UAE to build free zone for defense manufacturers amid Iran attacks

The UAE said it’s going to build a free zone in Abu Dhabi designed to attract foreign defense manufacturers, acting days after Iran renewed attacks on its oil installations.

The industrial complex in the capital city’s Al Selmiyyah district will be developed in partnership with Abu Dhabi-backed AD Ports and coordinated with state-owned military contractor EDGE and ADNOC, the national oil company, according to a statement published by the Emirates News Agency on Wednesday.

“The initiative marks a significant step in advancing the UAE’s efforts to build an advanced and sustainable national defense industrial base that strengthens national security and enhances long-term defense readiness,” the UAE’s Tawazun Council for Defense Enablement said in the statement.

The project was announced in Abu Dhabi at the “Make it in the Emirates” expo after Bloomberg reported that senior UAE officials have held preliminary talks on creating a new investment vehicle to buy stakes in foreign defense companies. Among those reported to have participated were Crown Prince Sheikh Khaled bin Mohammed and Mubadala CEO Khaldoon Al Mubarak.