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The United Arab Emirates (UAE) defense market is a significant and growing sector driven by the country's strategic location, complex security challenges, and strong commitment to national defense. In 2023, the market is estimated to be worth around $23.2 billion, and it is expected to grow at a CAGR of over 3% during the period 2024-2028.
The UAE government is the primary driver of defense spending in the country. In 2023, the defense budget reached $23.2 billion, representing 5.3% of GDP. The government's procurement priorities are focused on modernization and upgrading the United Arab Emirates Armed Forces (UAEAF) to maintain its capabilities and address emerging threats.
The UAE government procures a wide range of defense products and services, including:
Platforms: Aircraft, ships, submarines, land vehicles, and weapons systems
Electronic warfare systems: Radar, sonar, and communications systems
Cybersecurity solutions: Software, hardware, and services to protect against cyberattacks
Logistics and support services: Maintenance, training, and supply chain management
The key government agencies responsible for defense procurement in the UAE include:
Ministry of Defense: The lead agency for defense policy and procurement
General Command of the Armed Forces (GCAF): Responsible for managing the procurement of defense capabilities
Armed Forces Procurement Office (AFPO): Responsible for the technical evaluation of defense procurements
Major UAE and international companies are involved in supplying defense products and services to the UAE government, including:
EDGE Group: State-owned defense conglomerate
Emirates Defence Industries Company (EDIC): Defense manufacturer
Abu Dhabi Ship Building (ADSB): Shipbuilder
Rheinmetall AG: Manufacturer of armored vehicles and artillery
Leonardo S.p.A.: Manufacturer of helicopters and electronic warfare systems
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