Never has there been a better time for American firms to do business in the United Arab Emirates. Today, thousands of U.S. companies use the U.A.E. as a strategic hub to access regional and international markets. Companies find a dynamic, business-friendly environment that continues to evolve to improve the ease of doing business. Moreover, they are buoyed by a close U.S.-U.A.E. commercial and investment partnership that creates vast opportunities for companies in both countries.
The U.A.E. has long been the primary destination for U.S. exports in the Middle East region. In 2024, U.S. exports to the U.A.E. totaled $26.9 billion, supporting over 161,000 American jobs. The United States enjoyed a trade surplus of $19.5 billion in 2024 with the U.A.E., the largest trade surplus in the Middle East region and the third largest globally.
The global asset management world focuses on the U.A.E. as a global participant in finance, in particular the Dubai International Financial Center (DIFC) and Abu Dhabi Global Market (ADGM) freezones. Both the DIFC and ADGM continue to grow, with AUMs of USD 700 billion and USD 653 billion respectively. ADGM has recently grown its jurisdiction significantly following the expansion into Al Reem Island, adding 1,100 entities and 500,000 sqm of new office space.
In recent years, the contours of the U.S.-U.A.E. economic relationship have shifted and expanded into new sectors. Since the publication of the last “Guide to Doing Business in the U.A.E.” in 2023, the U.A.E. has doubled down on investments in key sectors such as advanced technology, artificial intelligence (AI), life sciences, and space. Meanwhile, the U.A.E. remains a leader in the energy and defense sectors, buoyed by new momentum driven by cooperation with the Trump administration.
A series of official visits culminating in the visit of U.S. President Donald Trump to Abu Dhabi earlier this year set the stage for further expansion of partnerships and business opportunities in the U.A.E., particularly in AI. The presidential visit resulted in over $200 billion in commercial deals between the United States and the United Arab Emirates. The U.A.E.’s commitment of a 10-year $1.4 trillion investment framework into the U.S. will not only fuel U.A.E. inbound investment into the United States, but also provide opportunities for co-investments with the U.A.E., particularly related to technology and AI enablement. In May 2025, both countries agreed to establish the U.S.-U.A.E. AI Acceleration Partnership. President Trump’s visit also revived hopes for a U.S.-U.A.E. free-trade agreement with negotiations underway. Additional highlights of this milestone visit include planned investments in the U.A.E. across the strategic industries identified by the U.A.E. as national priorities:
A new, comprehensive U.A.E.-based 5GW U.A.E.-U.S. AI Campus that will be home to U.S. hyperscalers and large enterprises that can leverage the capacity for regional computing and AI demand.
G42 to lead a consortium with U.S. partners to build and invest in AI infrastructure in the U.A.E. and globally.
A path for the U.A.E. to buy some of the world’s most advanced AI semiconductors from U.S. companies.
A partnership between Abu Dhabi Investment Office (ADIO) and Qualcomm to establish a Global Engineering Center in Abu Dhabi to drive innovation and accelerate the development of advanced technologies, including AI, industrial internet of things (IoT), and data centers.
Amazon Web Services, e&, and the U.A.E. Cybersecurity Council unveiled a Launchpad for Public Sector (the U.A.E. Sovereign Launchpad) and regulated industries cloud adoption that is expected to contribute $181 billion to the U.A.E.’s digital economy by 2033. The partnership includes the establishment of the new U.A.E. Cybersecurity Technology Innovation Bureau.
Qualcomm and e& announced a strategic collaboration to help drive U.A.E. technological development and commercialization across a broad range of advanced connectivity, 5G and edge AI technologies in an effort to accelerate the digital transformation for the U.A.E. government, enterprise, and industrial sectors.
The U.S. and U.A.E. agreed to launch the Comprehensive Strategic Energy Partnership (CSEP) to underscore the shared commitment of both countries to strengthen strategic cooperation across the energy sector. The U.S. and U.A.E. also announced a series of joint private-sector investments to increase oil and gas production in the U.A.E.
Tawazun Council, RTX, and Emirates Global Aluminium (EGA) signed a memorandum of understanding (MoU) to establish EGA as a new producer of gallium in the U.A.E., a critical mineral essential to global supply chains.
M42 and Oracle Health announced a partnership to enhance healthcare data systems and genomics capabilities using advanced technologies.
Any business interested in partnering with an Emirati entity or domiciling their business in the U.A.E. should understand recent developments outlined above and their interplay with the economic focus areas of U.A.E. policymakers laid out in national action plans. This guide will assist businesses considering investment into the U.A.E. and those already established to navigate and appreciate the interplay and connectivity between the US and U.A.E. economies on both a macro and micro level.
