UAE Forges Global Economic Alliances and Expands Investment Reach
The United Arab Emirates is aggressively expanding its global economic footprint, solidifying existing partnerships, and forging new ones across continents. This strategic push involves significant investments in diverse sectors, from critical minerals and renewable energy in Africa to advanced technology and AI initiatives with European and Asian partners, underscoring the UAE’s ambition to become a leading global economic power.
Deepening Ties with Key Economic Powers
The UAE has been particularly active in strengthening its economic relationships with major global players:
- France: The third meeting of the UAE-France High-Level Business Council in Paris saw over 50 entities participate. Key outcomes included:
- A landmark ‘UAE-France Framework for Cooperation in Artificial Intelligence’ Agreement, aiming for a 1-gigawatt AI complex with investments between €30 billion and €50 billion.
- Partnerships in energy, renewable energy, infrastructure, and AI.
- Significant increase in non-oil trade, reaching approximately AED 44 billion in 2024.
- United States: Following a meeting with former President Trump, the UAE committed to a 10-year, $1.4 trillion investment framework with the U.S. Additionally, the UAE and U.S. plan to invest $440 billion in the energy sector through 2035.
- China: Business partners from China and the UAE are actively exploring new opportunities for cooperation.
Expanding Influence in Africa
The UAE is rapidly becoming a dominant foreign investor in Africa, filling a void left by reduced investment from other economic powers. Since 2019, $110 billion worth of deals have been announced, primarily by Emirati firms. Key areas of investment include:
- Ports for key trade corridors.
- Mines producing critical minerals.
- Large renewable energy projects.
- Acquisition of a 51 percent stake in Zambia’s Mopani Copper Mines for over $1 billion by Emirati International Holding Company.
Fostering Regional and Emerging Market Partnerships
The UAE is also actively cultivating economic relationships within its region and with emerging markets:
- Iraq: The second UAE-Iraq Business Forum in Dubai brought together over 170 companies, facilitating more than 250 business-to-business meetings across sectors like energy, real estate, tourism, healthcare, AI, and logistics. The forum also established the UAE-Iraq Business Council.
- Laos: The inaugural Laos-UAE Business Forum in Dubai marked a significant milestone in bilateral trade, showcasing Laos’ economic potential in renewable energy, technology, agriculture, and infrastructure.
- BRICS Bloc: The UAE is highlighting the scope for deeper trade and investment ties within the BRICS bloc, signaling its intent to leverage this growing economic alliance.
Michigan’s Investment Mission to the UAE
Governor Gretchen Whitmer of Michigan led a historic investment mission to the UAE, focusing on strengthening Michigan’s aerospace and defense sectors. The mission aimed to attract high-quality jobs and enhance Michigan’s strategic role in global supply chains, promoting the state as a prime destination for investment and collaboration.
Sources
- U.A.E. Is Pouring Money Into Africa, Seeking Resources and Power, The New York Times.
- The "UAE-France High-Level Business Council" meeting was held with the participation of over 50 entities to
Strengthen economic and investment cooperation., TotalEnergies.com. - Gov. Whitmer Concludes Historic Investment Mission to the UAE, Strengthening Michigan’s Aerospace and Defense
Sectors and Paving the Way for Job Creation, Michigan Economic Development Corporation. - Iraq and UAE strengthen economic ties at Dubai business forum, Iraqi News.
- UAE Business Forum Ignites New Era of Trade and Investment, WRIC ABC 8News.
