May 20, 2026
The United Arab Emirates, long marketed as a secure destination for international commerce in the Middle East, is now confronting unprecedented challenges to its economic foundation. According to an Associated Press report, the nation has faced more missile and drone attacks from Iran than any other country during the ongoing war, and Iranian control over the Strait of Hormuz has reduced the Emirates’ crude oil and natural gas exports by more than half. Its tourism and conference industries have also been hit.
The UAE, which lies across the Persian Gulf from Iran, has publicly maintained a posture of calm while implementing significant strategic shifts. It has announced plans to build an additional pipeline to lessen its dependence on the strait, and it has withdrawn from the OPEC oil cartel to enable increased long-term energy…
