Trade, FDI, & Manufacturing
Commercial Trade & Foreign Direct Investment
With one of the most open and innovative economies in the world, the U.A.E. is a dependable and significant economic partner of the United States, and the two countries share one of the fastest growing commercial and trade partnerships in the world.
For the past six years, the U.A.E. has been the U.S.’ largest trading partner in the Middle East. Bilateral trade between the two countries has grown 80 percent in ten years (2004 – 2014), with trade reaching an impressive $24.9 billion in 2014. The U.A.E. provides the 8th fastest growing source of foreign direct investment (FDI) in the US, reaching $27.6 million in 2014, with U.S. FDI to the U.A.E. hitting $15 million.
The U.S.-U.A.E. Business Council is committed to fostering and advancing the robust bilateral trade relationship, advocating for expanded commercial trade across a diverse array of sectors, including sustainable energy, banking, defense, infrastructure and education, and increased foreign direct investment to benefit both countries.
Industry and Manufacturing
The U.A.E. encourages foreign investment through a number of industrial “free zones” where companies can benefit from less onerous trade and tax laws, allowing for foreign companies to establish their factories and plants in proximity to their suppliers in the region, thereby catalyzing efficiency.
In addition to a robust oil, mining, and petrochemical industry as well as manufacturing sectors, the U.A.E. has built a resilient and diversified economy – in fact, in 2014, non-oil sectors contributed 68.6 percent to the U.A.E. economy. Key non-oil industrial and manufacturing sectors include: aerospace and defense; chemical and plastic; civilian nuclear energy programs; renewable energy and green building; healthcare products; building materials and construction; and transportation and infrastructure projects.
The U.A.E.’s industrial and manufacturing sectors are fueled by a rapidly growing infrastructure mandated by the Critical Infrastructure & Coastal Protection Authority (CICPA) – a government institution committed to protecting infrastructure and to preserving the country’s economic stability. CICPA is dedicated to ensuring maximum national security without impeding the flow of commerce.
For more information:
The U.S.-U.A.E. Trade and Investment Relationship
U.A.E. Embassy Website on the U.S.-U.A.E. Economic Relationship
U.A.E. Commercial Trade Investment Webpage
U.A.E. FDI Fact Sheet
U.A.E. Interact: Reasons for doing business in the U.A.E.
Congressional Research Service: The United Arab Emirates Issues for U.S. Policy