UAE’s Non-Oil Foreign Trade Surpasses $1 Trillion Amid Industrial Growth

UAE’s Non-Oil Trade Milestone and Industrial Resilience

The United Arab Emirates has achieved a significant milestone, with its non-oil foreign trade exceeding $1 trillion (approximately AED 3.8 trillion) in 2025, marking a 27% increase from the previous year. This achievement was highlighted during the opening sessions of the ‘Make in the UAE’ platform, which emphasized the nation’s strategic planning and adaptability in various sectors. UAE officials noted that the country has effectively navigated recent challenges, showcasing its capacity for resilience and innovation.

During a discussion titled ‘Managing Changes – Protecting Supply Chains and Industrial Resilience,’ key figures including Suhail Mohamed Faris Al Mazrouei, Minister of Energy and Infrastructure, and Thani Ahmed Al Zeyoudi, Minister of Foreign Trade, underscored the importance of enhancing national energy security. They stressed the need for robust economic partnerships and targeted investments in advanced industries and technology to ensure long-term industrial resilience.

Participants in the session highlighted that the UAE’s advanced industries benefit from diverse energy mixes and a variety of export markets. This diversification enhances their competitiveness and leadership in the global market, supported by a strong focus on research, development, and innovation.

Commitment to Responsible Energy Production

Suhail Al Mazrouei emphasized the global demand for energy, asserting the UAE’s commitment to being a responsible energy producer. He noted that the recent decision to exit OPEC was a strategic move designed to enhance the country’s production capabilities, enabling more effective planning in various industries. This flexibility is expected to bolster the ‘Make in the UAE’ initiative.

He also addressed concerns regarding the Strait of Hormuz, advocating for unhindered access to the vital waterway to ensure the global strategic reserves are replenished. Al Mazrouei reaffirmed the UAE’s readiness to meet both global demand and domestic industrial needs.

Thani Al Zeyoudi added that the opening of new markets and enhancing supply chain solutions are crucial for sustaining the growth of the UAE’s industrial sector. He pointed out that the nation is connected to over 250 ports worldwide, which significantly expands its supply chain capabilities.

Future Growth in Defense Industries

In a notable projection, Faisal Al Bunai, Strategic Advisor to the President for Strategic Research and Advanced Technology, indicated that the UAE anticipates a dramatic increase in its defense industry capabilities, estimating a growth rate of 100 times in the coming years. He highlighted the rapid development and deployment of advanced defense systems, noting that some projects were completed in mere weeks, showcasing the agility of the local defense manufacturing sector.

Al Bunai also mentioned that the demand for local defense products has surged, with external requests for these products rising from 2% to 70% over the past year. This trend underscores the growing recognition of the UAE’s defense capabilities on the global stage.

A Strategic Position for Future Investments

The discussions concluded with a consensus on the UAE’s strengthened position as a global investment hub, driven by its regulatory frameworks and advanced infrastructure. The country is well-equipped to adapt to geopolitical changes while fostering strategic partnerships and industrial alliances. The UAE’s commitment to enhancing its trade capabilities aligns with its broader economic diversification goals.

Officials praised the Ministry of Industry and Advanced Technology for its efforts in establishing a comprehensive industrial ecosystem. This includes enhancing supply chain resilience and adopting advanced technologies to create a conducive environment for business growth and investment.

Frequently Asked Questions

What is the significance of UAE’s non-oil trade surpassing $1 trillion?

It highlights the UAE’s economic diversification and resilience in various sectors.

How is the UAE enhancing its defense industry?

The UAE is investing in advanced technologies and anticipates a 100-fold growth in its defense capabilities.

What role does the Strait of Hormuz play in UAE’s energy strategy?

It is crucial for ensuring global energy supply and maintaining strategic reserves.

How does the UAE plan to sustain its industrial growth?

By opening new markets and enhancing supply chain solutions, while fostering partnerships.

What initiatives support the UAE’s economic diversification?

The ‘Make in the UAE’ platform and strategic investments in technology and infrastructure.