Pakistan-UAE bilateral trade remains strong, resilient
Over the past two years, Pakistan-UAE trade relationship was seen tested and, in the end, strengthened. The numbers alone tell a story of long-term resilience, a pace that reflected genuine momentum, not a one-off surge. As the UAE is Pakistan’s third-largest trading partner, both maintain a vital economic cooperation across trade, logistics, ports, energy, banking, manufacturing and digital…
The Pakistan-UAE bilateral trade relationship has proven to be strong and resilient over the past two years. Despite facing challenges, the trade connection has remained robust, reflecting genuine momentum rather than a one-time surge. As Pakistan's third-largest trading partner, the UAE maintains crucial economic cooperation with the country in various sectors, including trade, logistics, ports, energy, banking, manufacturing, and the digital economy.
According to the State Bank of Pakistan, the total merchandise bilateral trade reached $10.5 billion during FY 2025-2026, with exports to the UAE surpassing $2.1 billion. Key export categories include food and agricultural products, textiles and apparel, chemicals, plastics, and other manufactured goods. During the pre-conflict period of July to March 2025-26, Pakistan's exports to the UAE increased by 18%, totaling $1.65 billion.
However, regional supply chain disruptions, such as the closure of the Strait of Hormuz, shipment suspensions, vessel unavailability, airspace disturbances, and regional instability, initially slowed down exports. Despite these setbacks, the UAE transformed the crisis into an opportunity for enhancing supply chain resilience. Both governments and the private sector worked together to maintain market continuity through alternative ports, overland corridors, and real-time digital cargo tracking.
The Pakistani government demonstrated commitment to sustaining exports to the Middle East by organizing webinars, virtual business-to-business meetings, and awareness sessions on regulatory compliance and alternative routes. Pakistani exporters actively participated in UAE exhibitions like Gulfood, Arab Health, Gitex Global, and others, strengthening new partnerships and exploring export opportunities.
The UAE's diversification into technology and innovation sectors has created significant prospects for Pakistani IT companies, which have witnessed a record $376 million in IT exports to the UAE in FY 2024-25. Over 140 Pakistani companies showcased agro-food products at Gulfood 2026, and Pakistan's presence at the World Health Exhibition 2026 highlighted its capabilities in innovative healthcare, surgical, and pharmaceutical products.
The human resource dimension of the relationship is equally vital, with remittances from the UAE to Pakistan rising by 13% to $8.8 billion. Despite the ongoing work required to further expand the partnership, the Pakistan-UAE relationship has shown that it not only survives disruptions but also adapts, secures, and often grows stronger through challenging times.
Written by urgent.news from Gulf News's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
