strategic intersection was again apparent during the First World War, when Britain and France closed the canal to non-Allied shipping. The attempt by the German-led Ottoman Fourth Army to storm the canal in February 1915 led the British to commit 100,000 troops to the defence of Egypt for the rest of the war.

Oil

The canal continued to be strategically important after the Second World War as a conduit for the shipment of oil. Petroleum business historian Daniel Yergin wrote of the period: "In 1948, the canal abruptly lost its traditional rationale. ... ritishcontrol over the canal could no longer be preserved on grounds that it was critical to the defence either of India or of an empire that was being liquidated. And yet, at exactly the same moment, the canal was gaining a new role—as the highway not of empire, but of oil. ... By 1955, petroleum accounted for half of the canal's traffic, and, in turn, two thirds of Europe's oil passed through it".

At the time, Western Europe imported two million barrels per day from the Middle East, 1,200,000 by tanker through the canal, and another 800,000 via pipeline from the Persian Gulf to the Mediterranean, where tankers received it. The US imported another 300,000 barrels daily from the Middle East. Though pipelines linked the oil fields of the Kingdom of Iraq and the Persian Gulf states to the Mediterranean, these routes were prone to suffer from instability, which led British leaders to prefer to use the sea route through the Suez Canal. As it was, the rise of super-tankers for shipping Middle East oil to Europe, which were too big to use the Suez Canal, meant that British policy-makers greatly overestimated the importance of the canal. By 2000, only 8 percent of the imported oil in Britain arrived via the Suez canal with the rest coming via the Cape route.

In August 1956 the Royal Institute of International Affairs published a report titled "Britain and the Suez Canal" revealing government perception of the Suez area. It reiterates several times the strategic necessity of the Suez Canal to the United Kingdom, including the need to meet military obligations under the Manila Pact in the Far East and the Baghdad Pact in Iraq, Iran, or Pakistan. The report also points out that the canal had been used in wartime to transport materiel and personnel from and to the UK's close allies in Australia and New Zealand, and might be vital for such purposes in future. The report also cites the amount of material and oil that passes through the canal to the United Kingdom, and the economic consequences of the canal being put out of commission, concluding:

After 1945

In the aftermath of the Second World War, Britain's military strength was spread throughout the region, including the vast military complex at Suez with a garrison of some 80,000, making it one of the largest military installations in the world. The Suez base was considered an important part of Britain's strategic position in the Middle East; however, it became a source of growing tension in Anglo-Egyptian relations.

Egypt's post-war domestic politics were experiencing a radical change, prompted in no small part by economic instability, inflation, and unemployment. Unrest began to manifest itself in the growth of radical political groups, such as the Muslim Brotherhood in Egypt, and an increasingly hostile attitude towards Britain and its presence in the country. Added to this anti-British fervour was the role Britain had played in the creation of Israel.

In October 1951, the Egyptian government unilaterally abrogated the Anglo-Egyptian Treaty of 1936, the terms of which granted Britain a lease on the Suez base for 20 more years. Britain refused to withdraw from Suez, relying upon its treaty rights, as well as the presence of the Suez garrison. The price of such a course of action was a steady escalation in violent hostility towards Britain and British troops in Egypt, which the Egyptian authorities did little to curb.

On 25 January 1952, British forces attempted to disarm a troublesome auxiliary police force barracks in Ismailia, resulting in the deaths of 41 Egyptians. This in turn led to anti-Western riots in Cairo resulting in heavy damage to property and the deaths of several foreigners, including 11 British citizens. This proved to be a catalyst for the removal of the Egyptian monarchy. On 23 July 1952 a military coup by the Egyptian nationalist ' Free Officers Movement'—led by Muhammad Neguib and future Egyptian President Gamal Abdul Nasser—overthrew King Farouk and established an Egyptian republic.

Post–Egyptian Revolution period

In the 1950s, the Middle East was dominated by four interlinked conflicts:
* the Cold War, the geopolitical battle for influence between the United States and the Soviet Union;
* the Arab Cold War, the race between different Arab states for the leadership of the Arab world;Vakikiotis, P. J. ''Nasser and His Generation'', pp. 230–232.
* the anti-colonial struggle of Arab nationalists against the two remaining imperial powers, Britain and France, in particular the Algerian War;
* and the Arab–Israeli conflict, the political and military conflict between the Arab countries and Israel.

