Standard Chartered’s research report, “Future of Trade: New opportunities in high-growth corridors,” underlines the expected surge in global trade by 2030. The report forecasts a 5% growth, positioning the global trade industry to reach AED 120 trillion by 2030.
Notably, the United Arab Emirates (UAE) stands out as an essential player, with its exports projected to hit around AED 2 trillion, indicating a strong annual growth rate of 5.5%.
Highlighting key growth areas, the report identifies trade corridors in Asia, Africa, and the Middle East. These areas are expected to outperform the global trade growth rate by almost four percentage points, pushing the collective trade volume to an impressive AED 53 trillion. This growth represents 44% of global trade by 2030.
India, maintaining its position as the UAE’s largest export destination, spearheads the list of “corridors to watch” for the UAE. However, exports to Turkey, Vietnam, and Singapore are witnessing significant growth.
Additionally, the UAE’s diverse sectors also grab attention. The UAE’s government’s dedication to facilitating cross-border trade has bolstered the nation’s capacity expansion in key industries. The country’s export diversity ratio, which stands at 0.54%, surpasses the global average, indicative of successful efforts to diversify exports into non-oil sectors.
Metals and minerals, along with plastics and rubbers, are predicted to drive growth in export sectors. The share of exports for these sectors in 2030 stands at 73% and 3% respectively, with Compound Annual Growth Rates (CAGR) of 6.3% and 5.4%.
Rola Abu Manneh, Chief Executive Officer, Standard Chartered UAE, lauded the UAE’s achievements, attributing the success to the government’s unrelenting efforts to foster cross-border trade.
“These trade projections further solidify the UAE’s position as the regional trade hub. The UAE continues to spearhead diversification efforts, advance trade integration, and enact policies supporting innovation and sustainability,” said Manneh.
The “Future of Trade 2030” report offers a global trade perspective over the next decade, highlighting high-growth corridors in Asia, Africa, and the Middle East, ultimately consolidating the UAE’s position in the global trade arena.