In a bid to strengthen trade ties and economic cooperation between the UAE and the United States, the Abu Dhabi Investment Office (ADIO) signed a Memorandum of Understanding with the Export-Import Bank of the United States (EXIM).
Under the agreement, ADIO and EXIM seek to strengthen the relationship between Abu Dhabi and the United States by driving sustainable economic growth and boosting trade, in addition to exploring avenues of support related to credit lines and guarantees.
“Abu Dhabi is committed to forging impactful, global partnerships that drive innovation and bolster the emirate’s international trade. By connecting the U.S.’ dynamic business ecosystem with Abu Dhabi’s forward-thinking economic vision, this collaboration with EXIM is set to lay the groundwork for transformative trade and investment opportunities in critical sectors,” stated Badr Al-Olama, Director General of ADIO.
Stronger ties in renewable energy, telecom
This partnership marks a significant milestone in facilitating the import and export of raw materials, services and technology, particularly in priority sectors that are critical to the future of Abu Dhabi and the United States, such as energy, critical minerals, infrastructure, telecommunications and emerging technologies.
The agreement also aims to advance renewable energy solutions like green hydrogen and energy storage systems, strengthen critical mineral supply chains, and foster innovation in biotechnology, AI, semiconductors and quantum computing. In telecommunications, this collaboration seeks to focus on supporting the rollout of 5G networks, while other infrastructure projects will target transformative advancements in transportation systems.
Growing trade ties
“In 2023, the U.S. exported over $24 billion to the UAE. EXIM’s new partnership with ADIO will further expand the reach of U.S. companies into the Middle East through Abu Dhabi, a global gateway for investment and innovation. We look forward to collaborating with ADIO and delivering sustainable economic benefits for both regions,” stated Reta Jo Lewis, president and chair of the board of directors at EXIM.
The UAE has been the top export market for American goods in the Middle East and North Africa region since 2009, according to the UAE Embassy in Washington, DC. In 2023, bilateral trade between the two nations hit $31.4 billion.
The United States exported more than $24.8 billion of goods and services to the UAE, a 19 percent increase compared to 2022. This resulted in an $18.3 billion trade surplus for the United States, which is its fourth largest globally.
Read: Saudi Arabia, UK to increase bilateral trade to $38 billion by 2030
Supporting business growth
The agreement between ADIO and EXIM also aims to promote knowledge and information sharing, capacity building, and the exchange of best practices, ultimately enhancing the competitiveness and growth of businesses in both Abu Dhabi and the United States. The agreement includes support for small- and medium-sized enterprises (SMEs), with an emphasis on women-owned businesses.
Notably, Emirati investments in the United States total over $1 trillion, spanning from real estate to renewable energy, driving economic growth and creating jobs. In addition, America’s trade with the UAE supports over 166,000 American jobs. American companies also invest significantly in key UAE sectors including energy, aerospace, technology and financial markets.
