Other BriefingsUAE CEPA Deals Push Non-Oil Trade Above US$1 Trillion
The UAE network of 36 CEPA deals has driven non-oil foreign trade to 27%, exceeding US$1 trillion in 2025. This article explains how exporters, manufacturers, logistics providers, and investors can benefit from the UAE’s expanding role as a global trade hub.
In 2025, the United Arab Emirates achieved a historic milestone. Its non-oil foreign trade surpassed US$1 trillion (AED 3.8 trillion), growing 27% from the previous year. The main driver behind this growth is the UAE’s network of Comprehensive Economic Partnership Agreements (CEPAs).
The UAE has signed CEPA deals with 36 countries so far. These agreements cover nearly 3 billion people across Asia, Africa, Europe, and the Middle East. For global businesses, this is not just a number. It is an invitation to use the UAE as a launchpad for regional and international expansion.
What is CEPA and how does it work?
A CEPA is a type of free trade deal. It reduces or removes tariffs, simplifies customs procedures, and opens up markets for services. Some CEPAs also include provisions on investment, intellectual property, and digital trade.
The UAE’s CEPA program started five years ago. Today, it covers strategic partners such as India, Indonesia, Turkey, Israel, Cambodia, and several other countries across Africa and Eastern Europe. The goal is simple: make it easier for UAE‑based businesses to export, and encourage foreign companies to set up in the UAE to access these markets.
Key sectors benefiting from the UAE CEPA
Exporters and manufacturers
UAE‑manufactured products now enjoy preferential access to 36 markets. Take Borouge, a leading petrochemicals company. It has successfully exported specialized products to new global markets under CEPA terms. The same opportunity exists for other manufacturers in plastics, metals, pharmaceuticals, and packaged goods.
Opportunity: Use the UAE as a production base. Manufacture goods locally, then export to CEPA partner countries with lower or zero tariffs. This is especially attractive for companies from regions that do not have their own trade deals with these markets.
Logistics and supply chain providers
Higher trade volumes mean more goods moving through the UAE. Ports like Jebel Ali in Dubai and Khalifa Port in Abu Dhabi are expanding to handle the increased flow. Airports are also growing their cargo capacity.
Opportunity: Logistics companies can offer freight forwarding, warehousing, and last‑mile delivery services for businesses using the UAE as a regional hub. Integrated supply chain solutions are in high demand.
Investors and companies using the UAE as a regional platform
The UAE already offers simplified business setup, streamlined regulations, and world‑class infrastructure. CEPA adds another layer of advantage. A company based in the UAE can serve customers across three continents with fewer trade barriers.
Opportunity: Set up a regional headquarters, distribution center, or light assembly facility in the UAE. From there, you can export to CEPA partner countries without facing the tariffs that competitors from non‑CEPA countries must pay.
Food and agriculture exporters
Many CEPA partners are major food importers. India, Indonesia, and Turkey, for example, have large populations and growing demand for imported food. The UAE has also expanded its food re‑export business and is developing local food processing.
Opportunity: Food producers and traders can use the UAE as a consolidation and re‑export hub. Process or package food in the UAE, then ship to CEPA markets with reduced tariffs.
Digital trade and services
Modern CEPAs include chapters on digital trade, e‑commerce, and intellectual property. This benefits fintech companies, logistics tech platforms, and professional service firms (legal, accounting, consulting).
Opportunity: Offer digital services from the UAE to businesses in CEPA partner countries. Lower barriers to cross‑border data flows and services trade make this easier than before.
Practical steps for businesses
If you want to take advantage of the UAE’s CEPA network, here are four steps to consider:
- First, assess which CEPA partner countries match your target markets. Not all 36 countries will be relevant to your product or service. Focus on the ones with high demand and tariff reductions that benefit you.
- Second, review tariff reduction schedules and rules of origin. Each CEPA has a timeline for removing tariffs. Also check the local content requirements to qualify for preferential treatment. You may need to source or produce a certain percentage of your product in the UAE.
- Third, partner with UAE‑based distributors or free zone entities. A local partner can help you navigate regulations, customs, and market entry. Free zones offer tax incentives and simplified company setup.
- Fourth, use UAE platforms like “Make it in the Emirates” to connect with local partners. These government‑backed initiatives help foreign companies find manufacturing partners, suppliers, and investors.
Conclusion
The US$1 trillion non‑oil trade milestone is not the end. It is a signal. The UAE has built a powerful network of trade agreements that gives businesses a competitive edge in accessing fast‑growing markets across Asia, Africa, Europe, and the Middle East.
For exporters, manufacturers, logistics providers, and investors, the message is clear: establish a presence in the UAE now. Use its CEPA network to lower costs, reach more customers, and grow your business across borders.
About Us
Middle East Briefing is one of five regional publications under the Asia Briefing brand. It is supported by Dezan Shira & Associates, a pan-Asia, multi-disciplinary professional services firm that assists foreign investors throughout Asia, including through offices in Dubai (UAE). Dezan Shira & Associates also maintains offices or has alliance partners assisting foreign investors in China (including the Hong Kong SAR), Indonesia, Singapore, Malaysia, Mongolia, Japan, South Korea, Nepal, The Philippines, Sri Lanka, Thailand, Italy, Germany, Bangladesh, Australia, United States, and United Kingdom and Ireland.
For a complimentary subscription to Middle East Briefing’s content products, please click here. For support with establishing a business in the Middle East or for assistance in analyzing and entering markets elsewhere in Asia, please contact us at dubai@dezshira.com or visit us at www.dezshira.com.
- Previous Article Bahrain Approves GCC Excise Tax Amendment: Implications for Businesses
- Next Article