Egypt and Britain

Britain's desire to mend Anglo-Egyptian relations in the wake of the coup saw the country strive for rapprochement throughout 1953 and 1954. Part of this process was the agreement, in 1953, to terminate British rule in Sudan by 1956 in return for Cairo's abandoning of its claim to suzerainty over the Nile Valley region. In October 1954, Britain and Egypt concluded the Anglo-Egyptian Agreement of 1954 on the phased evacuation of British Armed Forces troops from the Suez base, the terms of which agreed to withdrawal of all troops within 20 months, maintenance of the base to be continued, and for Britain to hold the right to return for seven years. The Suez Canal Company was not due to revert to the Egyptian government until 16 November 1968 under the terms of the treaty.

Britain's close relationship with the two Hashemite kingdoms of Iraq and Jordan were of particular concern to Nasser. In particular, Iraq's increasingly amicable relations with Britain were a threat to Nasser's desire to see Egypt as head of the Arab world. The creation of the Baghdad Pact in 1955 seemed to confirm Nasser's fears that Britain was attempting to draw the Eastern Arab World into a bloc centred upon Iraq, and sympathetic to Britain. Nasser's response was a series of challenges to British influence in the region that would culminate in the Suez Crisis.

Egypt and the Arab leadership

In regard to the Arab leadership, particularly venomous was the feud between Nasser and the Prime Minister of Iraq, Nuri al-Said, for Arab leadership, with the Cairo-based Voice of the Arabs radio station regularly calling for the overthrow of the government in Baghdad. The most important factors that drove Egyptian foreign policy in this period was on the one hand, a determination to see the entire Middle East as Egypt's rightful sphere of influence, and on the other, a tendency on the part of Nasser to fortify his pan-Arabist and nationalist credibility by seeking to oppose any and all Western security initiatives in the Near East.

Despite the establishment of such an agreement with the British, Nasser's position remained tenuous. The loss of Egypt's claim to Sudan, coupled with the continued presence of Britain at Suez for a further two years, led to domestic unrest including an assassination attempt against him in October 1954. The tenuous nature of Nasser's rule caused him to believe that neither his regime, nor Egypt's independence would be safe until Egypt had established itself as head of the Arab world. This would manifest itself in the challenging of British Middle Eastern interests throughout 1955.

US and a defence treaty against the Soviet threat

The United States, while attempting to erect an alliance in the form of a Middle East Defense Organization to keep the Soviet Union out of the Near East, tried to woo Nasser into this alliance. The central problem for American policy in the Middle East was that this region was perceived as strategically important due to its oil, but the United States, weighed down by defence commitments in Europe and the Far East, lacked sufficient troops to resist a Soviet invasion of the Middle East. In 1952, General Omar Bradley of the U.S. Joint Chiefs of Staff declared at a planning session about what to do in the event of a Soviet invasion of the Near East: "Where will the staff come from? It will take a lot of stuff to do a job there".

As a consequence, American diplomats favoured the creation of a NATO-type organisation in the Near East to provide the necessary military power to deter the Soviets from invading the region. The Eisenhower administration, even more than the Truman administration, saw the Near East as a huge gap into which Soviet influence could be projected, and accordingly required an American-supported security system. American diplomat Raymond Hare later recalled:

The projected Middle East Defense Organization (MEDO) was to be centered on Egypt. A United States National Security Council directive of March 1953 called Egypt the "key" to the Near East and advised that Washington "should develop Egypt as a point of strength".

A major dilemma for American policy was that the two strongest powers in the Near East, Britain and France, were also the nations whose influence many local nationalists most resented. From 1953 onwards, American diplomacy had attempted unsuccessfully to persuade the powers involved in the Near East, both local and imperial, to set aside their differences and unite against the Soviet Union. The Americans took the view that, just as fear of the Soviet Union had helped to end the historic Franco-German enmity, so too could anti-Communism end the more recent Arab–Israeli dispute. It was a source of constant puzzlement to American officials in the 1950s that the Arab states and the Israelis had seemed to have more interest in fighting each other rather than uniting against the Soviet Union. After his visit to the Middle East in May 1953 to drum up support for MEDO, the Secretary of State, John Foster Dulles found much to his astonishment that the Arab states were "more fearful of Zionism than of the Communists".

