Abu Dhabi’s industrial GDP jumps to $30 billion in 2024

Abu Dhabi’s industrial economic output increased to Dh111.6 billion ($30.38 billion) in 2024, up 23 per cent since the emirate unveiled its industrial strategy in 2022, according to the chairman of Abu Dhabi Department of Economic Development (Added). The emirate recorded Dh101 billion in industrial gross domestic product in 2023. The number of industries grew 19 per cent to 1,104 during the two-year period, Ahmed Al Zaabi told Make It In The Emirates in Abu Dhabi on Monday. “We work closely with the Ministry of Industry and Advanced Technology to contribute to Operation 300bn aiming to raise the industrial sector gross domestic product to Dh300 billion by 2031 and align with the UAE’s Net Zero 2050 Strategy,” Mr Al Zaabi said. Abu Dhabi’s manufacturing sector increased its contribution to 53 per cent of UAE’s industrial gross domestic product, compared to a contribution of 51.3 per cent to the UAE's industrial sector in 2023 and 46 per cent in 2022, he added. Abu Dhabi has continued its shift away from oil and has taken several measures to attract international investors, boost its competitiveness and improve the ease of doing business. In 2022, the emirate launched an industrial strategy to improve the contribution of the sector to the economy, by investing Dh10 billion across six programmes to more than double the emirate’s manufacturing to Dh172 billion by 2031. Abu Dhabi also laid out long-term strategies to develop sectors including tourism, aviation and technology, with new investments in artificial intelligence. Abu Dhabi's economy expanded by 3.8 per cent annually in 2024 to reach an all-time high value of Dh1.2 trillion as growth of the non-oil sector continued. Last year, Abu Dhabi’s manufacturing sector remained the largest non-oil contributor to the emirate’s GDP, accounting for 9.5 per cent of total GDP and 17.3 per cent of non-oil GDP, according to Added. Abu Dhabi has been supporting industries with funding as well as in boosting productivity and increasing exports, Mr Al Zaabi added. “We help them in understating existing economic partnerships and what are the products to focus on and how to benefit from trade agreements.” In the first quarter, the industrial sector continued its growth with the number of new industrial licences rising 4.7 per cent annually to 89 compared, according to Added. The number of industrial licences from under-construction to production stage also surged by 65 per cent to 33 during the period. There remains potential for strong growth in Abu Dhabi’s manufacturing industry amid expansion, according to Mohammad Al Kamali, chief industry and trade officer at Abu Dhabi Investment Office. “We are working very closely with our investor growth team to make sure we attract more investment to come to Abu Dhabi,” he told The National on the sidelines of the Make It In The Emirates event. “But … we've designed specific products also for the existing manufacturers over here. So, we work with them within an ecosystem that enables them for more productivity and domestic and international growth as well.” Global supply chains have been threatened with disruption in recent weeks over the tariffs threat from US President Donald Trump. “We have learnt that every challenge will create an opportunity, and that's exactly how we are working on it. We have a diversification in terms of our international markets. We are trying to expand into the existing markets that most of our companies are doing,” Mr Al Kamali said. “We are trying to update our countries with different regulatory frameworks that’s actually happening from an international trade perspective. We also capitalise into our Comprehensive Economic Partnership Agreements that the UAE is signing with many countries. It's coming in force now, currently, and we are benefiting from it as well. So market international diversification is something which we really see a huge potential out of it,” he said. Adio is also focused on promoting localisation in the supply chain, he added.

Abu Dhabi’s industrial GDP jumps to $30 billion in 2024

This is a 23 per cent increase since the emirate unveiled its industrial strategy in 2022