{"id":103613,"date":"2024-07-09T14:55:36","date_gmt":"2024-07-09T14:55:36","guid":{"rendered":"https:\/\/octagona.com\/?p=103613"},"modified":"2025-05-29T13:25:14","modified_gmt":"2025-05-29T13:25:14","slug":"exporting-united-arab-emirates","status":"publish","type":"post","link":"https:\/\/octagona.com\/en\/esportare-emirati-arabi-uniti\/","title":{"rendered":"Exporting to the United Arab Emirates: the construction sector"},"content":{"rendered":"<p>Exporting to the UAE represents a significant opportunity for Italian companies due to its large population and rapidly expanding domestic markets.<\/p>\n<p>The <a href=\"https:\/\/octagona.com\/en\/internationalization\/united-arab-emirates\/\">United Arab Emirates (UAE)<\/a> are an essential hub for Italian companies targeting not only the markets of the Middle East, but also those of East Africa and South Asia. In just over 50 years, this federation has transformed into one of the most advanced and dynamic economies in the region.<\/p>\n<p>What specific opportunities are opening up for exports in the country, especially in the construction sector, where the building envelope segment has registered <a href=\"https:\/\/www.ice.it\/it\/settori\/sistema-abitare\/costruzioni\">overall growth of 28.33%<\/a> in the last five years?<\/p>\n<h2>Exporting to the UAE: key incentives for internationalization strategies of Italian companies in the construction sector<\/h2>\n<p>The United Arab Emirates has consolidated its position as a major magnet for Foreign Direct Investment (FDI), ranking first in the Arab world and 19th globally for inflows in 2021, according to the <a href=\"https:\/\/unctad.org\/publication\/world-investment-report-2022\">UNCTAD World Investment Report 2022<\/a>.<\/p>\n<p>This was aided by a reform that allows those wishing to export to the UAE to hold up to 100% of local companies, eliminating the previous limit of 49%. In addition, the bureaucratic process for establishing foreign companies has been simplified and restrictions on the nationality of the chairman and majority of the board of directors of joint stock companies have been eliminated.<\/p>\n<p>Let's now explore what other positive aspects are crucial for Italian exports and must be considered in <a href=\"https:\/\/octagona.com\/en\/internationalization-consulting-eau\/\">internationalization strategies<\/a> toward this confederation, with a focus on the construction sector.<\/p>\n<h3><img decoding=\"async\" src=\"https:\/\/octagona.com\/wp-content\/uploads\/2024\/07\/67-media-FpvVkrCG36Q-unsplash-min-1024x768.jpg\" alt=\"exporting to the united arab emirates construction sector\" width=\"640\" height=\"480\" \/><\/h3>\n<p>\u00a0<\/p>\n<h3>The general advantages for companies planning to export to the United Arab Emirates<\/h3>\n<p>The UAE has invested heavily in Free Trade Zones (FTZs) to support businesses seeking to export within the region. In these zones, companies can be wholly foreign-owned and enjoy tax exemptions lasting between 15 and 50 years, which are renewable. There are no corporate taxes for at least 15 years, nor are there any foreign exchange restrictions or customs duties. Outside the FTZs, the import tax averages 51% on all goods, with some exceptions. The FTZs have contributed to economic development, attracted foreign investment, and promoted the acquisition of know-how crucial to the country\u2019s growth.<\/p>\n<p>To attract and retain qualified professionals from abroad, the Emirates then introduced in September 2021 the \u201c<a href=\"https:\/\/u.ae\/en\/information-and-services\/visa-and-emirates-id\/residence-visas\/residence-visa-for-working-in-the-uae\/green-visa-for-work\">Green Visa<\/a>\u201d for professionals, investors, entrepreneurs, and graduate students, allowing them to sponsor themselves even without a company. The \u201cFreelancers Visa\u201d has also been introduced for self-employed individuals in specialized sectors.<\/p>\n<p>The UAE offers a very favorable tax system for foreign companies, with no federal corporate income tax. However, the UAE may impose a local income tax of up to 55%, but only on entities engaged in the natural resources sector. A general VAT rate of 5% was introduced in 2018, with exemptions for certain sectors such as healthcare, education, and public transportation.<\/p>\n<p>With a high per capita income estimated at over $47,498 (in purchasing power parity), the UAE offers a market with a high standard of living that is attractive to the luxury sector. Emirati women, Western residents, and tourists significantly influence the market, with 43% of their purchases dedicated to fashion, spending an average of 30% more than the population average.<\/p>\n<h3>Incentives for the growth of non-oil sectors.<\/h3>\n<p>In recent years, the United Arab Emirates has embarked on a process of economic diversification to reduce its reliance on oil and promote sustainable development. This strategy aims to increase the contribution of non-oil sectors to the country's economy, creating a development model based on innovation, technology, and creativity.