The policy of the United States was colored by considerable uncertainty as to whom to befriend in the Near East. American policy was torn between a desire to maintain good relations with NATO allies such as Britain and France who were also major colonial powers, and a desire to align Third World nationalists with the Free World camp. Though it would be entirely false to describe the coup deposing King Farouk in July 1952 as a Central Intelligence Agency (CIA) coup, Nasser and his Society of Free Officers were nonetheless in close contact with CIA operatives led by Miles Copeland beforehand (Nasser maintained links with any and all potential allies from the Egyptian Communist Party on the left to the Muslim Brotherhood on the right).

Nasser's friendship with certain CIA officers in Cairo led Washington to vastly overestimate its influence in Egypt. That Nasser was close to CIA officers led the Americans for a time to view Nasser as a CIA "asset". In turn, the British who were aware of Nasser's CIA ties deeply resented this relationship, which they viewed as an American attempt to push them out of Egypt. The principal reason for Nasser's courting of the CIA before the July Revolution of 1952 was his hope that the Americans would act as a restraining influence on the British should Britain decide on intervention to put an end to the revolution (until Egypt renounced it in 1951, the 1936 Anglo-Egyptian treaty allowed Britain the right of intervention against all foreign and domestic threats). In turn, many American officials, such as Ambassador Jefferson Caffery, saw the continued British military presence in Egypt as anachronistic, and viewed the Revolutionary Command Council (as Nasser called his government after the coup) in a highly favourable light.

Caffery was consistently very positive about Nasser in his reports to Washington right up until his departure from Cairo in 1955. The regime of King Farouk was viewed in Washington as weak, corrupt, unstable, and anti-American, so the Free Officers' July coup was welcomed by the United States. As it was, Nasser's contacts with the CIA were not necessary to prevent British intervention against the July coup as Anglo-Egyptian relations had deteriorated so badly in 1951–52 that the British viewed any Egyptian government not headed by King Farouk as a huge improvement. In May 1953, during a meeting with Secretary Dulles, who asked Egypt to join an anti-Soviet alliance, Nasser responded by saying that the Soviet Union has

Dulles informed Nasser of his belief that the Soviet Union was seeking world conquest, that the principal danger to the Near East came from the Kremlin, and urged Nasser to set aside his differences with Britain to focus on countering the Soviet Union. In this spirit, Dulles suggested that Nasser negotiate a deal that would see Egypt assume sovereignty over the canal zone base, but then allow the British to have "technical control" in the same way that Ford auto company provided parts and training to its Egyptian dealers.

Nasser did not share Dulles's fear of the Soviet Union taking over the Middle East, and insisted quite vehemently that he wanted to see the total end of all British influence not only in Egypt, but all the Middle East. The CIA offered Nasser a $3 million bribe if he would join the proposed Middle East Defense Organization; Nasser took the money, but then refused to join. At most, Nasser made it clear to the Americans that he wanted an Egyptian-dominated Arab League to be the principal defence organisation in the Near East, which might be informally associated with the United States.

After he returned to Washington, Dulles advised Eisenhower that the Arab states believed "the United States will back the new state of Israel in aggressive expansion. Our basic political problem ... is to improve the Moslem states' attitudes towards Western democracies because our prestige in that area had been in constant decline ever since the war". The immediate consequence was a new policy of "even-handedness" where the United States very publicly sided with the Arab states in several disputes with Israel in 1953–54. Moreover, Dulles did not share any sentimental regard for the Anglo-American "special relationship", which led the Americans to lean towards the Egyptian side in the Anglo-Egyptian disputes. During the extremely difficult negotiations over the British evacuation of the Suez Canal base in 1954–55, the Americans generally supported Egypt, though at the same time trying hard to limit the extent of the damage that this might cause to Anglo-American relations.

