Businesses in the UAE show strong confidence in their international trade prospects, with 94% indicating that they expect to expand cross-border trade in the near future. This optimism persists despite the ongoing uncertainties and cost pressures stemming from tariffs, prompting UAE firms to enhance their planning and adopt digital solutions to remain competitive.

These insights come from HSBC’s 2025 Global Trade Pulse Survey, which collected data from over 5 700 international companies across 13 markets regarding their experiences with tariffs and trade. The survey was conducted between April 30 and May 12, 2025, highlighting a stark contrast between UAE firms and their global counterparts.

The survey reveals that two-thirds of corporations worldwide have faced cost increases due to tariff and trade uncertainties. However, UAE companies have not yet felt significant cost impacts, although they anticipate challenges both in the short and long term. Deyana Cherneva, Head of Global Trade Solutions for the Middle East, North Africa, and Türkiye at HSBC Bank Middle East, noted that UAE corporates have developed counter strategies to adapt to the changing trade landscape. These strategies include utilizing data, investing in supply chains, and increasing trade reliance on markets in the Middle East, China, and Europe.

The survey’s key findings reveal that 75% of UAE companies plan to leverage trade uncertainties to evolve and explore new opportunities. Among the top sales markets for UAE firms are the UAE itself (83%), India (34%), the UK (32%), the US (32%), and Germany (19%). For sourcing, the UAE ranks first at 78%, followed by India (40%), the US (39%), the UK (32%), and Germany (25%).

Moreover, 65% of UAE firms report having already experienced average cost increases due to tariffs, with 76% expecting further increases in the next six months. The expected average revenue impact for UAE businesses stands at 19%, slightly above the global average of 18%. In response to these challenges, 48% of UAE companies are enhancing their data analytics capabilities, while others are investing in risk management, supply chain visibility, and exploring new markets.

The UAE’s proactive approach is also evident in its increasing regional trade ties, with 62% of surveyed UAE firms indicating they are strengthening their reliance on the Middle East, followed by 47% toward China and 43% toward Europe.