Follow the trade, investment and partnerships bringing China and the UAE closer together.
China Securities has secured regulatory approvals to launch a regional office in the Dubai International Financial Centre. Concurrently, JD.com subsidiary JINGDONG Property has agreed to construct a 150,000-square-metre smart logistics facility in Abu Dhabi's KEZAD economic zone.
The UAE Federal Tax Authority has introduced Decision No. 13 of 2026, requiring businesses to execute and document specific checks on suppliers and individual transactions before claiming input VAT deductions. Taking effect on 1 October 2026, the regulation implements Article 54 bis of the UAE VAT Law to prevent tax evasion across supply chains. Compliance rules introduce specific rolling 12-month transaction thresholds of AED 100,000 and AED 375,000.
China's outbound direct investment to the UAE reached $2.6 billion, more than tripling the previous year's total as overall Middle East flows doubled. In parallel, Beijing-based China Securities secured regulatory approvals to open a regional office in the Dubai International Financial Centre. Chinese banking institutions now account for over 30 percent of total assets in DIFC's Banking and Capital Markets sector.
Yemen's Houthi rebels have expanded territorial control along the Red Sea coast using weapons assembled with Iranian training and imported commercial parts from China, according to media reports cited by Chosunbiz. The military expansion has impacted critical maritime transit routes, contributing to volatility in global oil prices. Intercepted cargo shipments inspected in July reportedly contained commercial dual-use components adaptable for missile and drone manufacturing.
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