In the same report of May 1953 to President Dwight D. Eisenhower calling for "even-handedness", Dulles stated that the Egyptians were not interested in joining the proposed MEDO; that the Arabs were more interested in their disputes with the British, the French, the Israelis and each other than in standing against the Soviets; and that the "Northern Tier" states of Turkey, Iran and Pakistan were more useful as allies at present than Egypt. Accordingly, the best American policy towards Egypt was to work towards Arab–Israeli peace and the settlement of the Anglo-Egyptian dispute over the British Suez Canal base as the best way of securing Egypt's ultimate adhesion to an American sponsored alliance centered on the "Northern Tier" states.

The "Northern Tier" alliance was achieved in early 1955 with the creation of the Baghdad Pact comprising Pakistan, Iran, Turkey, Iraq and the United Kingdom. The presence of the last two states was due to the British desire to continue to maintain influence in the Middle East, and Nuri Said's wish to associate his country with the West as the best way of counterbalancing the increasing aggressive Egyptian claims to regional predominance. The conclusion of the Baghdad Pact occurred almost simultaneously with a dramatic Israeli reprisal operation on the Gaza Strip on 28 February 1955 in retaliation for Palestinian ''fedayeen'' raids into Israel, during which the Israeli Unit 101 commanded by Ariel Sharon did some damage to Egyptian Army forces.

The close occurrence of the two events was mistakenly interpreted by Nasser as part of coordinated Western effort to push him into joining the Baghdad Pact. The signing of the Baghdad Pact and the Gaza raid marked the beginning of the end of Nasser's once good relations with the Americans. In particular, Nasser saw Iraq's participation in the Baghdad Pact as a Western attempt to promote his archenemy Nuri al-Said as an alternative leader of the Arab world.

Nasser and the Soviet bloc

Instead of siding with either superpower, Nasser took the role of the spoiler and tried to play off the superpowers in order to have them compete with each other in attempts to buy his friendship.

Under the new leadership of Nikita Khrushchev, the Soviet Union was making a major effort to win influence in the so-called Third World. As part of the diplomatic offensive, Khrushchev had abandoned Moscow's traditional line of treating all non-communists as enemies and adopted a new tactic of befriending so-called "non-aligned" nations, which often were led by leaders who were non-Communists, but in varying ways and degrees were hostile towards the West. Khrushchev had realised that by treating non-communists as being the same thing as being anti-communist, Moscow had needlessly alienated many potential friends over the years in the Third World. Under the banner of anti-imperialism, Khrushchev made it clear that the Soviet Union would provide arms to any left-wing government in the Third World as a way of undercutting Western influence.

Chinese Premier Zhou Enlai met Nasser at the 1955 Bandung Conference and was impressed by him. Zhou recommended that Khrushchev treat Nasser as a potential ally. Zhou described Nasser to Khrushchev as a young nationalist who, though no Communist, could if used correctly do much damage to Western interests in the Middle East. Marshal Josip Broz Tito of Yugoslavia, who also came to know Nasser at the Bandung Conference told Khrushchev in a 1955 meeting that "Nasser was a young man without much political experience, but if we give him the benefit of the doubt, we might be able to exert a beneficial influence on him, both for the sake of the Communist movement, and ... the Egyptian people". Traditionally, most of the equipment in the Egyptian military had come from Britain, but Nasser's desire to break British influence in Egypt meant that he was desperate to find a new source of weapons to replace Britain. Nasser had first broached the subject of buying weapons from the Soviet Union in 1954.

Nasser and arms purchases

Most of all, Nasser wanted the United States to supply arms on a generous scale to Egypt. Nasser refused to promise that any U.S. arms he might buy would not be used against Israel, and rejected out of hand the American demand for a Military Advisory Group to be sent to Egypt as part of the price of arms sales.

