United arab emirates Country Commercial Guide
Learn about the market conditions, opportunities, regulations, and business conditions in united arab emirates, prepared by at U.S. Embassies worldwide by Commerce Department, State Department and other U.S. agencies’ professionals
Market Challenges
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The UAE is a premier business hub and open market in the Middle East, yet there are challenges facing exporters and foreign companies doing business in the UAE. Many challenges are covered in more detail in later chapters.
Challenges include: 

  • Scams and frauds frequently target foreign companies, especially small and medium-sized enterprises.
  • Payment delays and issues.
  • Non-transparent tendering processes.
  • New laws and regulations announced without an opportunity for public comment or industry consultation on the drafts.
  • Lack of a unified government tender online platform.
  • Problematic commercial agent agreement termination rules.
  • Lengthy and complicated dispute resolution processes.
  • Localization and national workforce development requirements.
  • Inconsistencies and coordination across the seven emirates as well as between federal and emirate-level regulatory bodies.

Delayed Payments

Late payments are an ongoing challenge, especially in public-sector procurements. Companies that have significant experience with government procurement report that they have carried government receivables for years. U.S. companies should be sure to conduct due diligence, carefully consider payment terms, and take advantage of resources to include the U.S. Export-Import Bank, letters of credit, or payment before shipment. U.S. companies may contact the U.S. Commercial Service if payment delays persist. 

Scams, Fraud, and Unsolicited Offers 

Scams and fraud are an ongoing challenge. Scams and fraud frequently target foreign companies, especially small- and medium-sized enterprises. Due diligence is crucial. U.S. companies should be wary of unverified entities promising lucrative business deals and should never send money without conducting due diligence. If you receive an unsolicited offer, be especially wary. U.S. companies may contact the U.S. Commercial Service, especially if a suspicious unsolicited offer is received. An International Company Profile due diligence service is also available.