The U.A.E. seeks to become a hub for innovation, investment, sustainable development, and local manufacturing. Since the AI boom, the U.A.E. is particularly focused on developing its technology sector and will need to scale energy infrastructure, recruit AI talent, build data centers, develop a research and development (R&D) ecosystem, and implement cybersecurity strategies to accomplish this goal.
This guide will provide a high-level overview of doing business in the U.A.E. with a focus on the following opportunity sectors:
AI and Advanced Technology (including cybersecurity)
Energy
Healthcare and Life Sciences
Financial Technologies and Services
Space
Advanced Manufacturing
This guide will also outline several key changes to business, taxation, and regulations in the U.A.E. of which businesses should be aware:
The introduction of a U.A.E. corporate tax and implementation of the Domestic Minimum Top-up Tax (DMTT) has shifted the country away from a tax-free corporate environment.
Changes to U.A.E. foreign ownership laws in 2024 that relax restrictions on onshore companies is a significant change and an effort to attract even more foreign direct investment (FDI).
New data privacy and protection regulations are important to companies operating not just in the tech sector, but also in the healthcare and other sectors. Companies interested in the U.A.E.’s AI sector should know that there is no specific, standalone AI law, but a regulatory framework that borrows from existing data and IP laws. Data privacy is also a key issue businesses must navigate in the U.A.E. healthcare and life sciences sector in addition to near-shoring designed to induce local manufacturing.
As predicted in the 2023 Business Guide, the U.A.E.’s Comprehensive Economic Partnership Agreements (CEPA) agenda has shaped the business environment in the U.A.E. over the last two years. The U.A.E. has already concluded 27 CEPAs and expects to have a total of 45 CEPAs in place by the end of the year. CEPAs offer increased access to foreign markets for export of goods and services, facilitating long-term partnerships for private-sector investment.
The U.A.E.’s removal from the Financial Action Task Force’s (FATF’s) grey list in 2024 improved investor confidence in the U.A.E. financial sector.
Business and legal developments in the highly regulated data center, gaming, and capital markets sectors are evolving quickly. The U.A.E. granted U.S.-based Wynn Resorts the first commercial gaming operator’s license in the country last year. The U.A.E. is also poised to build out its data center capacity in the next few years.
The U.S. and the U.A.E. have been long-standing commercial partners, but the economic relationship has reached new heights in recent years. The U.A.E. is not only a regional hub for business, but also emerging as a global center of industry, commerce, and capital.
About the U.S.-U.A.E. Business Council
In addition to organizing best-in-class programming, such as high-level trade missions, promotional road shows to cities across the United States, supporting official U.S. and U.A.E. leadership visits, and substantive events across the United States and the Emirates, the U.S.- U.A.E. Business Council serves as an important voice on critical policy priorities between the two countries in a variety of fields, including, but not limited to, energy (renewable, nuclear, and oil and gas); aerospace, defense, and security; infrastructure (conventional and green build); technology; healthcare; and education.
The U.S.-U.A.E. Business Council is a platform, not only for speaking as one unified voice on behalf of the business communities in both countries, but also for advocating for U.S.-U.A.E. trade and commercial relations more broadly. Whether helping U.S. companies expand relationships, identifying “win-win” partnerships between U.S. and U.A.E. companies, or assisting U.A.E. companies in investing directly into the United States, the Business Council remains a critical piece of the U.S.-U.A.E. economic relationship.
About Morgan, Lewis & Bockius LLP
Morgan, Lewis & Bockius LLP is a leading global law firm providing high-quality litigation, corporate, investment management labor, and intellectual property services. Recognized for exceptional client service and legal innovation serving the sovereign, institutional, and private investors globally and from its U.A.E. offices, the firm’s team of 2,200 lawyers, patent agents, benefits advisers, regulatory scientists, and other professionals span the globe. For more than two decades, lawyers at Morgan Lewis have been advising U.S. and international clients on the practical and legislative considerations pertaining to doing business in the U.A.E. The firm has 30 locations worldwide including 18 locations in the United States.
Morgan Lewis has a robust presence in the Middle East. From our two offices in the United Arab Emirates—Abu Dhabi and Dubai—we connect our global platform to our clients operating from or doing business in the Middle East, collaborating with colleagues in the United States, Europe, and Asia who represent clients and act on matters in the region.
Our knowledge of the region’s distinct legal, regulatory, and business structures complements our ability to serve clients across service areas, industries, and jurisdictions. Most of our partners have practiced in the Middle East for more than 10 years, and our team includes lawyers fluent in Arabic, English, and French who are qualified to practice in civil and common law jurisdictions. We also maintain collaborative, long-standing relationships with local counsel in the member states of the Gulf Cooperation Council as well as in countries in the Levant, North Africa, and South Asia.