Nasser's first choice for buying weapons was the United States. However his frequent anti-Zionist speeches and sponsorship of the Palestinian ''fedayeen'', who made frequent raids into Israel, rendered it difficult for the Eisenhower administration to get the approval of Congress necessary to sell weapons to Egypt. American public opinion was deeply hostile towards selling arms to Egypt that might be used against Israel. Moreover, Eisenhower feared doing so could trigger a Middle Eastern arms race. Eisenhower very much valued the Tripartite Declaration as a way of keeping peace in the Near East. In 1950, in order to limit the extent that the Arabs and the Israelis could engage in an arms race, the three nations which dominated the arms trade in the non-Communist world, namely the United States, the United Kingdom and France had signed the Tripartite Declaration, where they had committed themselves to limiting how much arms they could sell in the Near East, and also to ensuring that any arms sales to one side was matched by arms sales of equal quantity and quality to the other. Eisenhower viewed the Tripartite Declaration, which sharply restricted how many arms Egypt could buy in the West, as one of the key elements in keeping the peace between Israel and the Arabs, and believed that setting off an arms race would inevitably lead to a new war.

The Egyptians made continuous attempts to purchase heavy arms from Czechoslovakia years before the 1955 deal.

Nasser had let it be known, in 1954–55, that he was considering buying weapons from the Soviet Union, and thus coming under Soviet influence, as a way of pressuring the Americans into selling him the arms he desired. Khrushchev, who very much wanted to win the Soviet Union influence in the Middle East, was more than ready to arm Egypt if the Americans proved unwilling. During secret talks with the Soviets in 1955, Nasser's demands for weapons were more than amply satisfied as the Soviet Union had not signed the Tripartite Declaration. The news in September 1955 of the Egyptian purchase of a huge quantity of Soviet arms via Czechoslovakia was greeted with shock and rage in the West, where this was seen as a major increase in Soviet influence in the Near East. In Britain, the increase of Soviet influence in the Near East was seen as an ominous development that threatened to put an end to British influence in the oil-rich region.

France and the Egyptian support for the Algerian rebellion

Over the same period, the French Premier Guy Mollet, was facing an increasingly serious rebellion in Algeria, where the Algerian National Liberation Front (FLN) rebels were being verbally supported by Egypt via transmissions of the Voice of the Arabs radio, financially supported with Suez Canal revenue and clandestinely owned Egyptian ships were shipping arms to the FLN. Mollet came to perceive Nasser as a major threat. During a visit to London in March 1956, Mollet told Eden his country was faced with an Islamic threat to the very soul of France supported by the Soviet Union. Mollet stated: "All this is in the works of Nasser, just as Hitler's policy was written down in ''Mein Kampf''. Nasser has the ambition to recreate the conquests of Islam. But his present position is largely due to the policy of the West in building up and flattering him".

In a May 1956 gathering of French veterans, Louis Mangin spoke in place of the unavailable Minister of Defence and gave a violently anti-Nasser speech, which compared the Egyptian leader to Hitler. He accused Nasser of plotting to rule the entire Middle East and of seeking to annex Algeria, whose "people live in community with France". Mangin urged France to stand up to Nasser, and being a strong friend of Israel, urged an alliance with that nation against Egypt.

Egypt and Israel

Prior to 1955, Nasser had pursued efforts to reach peace with Israel and had worked to prevent cross-border Palestinian attacks. In February 1955, Unit 101, an Israeli unit under Ariel Sharon, conducted a raid on the Egyptian Army headquarters in Gaza in retaliation for a '' Palestinian fedayeen'' attack that killed an Israeli civilian. As a result of the incident, Nasser began allowing raids into Israel by the Palestinian militants. The raids triggered a series of Israeli reprisal operations, which ultimately contributed to the Suez Crisis.

Franco-Israeli alliance emerges

Starting in 1949 owing to shared nuclear research, France and Israel started to move towards an alliance. Following the outbreak of the Algerian War in late 1954, France began to ship more and more arms to Israel. In November 1954, the Director-General of Israel's Ministry of Defense Shimon Peres visited Paris, where he was received by the French Defense Minister Marie-Pierre Kœnig, who told him that France would sell Israel any weapons it wanted to buy. By early 1955, France was shipping large amounts of weapons to Israel. In April 1956, following another visit to Paris by Peres, France agreed to totally disregard the Tripartite Declaration, and supply even more weapons to Israel. During the same visit, Peres informed the French that Israel had decided upon war with Egypt in 1956. Peres claimed that Nasser was a genocidal maniac intent upon not only destroying Israel, but also exterminating its people, and as such, Israel wanted a war before Egypt received even more Soviet weapons, and there was still a possibility of victory for the Jewish state. Peres asked for the French, who had emerged as Israel's closest ally by this point, to give Israel all the help they could give in the coming war.

