Exports and Investments Surge as U.A.E. Delivers on Promises
  • Council Events, Past Events

Share

(L to R) President of the U.S.-U.A.E. Business Council Danny Sebright and U.A.E. Ambassador to the United States H.E. Yousef Al Otaiba

“The U.S.-U.A.E. relationship is the most strategic of all of our partnerships…it is running on all cylinders when it comes to economic cooperation, which is now the backbone of the bilateral relationship.” – Ambassador Yousef Al Otaiba, U.A.E. Ambassador to the United States

On Wednesday, February 25th, the U.S.-U.A.E. Business Council convened over 100 senior executives, think tank leaders, and government officials for an off-the-record fireside chat with H.E. Ambassador Yousef Al Otaiba, U.A.E. Ambassador to the United States. 

Delivering on Investment Commitments

Ambassador Otaiba stated the U.A.E. is right on track on its investment commitments as it prepares to mark the 1-year anniversary of the announcement of the U.A.E.’s commitment to a 10-year, $1.4 trillion investment into the United States.

  • Major Emirati entities—including MGX, XRG, G42, and Mubadala—are actively deploying capital and building long-term partnerships in priority sectors in the United States.
  • U.S. exports to the U.A.E. exceeded $31.4B in 2025 (a 16.2% increase over 2024) and the U.S. trade surplus with the United Arab Emirates amounted to nearly $23.8 billion in 2025, a 21.4% ($4.2 billion) increase from $19.6 billion in 2024, making the U.A.E. only one of a handful of key U.S. trading partners with a significant trade surplus in favor of the U.S.

Additionally, Ambassador Otaiba highlighted the growing importance of sub-national relationships with the U.A.E. and U.S. state-level engagements by state governors and local mayors are increasingly key drivers of the relationship.

He encouraged states to pursue partnerships that “make the most commercial sense,” emphasizing that the U.A.E. is seeking long-term relationships in key sectors, noting Emirates Global Aluminum’s partnership with Century Aluminum to build a $4 billion, 600,000-tonne per year aluminum smelter in Oklahoma.

In this regard, the Ambassador also highlighted the importance of the recent establishment of a U.A.E. Consulate and the appointment of a first-ever Consul General in Miami as well as the appointment of the new Consul General in Los Angeles.

AI, Chips, Project Stargate, and Pax Silica: Execution Is Not Rhetoric

On advanced technology cooperation, the Ambassador emphasized implementation of the U.S.-U.A.E. AI Acceleration Partnership and other bilateral technology initiatives:

  • AI chips destined for the U.A.E. are expected to begin arriving next month, under strict compliance and security protocols.
  • The Project Stargate U.A.E. AI Campus remains on schedule.
  • Improvements to the CFIUS process have enabled and facilitated fast track U.A.E. investments in the United States.
  • Ambassador Otaiba drew a direct comparison between the U.A.E.’s approach to semiconductor safeguards and its “gold standard” civil nuclear agreement with the United States, stressing that the U.A.E. is committed to setting the highest compliance and security benchmarks.

Discussing the U.A.E.’s role in Pax Silica, Ambassador Otaiba described the initiative as having begun at the government level but is now entering a new phase involving commercial partnerships.

  • The next Pax Silica Summit is intended be held in Abu Dhabi.
  • The focus is gradually shifting from government officials to CEOs and dealmakers—those “actually getting deals done, investing, and partnering.”

He characterized Pax Silica as a flexible platform that participating companies and countries can shape to accelerate trusted supply chains, compute infrastructure, and next-generation industrial partnerships. He also noted that logistics and port infrastructure may feature prominently in upcoming discussions, including potential participation by major U.A.E. port operators.

“The plan is working,” he noted, “because of partnerships like the ones that have been brokered by key corporate officials in this room and the deals we are making together.”

Looking Ahead – Other Key Sectors of Focus

Thanks to ongoing diversification efforts, it is expected that very soon only 22% of the U.A.E.’s GDP will be now attributable to oil and gas. The U.A.E. remains committed to investing in and building partnerships around other vital sectors including healthcare and life sciences, tourism, and energy.

Reflecting on lessons from COVID-19, Ambassador Otaiba noted that the pandemic exposed gaps in the U.A.E.’s domestic biotech and healthcare manufacturing base, prompting a strategic push to build long-term capacity across pharmaceuticals, life sciences, and critical supply chains in partnership with trusted global leaders. 

He expressed enthusiasm over the construction of Disneyland Abu Dhabi, which he believes will increase tourism to the U.A.E. by an estimated 15% per year.

Many analysts believe this along with the soon-to-be-opened Wynn Casino in Ras Al Khaimah and the Guggenheim Museum in Abu Dhabi will significantly add to the U.A.E.’s tourism draw.

On energy and diversification, Ambassador Otaiba described XRG as one of the most ambitious undertakings in the U.A.E.’s portfolio.

  • The goal: build toward a $250 billion market capitalization within two to three years from $70-80 billion at present.
  • The strategy: actively acquire, build, and operate—not merely invest passively.

The Ambassador also provided a tour d’horizon on a number of pressing regional issues in the Middle East. He left the group with the bottom line assessment that maintaining and preserving U.A.E. security at home while delivering laser focused progress on economic diversification is what differentiates the U.A.E. from many others in the broader region, especially when it comes to its relationship with the United States.

On Thursday, March 26th, 2026, the U.S.-U.A.E. Business Council will host a roundtable discussion with Musabbeh Al Kaabi, CEO of ADNOC Upstream in Washington, D.C. See here for more details.

For more details on the U.A.E.’s fast-evolving business landscape, please consult the U.S.-U.A.E. Business Council and Morgan Lewis’s Guide to Doing Business in the U.A.E. and to learn more about the Business Council’s programming and this event, please contact Caitlin Cottrell at ccottrell@usuaebusiness.org.