Since Dubai released its D33 economic plan in January 2023 – a plan to double the city’s GDP by 2033 through improving industrial value and growing exports – new cooperation opportunities have emerged between China and Dubai, building on the deep historical ties that have stood the test of time, from the ancient Silk Road to the modern-day Belt and Road Initiative (BRI).
Testimony to this connection is the Dubai Business Forum. The event series, organised by Dubai Chamber of Commerce and Industry, held its first-ever international edition in Beijing on August 21, bringing together Chinese companies and investment institutions interested in exploring opportunities for expansion in the region and globally. The event was also attended by more than 40 prominent business leaders and key government representatives from Dubai.
Dubai sits at the crossroads of global talent, capital and trade and is rapidly becoming popular among globally-minded Chinese investors. In his opening remarks, Mohammed Ali Rashid Lootah, chairman and CEO of Dubai Chamber of Commerce and Industry, said he was confident the event would “contribute to further enhancing levels of trade and investment between Dubai and China, which continue to grow significantly.”
According to the latest estimates released by organizers, around 5,400 Chinese companies will be registered as members of the Dubai Chamber of Commerce and Industry by the end of the first half of 2024. More than 750 Chinese companies are said to have set up base in Dubai in the first half of this year alone.
During the event, Hadi Badri, CEO of Dubai Economic Development Corporation (DEDC), stressed the importance of finding common ground in cooperation, noting that the Chinese and UAE people have a lot in common, such as optimism, hard work and belief in a better tomorrow, and this common outlook can foster strong commercial compatibility.
Chinese foreign direct investment into Dubai is also on the rise, expected to reach a cumulative 19.85 billion dirhams ($5.4 billion) between 2015 and 2023.
The Dubai government has implemented a series of measures to simplify business establishment procedures to encourage foreign investors to set up operations. Dubai is home to more than 20 free zones tailored to specific industries, including technology, media, finance, logistics, healthcare and manufacturing. Companies established in these zones enjoy a range of benefits, including favorable tax and customs conditions, access to specialized infrastructure, business support services and convenient connections to transport hubs.
Dubai’s favorable business and legal environment has made it one of the preferred gateways for Chinese companies entering the Middle East, but part of Dubai’s appeal also comes from its efforts to provide stable and secure channels for trading partners as part of building resilient supply chains.
Abdullah Al Hashmi, Chief Operating Officer of DP World (Parks & Zones), spoke about how the recent pandemic has accelerated Dubai’s advances in logistics technology, allowing various automated systems to be operated remotely. Additionally, the China-UAE Comprehensive Economic Partnership Agreement (CEPA) has made it easier to assemble Chinese-made products in the UAE. Industries such as car manufacturing and green energy are already seeing positive growth.
In 2023, non-oil trade between China and Dubai will reach US$67.8 billion, up 83.8% compared with 2013. Over the past decade, cumulative non-oil bilateral trade between China and Dubai has reached about US$490 billion.
Additionally, Dubai announced in July the development of a new logistics hub for the trade of food, fruits and vegetables. Dubai is also developing what is set to be the world’s largest and most advanced automotive market. Called Dubai Car Market, the facility will span 20 million square feet and provide innovative automotive services, connecting to DP World’s extensive port network.
China’s manufacturing industry is currently at a critical stage of striving for progress through innovation, which aligns well with the development of green technology and e-commerce under Dubai’s D33 agenda. The synergy between these two visions could create opportunities for new models that bring together different stakeholders to build win-win supply chains.
In response, many Chinese tech companies have already set up shop in Dubai. For example, Westwell launched its all-weather unmanned electric heavy truck Q-Truck at Jebel Ali Port in response to the BRI. Terminus, a leading artificial intelligence for things (AIoT) service provider, has set up its international headquarters in Dubai and partnered with Dubai Expo City to promote local digitalization and smartification.
Both China and Dubai are prioritizing green technology, and China’s leading capabilities in renewable energy are exactly what Dubai needs. As in other sectors, Dubai is committed to providing fertile ground for the application, development and iteration of emerging technologies in green technology. Expo City Dubai has worked with Chinese companies such as Terminus to showcase how Chinese businesses can leverage Dubai’s platform to enhance innovation, foster co-creation and build high-value enterprises that meet global needs.
Manal Al Bayat, chief engagement officer at Expo City Dubai, likened Dubai’s free zone to a testing ground for technological innovation, pointing to the various non-profit organisations the organisation has set up to find innovative solutions in areas such as autonomous driving and new energy vehicles.
Ensuring health and well-being is another top priority for Dubai. At the roundtable, Marwan Al Mulla, CEO of Health Regulation at Dubai Health Authority, and Liu Wei, co-founder and CEO of BioMap, discussed opportunities for cooperation between China and Dubai.
They highlighted that Dubai has advanced medical infrastructure supporting cutting-edge solutions such as robotic surgery, radiosurgery, advanced neuro-spine care, 3D dentistry and stem cell technology. China’s strengths in data analytics and telemedicine offer extensive opportunities for cooperation in these fields.
Al Mulla also announced that Dubai’s first Chinese hospital will begin operations this year, with more Chinese-funded clinics to open in future, serving not only Chinese nationals but the wider community.
Following the ongoing AI boom, Dubai’s potential as a global AI hub is becoming increasingly evident, with its strengths in machine learning and data processing providing market opportunities for Chinese companies in related fields. Westwell President Zhang Rong highlighted the company’s foray into the local market, starting with Khalifa Port. Westwell specializes in developing autonomous driving solutions using AI.
During the forum, Dubai Chamber announced the signing of Memorandums of Understanding with the China Council for the Promotion of International Trade (Beijing) and major Chinese commercial banks including Bank of China, Industrial and Commercial Bank of China (ICBC) and China Construction Bank (CCB). These agreements aim to strengthen relations, deepen business cooperation, promote trade and investment, and actively explore new ways to enhance market exchanges.
The Dubai Business Forum in China is the first in a series of major international forums organised by Dubai Chamber of Commerce and Industry, with further forums to be held in major financial and commercial centres around the world to help businesses and investors explore opportunities under Dubai’s D33 economic agenda.
36Kr Global is the official recruitment channel of Dubai Business Forum (China).