Frustration of British aims

Throughout 1955 and 1956, Nasser pursued a number of policies that would frustrate British aims throughout the Middle East, and result in increasing hostility between Britain and Egypt. Nasser saw Iraq's inclusion in the Baghdad Pact as indicating that the United States and Britain had sided with his much hated archenemy Nuri as-Said's efforts to be the leader of the Arab world, and much of the motivation for Nasser's turn to an active anti-Western policy starting in 1955 was due to his displeasure with the Baghdad Pact. For Nasser, attendance at such events as the Bandung conference in April 1955 served as both the means of striking a posture as a global leader, and of playing hard to get in his talks with the Americans, especially his demand that the United States sell him vast quantities of arms.

Nasser "played on the widespread suspicion that any Western defence pact was merely veiled colonialism and that Arab disunity and weakness—especially in the struggle with Israel—was a consequence of British machinations." He also began to align Egypt with the kingdom of Saudi Arabia—whose rulers were hereditary enemies of the Hashemites—in an effort to frustrate British efforts to draw Syria, Jordan and Lebanon into the orbit of the Baghdad Pact. Nasser struck a further blow against Britain by negotiating an arms deal with communist Czechoslovakia in September 1955 thereby ending Egypt's reliance on Western arms. Later, other members of the Warsaw Pact also sold arms to Egypt and Syria. In practice, all sales from the Eastern Bloc were authorised by the Soviet Union, as an attempt to increase Soviet influence over the Middle East. This caused tensions in the United States because Warsaw Pact nations now had a strong presence in the region.

Nasser and 1956 events

Nasser and Jordan

Nasser frustrated British attempts to draw Jordan into the pact by sponsoring demonstrations in Amman, leading King Hussein of Jordan in the Arabization of the Jordanian Army command to dismiss the British commander of the Arab Legion, Sir John Bagot Glubb (known to the Arabs as Glubb Pasha) in March 1956, throwing Britain's Middle Eastern security policy into chaos. After one round of bloody rioting in December 1955 and another in March 1956 against Jordan joining the Baghdad Pact, both instigated by Cairo-based Voice of the Arabs radio station, Hussein believed his throne was in danger. In private, Hussein assured the British that he was still committed to continuing the traditional Hashemite alliance with Britain, and that his sacking of Glubb Pasha and all the other British officers in the Arab Legion were just gestures to appease the rioters.

Nasser and Britain

British Prime Minister Anthony Eden was especially upset at the sacking of Glubb Pasha, and as one British politician recalled:

After the sacking of Glubb Pasha, which he saw as a grievous blow to British influence, Eden became consumed with an obsessional hatred for Nasser, and from March 1956 onwards, was in private committed to the overthrow of Nasser. The American historian Donald Neff wrote that Eden's often hysterical and overwrought views towards Nasser almost certainly reflected the influence of the amphetamines to which Eden had become addicted following a botched operation in 1953 together with the related effects of sustained sleep deprivation (Eden slept on average about 5 hours per night in early 1956).

Increasingly Nasser came to be viewed in British circles—and in particular by Eden—as a dictator, akin to Benito Mussolini. In the build-up to the crisis, the Labour leader Hugh Gaitskell and the left-leaning tabloid newspaper ''The Mirror'' made the first comparison between Nasser and Mussolini. Anglo-Egyptian relations would continue on their downward spiral.

Britain was eager to tame Nasser and looked towards the United States for support. However, Eisenhower strongly opposed British-French military action. America's closest Arab ally, Saudi Arabia, was just as fundamentally opposed to the Hashemite-dominated Baghdad Pact as Egypt, and the U.S. was keen to increase its own influence in the region. The failure of the Baghdad Pact aided such a goal by reducing Britain's dominance over the region. "Great Britain would have preferred to overthrow Nasser; America, however uncomfortable with the 'Czech arms deal', thought it wiser to propitiate him."

The United States and the Aswan High Dam

On 16 May 1956, Nasser officially recognized the People's Republic of China, which angered the U.S. and Secretary Dulles, a sponsor of the Republic of China. This move, coupled with the impression that the project was beyond Egypt's economic capabilities, caused Eisenhower to withdraw all American financial aid for the Aswan Dam project on 19 July.

