UAE’s non-oil foreign trade tops AED1 trillion in H1

The UAE’s non-oil trade achieved a breakthrough during the first half of 2022, as it exceeded AED1 trillion ($272 billion), recording a growth rate of 17 percent over the last half of the year 2021, said Sheikh Mohammed bin Rashid Al Maktoum, Vice President, Prime Minister and Ruler of Dubai.

“For the first time, the UAE non-oil foreign trade exceeds AED1 trillion in just half a year. We reached one trillion and 53 billion dirhams, recording an increase of 17 percent over the previous half year,” Sheikh Mohammed was quoted as saying in a Wam report.

“Our economic growth is progressive, our trade environment and infrastructure are the best and our economic approach is stable, fair and open to everyone… The growth of our economy will continue its strong pace in the coming year.”

The UAE’s non-oil foreign trade growth in H1 marked an increase of 25 percent and 35 percent compared to the same period in the years of 2020 and 2019 respectively.

These numbers reaffirm the success of the UAE’s strategic directions and visions in accelerating a full recovery after the overcome of the negative repercussions of the spread of the Covid-19 pandemic on international trade.

Abdullah bin Touq Al Marri, Minister of Economy, said that UAE is working nonstop to enhance its regional and global leadership and its position at the heart of the global trade networks by adopting commercial and economic openness and strengthening its infrastructure and legislative framework.

Bin Touq added that this outcome marks the beginning of an unprecedented phase of economic development in the history of the country, and it is the result of the integrated efforts and initiatives announced by the UAE government as part of the “Projects of the 50”.

Dr. Thani bin Ahmed Al Zeyoudi, Minister of State for Foreign Trade, said: “The unprecedented performance demonstrated by the non-oil foreign trade can be attributed to the forward-looking vision of the wise leadership, which aims to expand the UAE’s trade with the world and position it as a major contributor to the doubling of the national economy by 2030.”

Al Zeyoudi also explained that this achievement came as a result of the forward-looking plans and various initiatives undertaken by the UAE to develop and diversify its exports had a significant impact in achieving this record growth in trade performance in just six months.

During the first half of 2022, the UAE’s non-oil exports, achieved about AED180 billion for the first time in its history. Recording a growth rate of 8 percent compared to the same period in 2021, an increase of 53 percent compared to the first half of 2020, 50 percent compared to the same period in 2019, and a growth rate of 69 percent with the same period of 2018. It nearly doubled compared to what it had recorded during the same period in 2017.

In terms of re-export, the UAE recorded unprecedented achievement during the first half of 2022. It approached the barrier of AED300 billion for the first time in its history. The results showed a high growth rates compared to previous years, as they increased by 20 percent, 51 percent, 16 percent and 23 percent compared to same periods in 2021 2020, 2019, and 2018, respectively.

Also, the UAE’s imports increased by approaching the barrier of AED580 billion during the first half of 2022, for the first time in its history as well. It recorded a growth of 19 percent compared to the same period in 2021, 49 percent compared to the same period of 2020, 24 percent compared to the first half of 2019, and 25 percent compared to the same period in 2018.

On the other hand, the contribution of imports from the UAE’s non-oil trade, has decreased to 55 percent, while the share of non-oil exports became 17 percent. In addition, the share of re-exports reached 28 percent.

These results reveal that national exports have achieved great growth and remarkable activity, which increased its contribution to the country’s non-oil trade.