The Future of Manufacturing in the U.A.E.January 28, 2018
The U.S.-U.A.E. Business Council’s new report on the U.A.E. manufacturing sector underscores how manufacturing has long been a key component of the country’s economic diversification efforts. Moreover, it shows how large government-linked institutions such as Senaat and Mubadala have played an important role in these efforts, alongside private-sector entities such as the U.A.E.’s Al Ghurair Group or the U.S.’s Guardian Industries or McWane.
The report also offers insights into sectors that have either been a focus of U.A.E. manufacturing growth or will be a focus in the future.
- Metals: Both Abu Dhabi and Dubai have made the manufacture of primary metals and the development of high-value downstream processing sectors a key component of their industrialization strategies. This is epitomized by companies such as Emirates Global Aluminium, Emirates Steel, and Ducab.
- Building Materials: The U.A.E. as a whole and Ras Al Khaimah in particular feature booming industries for construction-related materials such as cement, ceramics, and glass. Arkan, RAK Ceramics, and Guardian Glass are three brand names in their respective fields.
- Chemicals: The U.A.E. has an important chemicals sector, centered in Abu Dhabi and epitomized by Borouge – a joint venture between Abu Dhabi National Oil Company and Borealis.
- Pharmaceuticals:The U.A.E. has a growing domestic pharmaceutical manufacturing industry, marked by partnerships between U.A.E. manufacturers and prominent U.S. pharmaceutical giants such as MSD (as Merck is known outside the United States) and Pfizer.
- Food and Beverages: The U.A.E. hosts a large number of food and beverage manufacturers including Agthia, Al Foah, and the local partners of The Coca-Cola Company and PepsiCo.
- Aerospace and Defense Equipment: The U.A.E. is quickly developing its nascent aerospace and defense industry through companies such as Strata, which produces key components for Boeing aircraft.