During a recent panel discussion at the World Economic Forum (WEF) annual meeting in Davos, Dr. Thani bin Ahmed Al Zeyoudi, the Minister of State for Foreign Trade, underscored the UAE’s pivotal role in transforming global trade. The discussion centered on the theme “Hacking Trade and Investment,” where Al Zeyoudi elaborated on how the UAE is utilizing emerging technologies to enhance trade efficiency, sustainability, and overall effectiveness. He also announced the release of the latest TradeTech Report.

The TradeTech initiative, a collaboration between the UAE, the World Economic Forum, and the Abu Dhabi Department of Economic Development (ADDED), aims to accelerate the integration of advanced technologies into global trade systems. The second edition of the TradeTech Report highlights the significant impact of technologies such as artificial intelligence (AI) on global trade. It reveals that these advancements could increase efficiency and open new business opportunities across all sectors.

In his remarks, Al Zeyoudi emphasized the UAE’s ambition to harness technology for a seamless, inclusive, and sustainable global trading system. He highlighted several UAE trade operators who are already implementing innovative solutions like AI, robotics, and Internet of Things (IoT) capabilities to tackle real-world challenges. He remarked that “Trade remains one of the most powerful drivers of economic growth, innovation, and prosperity,” stressing the potential of technologies like AI and blockchain to revolutionize supply chains and enhance transparency in global trade.

Al Zeyoudi also shared insights from the TradeTech Report, which indicates that the adoption of AI could boost trade in goods and services by as much as 13.6 percent by 2040. However, he cautioned about risks such as “AI divergence,” which could lead to fragmented global trade systems due to uneven technology adoption. To mitigate these risks, he advocated for interoperability, trust-building, and investment in workforce development and digital infrastructure as essential steps to maximize the benefits of AI.

Additionally, Al Zeyoudi provided updates on the TradeTech Initiative’s programs, including the TradeTech Accelerator and Sandbox. He noted that the TradeTech Accelerator has onboarded 15 startups focused on solutions like AI-driven customs automation and blockchain-based trade finance platforms. The TradeTech Sandbox, which allows businesses and regulators to collaboratively test and refine emerging technologies, is also in progress. Insights from this sandbox will be shared during the upcoming TradeTech Forum, scheduled to take place in Abu Dhabi in April 2025.

Launched in 2023, the UAE’s TradeTech Initiative reflects the nation’s commitment to modernizing global trade frameworks and fostering collaboration among governments, businesses, and innovators. By promoting the adoption of key technologies such as AI, blockchain, and IoT, the initiative aims to unlock trillions of dollars in additional global trade value and ensure equitable distribution of trade benefits.