<\/p>\n<p>Among the key projects is \u201c<a href=\"https:\/\/u.ae\/en\/about-the-uae\/strategies-initiatives-and-awards\/strategies-plans-and-visions\/industry-science-and-technology\/the-uae-industrial-strategy\">Operation 300 Bn<\/a>\u201claunched by the Ministry of Industry and Technology, which aims to double the contribution of the industrial and manufacturing sector to the national GDP by 2031.<\/p>\n<p>This context, enriched by the positive legacy of Expo Dubai 2020, represents an opportunity for increased demand for Italian goods in non-oil sectors such as construction.<\/p>\n<h4><img decoding=\"async\" class=\"alignnone size-large wp-image-103627\" src=\"https:\/\/octagona.com\/wp-content\/uploads\/2024\/07\/scott-blake-x-ghf9LjrVg-unsplash-min-1024x683.jpg\" alt=\"exporting to the UAE\" width=\"640\" height=\"427\" srcset=\"https:\/\/octagona.com\/wp-content\/uploads\/2024\/07\/scott-blake-x-ghf9LjrVg-unsplash-min-1024x683.jpg 1024w, https:\/\/octagona.com\/wp-content\/uploads\/2024\/07\/scott-blake-x-ghf9LjrVg-unsplash-min-300x200.jpg 300w, https:\/\/octagona.com\/wp-content\/uploads\/2024\/07\/scott-blake-x-ghf9LjrVg-unsplash-min-768x512.jpg 768w, https:\/\/octagona.com\/wp-content\/uploads\/2024\/07\/scott-blake-x-ghf9LjrVg-unsplash-min-1536x1024.jpg 1536w, https:\/\/octagona.com\/wp-content\/uploads\/2024\/07\/scott-blake-x-ghf9LjrVg-unsplash-min-18x12.jpg 18w, https:\/\/octagona.com\/wp-content\/uploads\/2024\/07\/scott-blake-x-ghf9LjrVg-unsplash-min.jpg 1920w\" sizes=\"(max-width: 640px) 100vw, 640px\" \/><\/h4>\n<p>\u00a0<\/p>\n<h4>The additional opportunities in the UAE for the construction sector.<\/h4>\n<p>From the latest research by ICE-Agency for Overseas Promotion and the\u2019<a href=\"https:\/\/octagona.com\/en\/sell-dubai-united-arab-emirates-how-to-do-it\/\">internationalization of Italian enterprises<\/a>, it emerges that Italian exports in the field of construction technology to the United Arab Emirates (UAE) reached \u20ac60 million in the first half of 2023. This result was the result of an increase in export volume of <a href=\"https:\/\/www.linkedin.com\/posts\/itaitaliantradeagency_lice-agenzia-ha-supportato-la-presenza-activity-7138835487695306752-nJpl\/\">To 98% in the construction materials industry.<\/a> and natural stone and 29.89% in that of building technologies, compared with the same period in 2022.<\/p>\n<p>The main opportunities for Italian companies are concentrated on large investment projects, particularly in the infrastructure sector supported by the UAE government. These projects aim to boost international tourism through the construction of ports, airports, road and rail networks, hospitals, schools, tourist facilities, hotels, and industrial plants. This offers Italian companies the chance to secure contracts for civil works in both the public and private sectors, acting as sectoral suppliers or subcontractors.<\/p>\n<p>The greatest opportunities lie with companies operating in the construction, metal products, and services sectors. This environment generates significant demand for materials, manufacturing and construction equipment, as well as furniture (the residential sector accounts for 90% of the market, while the office sector accounts for the remaining 10%), furnishings, and interior design, including accessories and decorative items.<\/p>\n<p>Italian entrepreneurs who intend to export to the UAE can thus count on an environment rich in opportunities. However, gaining or consolidating market share in the UAE and competing effectively in international competitions requires a deep understanding of the local market and a well-defined strategy.<\/p>\n<p><a href=\"https:\/\/octagona.com\/en\/\">Octagona<\/a> provides valuable support to companies looking to expand their business in the UAE and India, offering specialized and targeted internationalization consulting for businesses. To explore all opportunities, including in the construction sector, we invite you to <a href=\"https:\/\/octagona.com\/en\/contacts\/\">contact us<\/a>.<\/p>","protected":false},"excerpt":{"rendered":"<p>Esportare negli Emirati Arabi Uniti rappresenta una significativa opportunit\u00e0 per le imprese italiane, grazie alla loro popolazione numerosa e a mercati interni in rapida espansione. Gli Emirati Arabi Uniti (EAU) sono un hub essenziale per le aziende italiane che mirano non solo ai mercati del Medio Oriente, ma anche a quelli dell\u2019Africa orientale e dell\u2019Asia [&#8230;]<\/p>\n<p><a class=\"btn btn-secondary octgn-read-more-link\" href=\"https:\/\/octagona.com\/en\/esportare-emirati-arabi-uniti\/\">Read More&#8230;<\/a><\/p>\n","protected":false},"author":4,"featured_media":103625,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[4],"tags":[],"class_list":["post-103613","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-internazionalizzazione-imprese"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.8 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Esportare negli UAE: settore costruzioni | Octagona Srl<\/title>\n<meta name=\"description\" content=\"Esportare negli Emirati Arabi Uniti e in India pu\u00f2 costituire un&#039;opportunit\u00e0 allettante, anche per il settore costruzioni. 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