The Eisenhower administration believed that if Nasser were able to secure Soviet economic support for the high dam, that would be beyond the capacity of the Soviet Union to support, and in turn would strain Soviet-Egyptian relations. Eisenhower wrote in March 1956 that "If Egypt finds herself thus isolated from the rest of the Arab world, and with no ally in sight except Soviet Russia, she would very quickly get sick of the prospect and would join us in the search for a just and decent peace in the region". Dulles told his brother, CIA director Allen Dulles, "If they he Sovietsdo make this offer we can make a lot of use of it in propaganda within the satellite bloc. You don't get bread because you are being squeezed to build a dam".

Finally, the Eisenhower administration had become very annoyed at Nasser's efforts to play the United States off against the Soviet Union, and refused to finance the Aswan high dam. As early as September 1955, when Nasser announced the purchase of the Soviet military equipment via Czechoslovakia, Dulles had written that competing for Nasser's favor was probably going to be "an expensive process", one that Dulles wanted to avoid as much as possible.

1956 American peace initiative

In January 1956, to end the incipient arms race in the Middle East (set off by the Soviet Union selling Egypt arms on a scale unlimited by the Tripartite Declaration and with France doing likewise with Israel), which he saw as opening the Near East to Soviet influence, Eisenhower launched a major effort to make peace between Egypt and Israel. Eisenhower sent out his close friend Robert B. Anderson to serve as a secret envoy who would permanently end the Arab–Israeli dispute. During his meetings with Nasser, Anderson offered large quantities of American aid in exchange for a peace treaty with Israel. Nasser demanded the return of Palestinian refugees to Israel, wanted to annex the southern half of Israel and rejected direct talks with Israel. Given Nasser's territorial and refugee-related demands, the Israeli Prime Minister David Ben-Gurion suspected that Nasser was not interested in a settlement. Still, he proposed direct negotiations with Egypt in any level.

A second round of secret diplomacy by Anderson in February 1956 was equally unsuccessful. Nasser sometimes suggested during his talks with Anderson that he was interested in peace with Israel if only the Americans would supply him with unlimited quantities of military and economic aid. In case of Israeli acceptance to the Palestinian right of return and to Egypt annexing the southern half of Israel, Egypt would not accept a peace settlement. The United States or the United Nations would have to present the Israeli acceptance to all Arabs as a basis for peace settlements. It is not clear if Nasser was sincerely interested in peace, or just merely saying what the Americans wanted to hear in the hope of obtaining American funding for the Aswan high dam and American weapons. The truth will likely never be known as Nasser was an intensely secretive man, who managed to hide his true opinions on most issues from both contemporaries and historians. However, the British historian P. J. Vatikitos noted that Nasser's determination to promote Egypt as the world's foremost anti-Zionist state as a way of reinforcing his claim to Arab leadership meant that peace was unlikely.

Hasan Afif El-Hasan says that in 1955–1956 the Americans proposed to Nasser that he solve the Arab–Israeli conflict peacefully in exchange for American finance of the High Dam on the Nile river, but Nasser rejected the offer because it would mean siding with the West (as opposed to remaining neutral) in the Cold War. Since the alternative to a peace agreement was a war with unpredictable consequences, Nasser's refusal to accept the proposal was irrational, according to el-Hasan.

Canal nationalisation

Nasser's response was the nationalisation of the Suez Canal. On 26 July, in a speech in Alexandria, Nasser gave a riposte to Dulles. During his speech he deliberately pronounced the name of Ferdinand de Lesseps, the builder of the canal, a code-word for Egyptian forces to seize control of the canal and implement its nationalisation. He announced that the Nationalization Law had been published, that all assets of the Suez Canal Company had been frozen, and that stockholders would be paid the price of their shares according to the day's closing price on the Paris Stock Exchange. That same day, Egypt closed the canal to Israeli shipping. Egypt also closed the Straits of Tiran to Israeli shipping, and blockaded the Gulf of Aqaba, in contravention of the Constantinople Convention of 1888. Many argued that this was also a violation of the 1949 Armistice Agreements