Standard Chartered has revealed its latest research report entitled “Future of Trade: New opportunities in high-growth corridors – that project exports in the UAE will reach AED 2 trillion by 2030, showcasing a robust annual growth rate of 5.5%.
The report forecasts that the global trade industry is expected to reach AED 120 trillion by 2030, with a projected growth rate of five per cent.
Additionally, the research highlights that trade corridors anchored in Asia, Africa, and the Middle East are expected to outpace the global trade growth rate by almost four percentage points, propelling the combined trade volume in these regions to an astounding AED 53 trillion, accounting for 44 per cent of global trade by 2030.
UAE: corridors to watch
India is set to remain the UAE’s largest export destination, while exports to Turkiye, Vietnam and Singapore are among the fastest growing.
|Corridor||Exports (AED 2030 annual growth)||Imports (AED 2030 annual growth)|
|Turkiye||55bn (10%)||29.4bn (8.4%)|
|India||265 bn (9.0%)||220.5bn (8.2%)|
|Vietnam||2.2 bn (7.2%)||33bn (7.4%)|
|Singapore||73.5 bn (6.3%)||33bn (6.4%)|
|Mainland China||99 bn (4.9%)||202bn (4.8%)|
UAE: export sectors to watch
Driven by the government’s unwavering commitment to facilitating cross-border trade, the UAE is undergoing substantial capacity expansions in critical industries. Notably, the country has achieved an impressive export diversity ratio of 0.54 per cent, surpassing the global average.
(Export and import diversities are measured by an index; lower number indicates high diversity; global average for export diversity is 0.68 and for imports is 0.41).
This is due to the country’s efforts in diversifying exports into non-oil sectors through relaxing foreign ownership rules and offering attractive incentives.
|Sector||Share of exports (2030)||CAGR 2021-2030|
|Metals and minerals||73%||6.3%|
|Plastics and rubbers||3%||5.4%|
Global overview: high-growth corridors in Asia, Africa, and the Middle East
|Corridor||CAGR (2021-2030)||Size (AED 2030)|
|Intra – ASEAN||8.7%||2.94tn|
|South Asia – ASEAN||8.6%||1.1tn|
|South Asia – Africa||8.2%||0.735tn|
|South Asia – Middle East||7.0%||0.734tn|
|East Asia – ASEAN||6.3%||7.7tn|
|Intra – East Asia||3.4%||8tn|
Rola Abu Manneh, Chief Executive officer, Standard Chartered UAE, said: “The UAE’s success in diversifying its exports along with the development of new trade corridors positions the country favourably for sustained growth and reinforces its economic resilience. This achievement is a direct result of the government’s dedicated efforts to facilitating cross-border trade.”
She concluded: “These trade projections further cement the UAE’s position as the regional trade hub. The UAE continues to advance trade integration, and spearheads diversification efforts with policies supporting innovation and sustainability. We maintain a positive outlook on the UAE’s ability to capitalise on these opportunities and sustain its upward trajectory in global trade arena.”