The United Arab Emirates has launched an emergency review of its trade flows and essential supply chains. This move came after President Trump’s sudden announcement of a 25% tariff on any country doing business with Iran.
Minister of Foreign Trade of the United Arab Emirates, Dr. Thani Al Zeyoudi, confirmed on Tuesday that the government is assessing how these levies will impact the availability and cost of food and other critical commodities for UAE residents.
The UAE is a major trading partner with Iran. In 2024, their trade reached over $16 billion. The new US rules might heavily impact the country, so the government is looking at ‘secondary’ effects. This implies the UAE is watching how global trade changes as goods from Iran might become more expensive, and shipping products from other countries might also drain the resources.
Officials want to prevent any market issues before they proceed, as supply chain risks are extremely high. The UAE is acting fast to protect its economy and is looking for new ways to get the necessary items. The government wants to ensure businesses can still run smoothly.
Iran exports many fruits and vegetables to the UAE, so the people are concerned about the food expenses. If the 25% US tariff applies, retailers might raise prices to cover the extra fees.
The UAE plans to address this issue by implementing a ‘National Food Security Strategy,’ which emphasizes the need to build more local farms. The country is also looking for new partners in Africa and Asia. The government is employing new digital tools to track prices and identify price hikes. These measures allow the UAE to use domestic food reserves and keep costs low for citizens.
For now, the Emirates is trying to reduce its dependence on one region. It is already investing in new farm technology and making stronger deals with countries like the Philippines. These steps will ensure no single political change can ever threaten the country's food supply.