Abu Dhabi Industrial Strategy drives 23% sector growth, industrial enterprises up 19.4%

emirates7 - The Abu Dhabi Industrial Strategy (ADIS) is playing a pivotal role in energising the manufacturing sector and advancing economic diversification in the emirate.

Since its introduction in June 2022, ADIS has driven a 23% increase in Abu Dhabi’s industrial GDP — from AED90.8 billion in 2022 to AED111.6 billion in 2024 — while the number of industrial companies grew by 19.4%, from 925 to 1,104, according to Ahmed Jasim Al Zaabi, Chairman of the Abu Dhabi Department of Economic Development (ADDED).

Speaking at a panel session during the opening of the fourth edition of the ‘Make it in the Emirates’ forum, Al Zaabi outlined the UAE’s and Abu Dhabi’s efforts to cultivate an attractive investment environment that accelerates industrial growth and ensures long-term economic sustainability.

Al Zaabi emphasized that the UAE has built a dynamic ecosystem that draws in global talent and quality investments, reflected in strong foreign direct investment (FDI) growth across various sectors, including manufacturing.

He noted that the national industrial strategy has laid down solid foundations to propel industrial development, focusing on enhancing resilience to adapt to global shifts and challenges. Key enablers include talent development, financing support, streamlined business procedures, local supply chains, In-Country Value (ICV) programs, sustainability, Industry 4.0 technologies, and increased FDI attraction.

“We work in close collaboration with the Ministry of Industry and Advanced Technology (MoIAT) to contribute to ‘Operation 300bn’, which aims to grow the industrial sector’s GDP to AED300 billion by 2031 and align with the UAE’s Net Zero 2050 goals,” he said.

Al Zaabi pointed out that Abu Dhabi now accounts for 53% of the UAE’s total industrial GDP, which reached AED210 billion in 2024 — up 6.6% from the previous year. This share has grown from 51.3% in 2023 and 46% in 2022.

He described ADIS as a cornerstone of the emirate’s “Falcon Economy”, reinforcing Abu Dhabi’s status as the region’s most competitive industrial hub. ADIS is also leading the shift toward Industry 4.0, encouraging the adoption of smart manufacturing technologies and practices.

In 2024, manufacturing remained the largest non-oil contributor to Abu Dhabi’s GDP, representing 9.5% of the total and 17.3% of the non-oil economy.

The momentum continued into the first quarter of 2025, with new industrial licences rising by 4.7% year-on-year to 89. Additionally, the number of industrial projects transitioning from construction to operational phase jumped by 65%, from 20 in Q1-2024 to 33 in Q1-2025.

Abu Dhabi’s “Falcon Economy” is rapidly positioning itself as a global hub for cutting-edge industries and technologies, with major developments in finance, advanced manufacturing, artificial intelligence, and new energy.

To harness advanced technologies and future-proof its economy, the emirate has launched dedicated industrial clusters such as the Smart and Autonomous Vehicles Industries (SAVI), AgriFood Growth & Water Abundance (AGWA), and Health, Endurance, Longevity, and Medicine (HELM).