The United Arab Emirates (UAE) holds a distinctive position in the global mobile phone trade, functioning not only as a sizable local market but also as a significant global re-export hub. The country imports substantial numbers of smartphones for redistribution to various regional markets, making it a key player in the sector.
According to data from the Federal Competitiveness and Statistics Center, the value of UAE’s trade in the first quarter of the year was approximately AED 835 billion. Trade in mobile and fixed-line devices reached around AED 71 billion, accounting for 9% of total trade volume, which is an increase from AED 69 billion, marking a growth of 3%.
In terms of trade composition, mobile devices ranked second, following gold, which topped the list at a value of AED 225 billion, representing 29% of trade, compared to AED 150 billion in the corresponding period in 2024. Gold continued to be the leading traded commodity in the initial three months of 2025, weighing in at 1,945 tons.
Sales Volume
During the first quarter of 2025, the average sales of smartphones in the UAE hit 1.59 million units, reflecting a growth of 3.7% compared to the same quarter last year, as reported by IDC (International Data Corporation).
On a global scale, 301.4 million units were shipped in the first quarter of this year, showing an annual increase of 0.4% over the same timeframe last year. It is anticipated that global smartphone shipments will remain somewhat stable, with a projected annual growth of 0.6% for this year, while the UAE market is expected to close 2025 with an annual growth rate of 3.8% in terms of shipped units.
According to Canalys, the UAE smartphone market grew by 4% in the fourth quarter of 2024, representing part of a broader positive trend in the regional smartphone market, which recorded a strong annual growth of 14% in the same year—nearly double the global recovery rate of 7%.
Forecasts suggest a continuous increase in smartphone users in the UAE from 2024 to 2029, with an expected rise of one million users, or 9.54%, bringing the estimated total to approximately 11.46 million users by 2029, based on key market indicators from Statista.
Reports indicate that the technology services market in the UAE is expected to grow to around $3.8 billion this year, with a stable annual growth rate of 6.24% until 2029, ultimately reaching about $4.79 billion by the end of the forecast period.
Dubai continues to attract substantial foreign direct investment, underscored by the remarkable performance of foreign investments in the emirate, which saw 1,117 investment projects valued at approximately AED 52.3 billion throughout 2024. The UAE’s advanced infrastructure, ports, and airports contribute to its status as a major logistics hub, facilitating the import of mobile devices from key manufacturers in Asia, which are then exported to other markets in the Middle East, Africa, and the CIS countries.
China remains the leading country from which the UAE imports mobile phones, accounting for the largest share of incoming shipments. Vietnam and India are also key partners in the supply chain, where mobile phone production has significantly increased. Notably, Iraq, Iran, and Kazakhstan are among the primary nations importing phones from the UAE.
Re-exportation
The role of the UAE as a re-export center is the most prominent characteristic of this sector, with large quantities of phones being imported and subsequently distributed to regional and international markets. This business model significantly bolsters the UAE’s standing as a commercial gateway to the world. The statistics and data reflect the vital role the UAE plays in the global mobile phone supply chain, driven by both local and regional demand, as well as a favorable business environment that facilitates import and export operations.