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UAE Car Rental Companies Must Install Vehicle Trackers Under New 2027 Rules

Car rental operators across the UAE will be required to install approved tracking devices on all hire vehicles starting January 1, 2027. The requirement is established under Cabinet Decision No. 174 of 2026, which sets implementing regulations for Federal Decree-Law No. 14 of 2024. Companies must also obtain an annual operating permit and register with an electronic tracking system overseen by the Ministry of Interior.

Issuing authority
UAE Cabinet
Jurisdiction
United Arab Emirates
Effective date
January 1, 2027
Stage
Final rule
Official document
Cabinet Decision No. 174 of 2026 implementing Federal Decree-Law No. 14 of 2024
Official source
gulfnews.com
Row of rental cars parked along a street with rental signs on their roofs
Photo: Gulf News

Car rental businesses across the UAE will be required to fit approved tracking devices on all vehicles available for hire under new federal traffic regulations scheduled to take effect on January 1, 2027, according to Gulf News.

The mandate is set out under Cabinet Decision No. 174 of 2026, which introduces the executive regulations for Federal Decree-Law No. 14 of 2024. Under the rules, car rental operators must hold an active commercial licence and secure an operating permit valid for one calendar year from the licensing authority to conduct business legally.

Rental firms must also connect to an electronic system overseen by the Ministry of Interior to log rental transactions and monitor fleet locations. Additionally, regulations prohibit companies from operating vehicles that are not registered under their own name or subleasing vehicles without registered agreements.

Sources

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