Dubai trade bucks global slowdown trend
DUBAI, Oct 7: Dubai's economy has once again showed its resilience by posting a 5 per cent year-on-year increase in non-oil trade during the January-June 2019 period due to a flexible business model and the ability to adapt to change that helped offset the impact of a slowdown in the global economy.
Latest data released by Dubai Customs on Saturday reflects the emirate's strong competitiveness and trade-friendly polices as the global trade faces headwinds amidst the US-China trade war, geopolitical tensions and a volatile crude oil market.
Dubai's non-oil foreign trade rose to Dh676 billion in the first half of 2019 from Dh644 billion in the corresponding period last year. China remained the largest trading partner and trade with India registered a strong 20 per cent growth, official data showed.
Exports rose 17 per cent to Dh76 billion while re-exports were up 3 per cent at Dh210 billion. Imports grew 4 per cent to Dh390 billion.
Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, Crown Prince of Dubai and Chairman of the Dubai Executive Council, said the strong performance of foreign trade reflects the emirate's ability to generate fresh growth opportunities even in an adverse global economic environment.
"Dubai's flexibility, ability to adapt to change and its responsiveness to the needs of businesses and investors have made it a model for sustainable growth. the latest results also point to Dubai's rapidly-growing trading links with the world's fastest growing economies. As the Dubai Silk Road project begins to take shape, the outlook for the emirate's foreign trade is set to get even better," Sheikh Hamdan said.
On Tuesday, the World Trade Organization sharply downgraded global trade growth forecasts for 2019 and 2020 due to escalating trade tensions and a slowing global economy, which will severely hamper job creation worldwide.
It lowered its growth forecast for 2019 to 1.2 per cent from 2.6 per cent in its previous report released in April. For 2020, the WTO downgraded growth from 3 per cent to 2.7 per cent.
Trade from Dubai's free zones accounted for Dh287 billion, an increase of 12 per cent. Trade by land saw an increase at Dh114 billion (up 8 per cent), while air accounted for Dh311 billion (up 3 per cent) and sea trade recorded Dh252 billion (up 6 per cent).