The UAE has unveiled plans to establish a dedicated defence industrial free zone in Abu Dhabi as the country accelerates efforts to build a self-reliant military manufacturing ecosystem and strengthen long-term national security capabilities amid heightened regional tensions.
The new Al Selmiyyah Defence Industrial Free Zone, announced on Wednesday through a strategic partnership between Tawazun Council and AD Ports Group, is expected to emerge as one of the region’s most ambitious defence manufacturing hubs, aimed at attracting leading global original equipment manufacturers (OEMs), accelerating technology transfer and deepening local supply chains.
The initiative comes at a time when Gulf countries are ramping up defence spending and industrial capabilities following months of heightened geopolitical tensions and disruptions linked to the Iran war and instability around the Strait of Hormuz.
Officials said the project would support the UAE’s broader strategy to localise advanced defence production, reduce dependence on imports and position the country as a global centre for strategic and high-tech industries.
“This partnership represents a strategic milestone in the development of a sophisticated national defence industrial ecosystem built on strengthening sovereign capabilities and expanding high-value industrial partnerships,” said Dr Nasser Humaid Al Nuaimi, secretary-general of Tawazun Council for Defence Enablement.
He described Al Selmiyyah as an “unprecedented initiative in the region” designed to attract global manufacturers and establish advanced industrial partnerships that would support technology transfer and accelerate the growth of the UAE’s defence sector.
Under the agreement, Tawazun Council — the acquisitions and procurement authority for the UAE Armed Forces and Abu Dhabi Police — will oversee the regulatory, licensing and industrial compliance framework of the free zone, while AD Ports Group will lead the master planning, infrastructure design and industrial zone development.
The project will integrate specialised infrastructure, industrial security systems, logistics connectivity and export-oriented supply chain capabilities to serve sovereign and strategic industries.
Captain Mohamed Juma Al Shamisi, managing director and group CEO of AD Ports Group, said the development aligns with the UAE leadership’s vision of reinforcing the country’s position as a global hub for advanced industries.
“Al Selmiyyah Defence Industrial Free Zone represents a strategic addition to our free zones portfolio and underscores our ability to attract and develop high-value priority sectors within an integrated ecosystem of advanced infrastructure and global logistics services,” he said.
The UAE has steadily expanded its defence manufacturing ambitions over the past decade through strategic entities such as EDGE Group, which has emerged as one of the world’s fastest-growing advanced technology and defence conglomerates. EDGE reported revenues exceeding Dh18 billion in recent years and has expanded aggressively into autonomous systems, precision weapons, naval systems and cyber technologies.
The country has also become a major player in the global defence exhibition circuit through events such as International Defence Exhibition and Conference (Idex) and NAVDEX, which collectively generated billions of dirhams in deals and partnerships during recent editions.
Analysts say the Al Selmiyyah initiative reflects a broader Gulf trend towards defence industrial localisation as regional governments seek to secure supply chains, strengthen military readiness and diversify economies away from hydrocarbons.
According to Stockholm International Peace Research Institute (SIPRI) data, global military spending hit a record $2.4 trillion in 2025, with Middle East nations continuing to allocate substantial budgets towards defence modernisation, missile systems, air defence, drones and cybersecurity.
The UAE has increasingly focused on indigenous production under its “Projects of the 50” industrial strategy and Operation 300bn initiative, which aims to raise the industrial sector’s contribution to the national economy to Dh300 billion by the next decade.
Industry experts said the free zone could significantly boost opportunities for national companies and SMEs by integrating them into global defence supply chains and increasing export capabilities.
The development is also expected to reinforce Abu Dhabi’s status as a strategic industrial and logistics hub, leveraging AD Ports Group’s extensive maritime and trade network spanning ports, economic zones and logistics operations across the Middle East, Africa, Asia and Europe.
Officials said Al Selmiyyah would contribute to sustainable economic growth while strengthening the UAE’s industrial sovereignty and long-term defence preparedness in an increasingly volatile geopolitical environment.
