Cairo recalled its envoy to Algiers and Egyptians burned the Algerian flag on Thursday after Egypt's soccer team lost to Algeria in a play-off to reach the World Cup finals, accusing its fans of post-match thuggery.
The move is the latest in a tit-for-tat spat between the North African countries about minor incidents of violence surrounding World Cup qualifiers on Saturday and Wednesday.
Egypt's state-run EGYNews website said Cairo was recalling its ambassador over violence against Egyptians after Wednesday's match that Egypt has blamed on Algerian fans.
Tension mounts
Meanwhile, about 2,000 protestors, some burning Algerian flags, gathered near Algeria's embassy in Cairo late on Thursday to protest what they said was attacks on their compatriots and called for the Algerian envoy to leave, witnesses said.
A Reuters witness said two police pick-up vans were damaged, one had been overturned with windows smashed. Witnesses said at least three other cars were overturned and protesters scuffled with police using teargas to stop them reaching the embassy.
Egypt won Saturday's game 2-0 in Cairo, scoring their second goal deep into stoppage time, to leave the two teams level at the top of African qualifying Group C.
That set up Wednesday's playoff in Khartoum, selected by Egypt when they won a draw to choose the venue.
Algeria won 1-0 to qualify for the World Cup in South Africa next year -- their first appearance at the finals since 1986.
Egypt, even before the Sudan playoff, had complained when Algerian fans trashed the Algiers headquarters of Egypt-based Orascom Telecom's Djezzy mobile subsidiary.
Egypt was further angered when Algerian tax authorities hit Djezzy with a $596.6 million bill for outstanding taxes.
Before that, Algeria was irked after Egyptian fans pelted the Algerian team's bus with stones and some fans were hurt in scuffles on game-day in the Cairo qualifier.
Egypt complained of Algerian violence against Egyptian fans on Wednesday and summoned the Algerian ambassador in Cairo to demand Algiers protect Egyptian citizens and assets in Algeria.
President Hosni Mubarak asked his foreign minister to summon the Algerian envoy to demand Algeria "bear its responsibility to protect Egyptian citizens present on its territory as well as its institutions and interests", state news agency MENA said.
FIFA disciplinary proceedings
Soccer's world governing body, FIFA, said it was investigating the incidents.
"Disciplinary proceedings have been opened against the Egyptian Football Association," FIFA said in a statement.
"According to the official reports received by FIFA, on Nov. 12 there were incidents affecting the Algerian team on their way from the airport to the hotel."
Frustrated by accusations it had not looked after fans, Sudan summoned the Egyptian Ambassador in Khartoum in protest.
"We really disagree with what was said in the media," Sudan's Foreign Ministry said in a statement.
"Instead of showing a little bit of appreciation to Sudan for accommodating more than 25,000 fans of the two teams at very short notice, the Egyptian media took a minor and isolated incident and used it as a chance to attack Sudan in a very unacceptable way," it added.
Bad feeling between Egypt and Algeria stretches back to a World Cup qualifier 20 years ago in Cairo, when Egypt won 1-0 to guarantee a place at the World Cup in Italy.
Players clashed on the field after the game and the Egyptian team doctor was partially blinded during the trouble.
Egypt then threatened to pull out of the following year's African Nations Cup in Algeria. They eventually sent a B team and lost all three group games.