**Tokyo**: Abu Dhabi’s inaugural investment forum in Japan showcases booming trade growing at nearly 12% CAGR, with new deals in AI, space, and clean energy aiming to double UAE-Japan investments and finalise a trade pact by year-end.
Top executives from Abu Dhabi are in Tokyo this week for the inaugural Abu Dhabi Investment Forum, aiming to enhance and diversify trade and investment relations between the emirate and Japan. The four-day visit, running from May 6 to 9, includes representatives from various sectors such as artificial intelligence, space technology, clean energy, and advanced manufacturing.
Ahmed Al Zaabi, chairman of the Abu Dhabi Department of Economic Development, highlighted the significance of Japan as a long-standing partner for Abu Dhabi and the UAE. He noted that trade between the two entities experienced a compound annual growth rate (CAGR) of 11.9 per cent over the last five years, with non-oil exports to Japan growing at 8.8 per cent and imports at 12.2 per cent during the same period.
Al Zaabi further remarked, “Japan has been a key partner of Abu Dhabi and the UAE for more than six decades, as evidenced by the steady growth of bilateral trade and mutual investments.” He stated that UAE investments in Japan have doubled within the past five years, with the UAE attracting over 80 per cent of Japanese investments in the Middle East.
Japan currently ranks as the UAE’s top trading partner among Gulf nations, accounting for 52 per cent of Japan’s exports to the region. The total trade volume between the two countries, including oil-related products, has reached approximately $49.6 billion for 2024, with non-oil trade amounting to $17.5 billion, representing a 1.2 per cent increase compared to 2023.
During this week’s forum, the Abu Dhabi delegation, which includes officials from key institutions such as the Department of Culture and Tourism, Abu Dhabi Securities Exchange, and Khalifa Fund for Enterprise Development, will participate in multiple events, including Expo 2025 Osaka and the eleventh Abu Dhabi Japan Economic Council meeting.
Shihab Ahmed Alfaheem, the UAE Ambassador to Japan, emphasised the potential of the two nations’ partnership, stating, “Japan’s expertise in digital transformation, technology, sustainable mobility, and industrial automation complements Abu Dhabi’s strategic sectors and our shared vision for a knowledge-based, net-zero future.”
Researcher Shigeto Kondo from the Institute of Energy Economics in Japan noted that AI and advanced technology are sectors expected to gain the most from this expanded cooperation. He mentioned that there are existing collaborations, including Japan’s assistance in launching UAE satellites, and posited that these partnerships could evolve further. Additionally, advancements in healthcare technology in Japan present significant mutual opportunities.
Despite ongoing reliance on oil, the energy cooperation between Japan and the UAE is not anticipated to shift dramatically soon. However, both countries aim to collaboratively explore new avenues. Borko Handjiski, a partner at Oliver Wyman, pointed out that Japan’s AI Strategy, revealed in 2022, prioritises international collaboration, positioning the UAE as a key ally. He remarked, “Both countries are also committed to reaching net-zero emissions by 2050, so there’s a lot of room for joint work in areas like hydrogen, solar and battery technologies, nuclear, and carbon capture.”
The cooperation in the clean energy sector is also promising, with recent collaborations such as Adnoc’s agreement with Mitsubishi Heavy Industries to explore green hydrogen and ammonia. Further efforts include partnerships aimed at producing commercial-scale polypropylene from carbon dioxide and green hydrogen.
The UAE and Japan are also in discussions to establish a Comprehensive Economic Partnership Agreement (CEPA), which is expected to be finalised by the end of the year. Handjiski believes that such an agreement could act as a significant catalyst for strengthening economic relations, particularly in critical sectors like AI and clean energy.
As global trade tensions persist, particularly between the US and China, analysts suggest that Japanese companies may begin seeking alternative production hubs, creating potential opportunities for the UAE, especially in logistics, advanced manufacturing, and clean technologies.
Source: Noah Wire Services
- https://www.mediaoffice.abudhabi/en/economy/abu-dhabi-japan-economic-council-reviews-significant-growth-in-bilateral-trade-and-investments/ – This article discusses the 9th session of the Abu Dhabi-Japan Economic Council (ADJEC) held in Tokyo, highlighting the significant growth in bilateral trade and investments between Abu Dhabi and Japan, including a 57.5% increase in trade in 2022.
- https://www.khaleejtimes.com/business/abu-dhabi-japan-economic-council-reviews-significant-growth-in-bilateral-trade-and-investments – This source provides details on the 9th session of ADJEC, co-chaired by Ahmed Jasim Al Zaabi, Chairman of Abu Dhabi Department of Economic Development, and Kodaira Nobuyori, President of Japan Cooperation Centre for the Middle East, emphasizing the diversification of cooperation between Abu Dhabi and Japan.
- https://www.wam.ae/en/details/1395303017291 – This article reports on the bilateral trade between the UAE and Japan reaching $30.5 billion in 2021, with UAE exports to Japan rising to $26 billion and imports from Japan increasing to $6.5 billion by the end of 2021.
- https://www.wam.ae/en/details/1395303140101 – This source highlights the 9th session of ADJEC held in Tokyo, discussing the significant growth in bilateral trade and investments between Abu Dhabi and Japan, including a 57.5% increase in trade in 2022.
- https://www.added.gov.ae/en/news-and-highlights/media-announcement/abu-dhabi-residents-office-and-jetro – This article details the collaboration between the Abu Dhabi Residents Office and the Japan External Trade Organization (JETRO) to attract specialized talent and investors, aiming to enhance economic ties between Abu Dhabi and Japan.
- https://asianlite.ae/2023/top-news/uae-japan-explore-fresh-avenues-of-economic-ties – This source discusses the Abu Dhabi Business Forum organized by the Abu Dhabi Department of Economic Development, where Ahmed Jasim Al Zaabi urged Japanese companies to utilize opportunities in Abu Dhabi, emphasizing the emirate’s support for start-ups and entrepreneurs.
- https://news.google.com/rss/articles/CBMi6gFBVV95cUxNQzhNdTV5MGduWGRkMjFQRFZHbUtaM1g5eTh1ZnJsamZIeVR0T0ZCU3NSN1FQeGVhd2pCRTRZaGFoZnBRZnptTEFuM3A5Vi1HaHpQMGdfX01UaVlLWEpwdEVEME9KaVNrY0x2ZmdjRi1wcnV5OTFOWXFqMkFRTlYzLUJLUndmTUNuUE1SVmk5NUd4VjhiRm9lRDJ5UVB3UGpPOGNIdjlWZnZkNFZOVmVoNWgzOUtHUS1SOTYyV2E1X092d2pwSkNlNDBGZE9ocEtKaGtFekFjZnIxdEh0TjdhVE40bkdDQzVjVUE?oc=5&hl=en-US&gl=US&ceid=US:en – Please view link – unable to able to access data
Noah Fact Check Pro
The draft above was created using the information available at the time the story first
emerged. We’ve since applied our fact-checking process to the final narrative, based on the criteria listed
below. The results are intended to help you assess the credibility of the piece and highlight any areas that may
warrant further investigation.
Freshness check
Score:
9
Notes:
The narrative mentions recent events and data specific to 2024, indicating recent content, but lacks direct publication or author details.
Quotes check
Score:
7
Notes:
Quotes appear original as no earlier sources were found online, though without direct access to original interviews or speeches, authenticity is uncertain.
Source reliability
Score:
5
Notes:
The narrative originates from a Google News RSS feed, which aggregates content but lacks clear indications of the originating publication’s reputation or credibility.
Plausability check
Score:
8
Notes:
Claims regarding trade and cooperation are plausible given historical UAE-Japan relations and economic trends. However, specifics about future developments cannot be verified without additional sources.
Overall assessment
Verdict (FAIL, OPEN, PASS): OPEN
Confidence (LOW, MEDIUM, HIGH): MEDIUM
Summary:
The narrative presents plausible economic developments between the UAE and Japan, with quotes potentially original but unverified. Lack of detail on the originating publication affects reliability assessment.
