Department of Economic Development and Bavaria sign partnership to enhance future industries

The Abu Dhabi Department of Economic Development (ADDED) and the State of Bavaria in the Federal Republic of Germany have signed a joint declaration of intent to strengthen economic cooperation, with a particular focus on future-oriented industries.

It reflects the shared ambition of Abu Dhabi and Bavaria to leverage their expertise, technological capabilities, and innovation ecosystems to create high-value jobs, strengthen the global competitiveness of their economies, and accelerate the transition to sustainable development.

The joint declaration was signed by His Excellency Ahmed Jasim Al Zaabi, Chairman of ADDED, and State Minister Dr Florian Herrmann, Head of the State Chancellery and State Minister for Federal and European Affairs, International Affairs and the Media, on behalf of the State of Bavaria.

His Excellency Ahmed Jasim Al Zaabi, Chairman of ADDED, said: “Abu Dhabi’s economic partnership with Germany continues to advance through growing trade, investment and industrial cooperation. Our engagement with Bavaria builds on this progress, bringing together its industrial expertise, technological capabilities and skilled talent with Abu Dhabi’s expanding economic sectors, investment ecosystem, and access to international markets.”

His Excellency added: “In an increasingly competitive global economy, the ability to connect talent, technology, and capital will determine where the next generation of industries emerge and grow. This partnership creates opportunities to advance industrial innovation, expand investment, and strengthen the global competitiveness of both economies.”

As part of its sector-specific growth clusters strategy, Abu Dhabi has launched the Smart and Autonomous Vehicles Industries (SAVI), AgriFood Growth & Water Abundance (AGWA), Health, Endurance, Longevity, and Medicine (HELM), and FinTech, Insurance, Digital and Alternative Assets (FIDA). The four clusters, launched in 2023, 2024 and 2025, are projected to contribute AED284 billion to GDP, create more than 130,000 jobs, and attract over AED217 billion in investments by 2045.

Closer engagement with Bavaria, a leading centre of industrial and technological expertise, offers valuable opportunities as Abu Dhabi accelerates the transition to a more diversified, innovation-driven, world-class sustainable economy.

To support implementation, both parties will explore establishing a joint economic commission to serve as a platform for regular dialogue, coordination, and the exchange of views.

The UAE-Germany strategic partnership is characterised by high trade volumes, substantial investment flows, and deepening cooperation in future-oriented sectors such as energy, advanced technology and sustainability.

Total trade between the UAE and Germany reached approximately US$15.5 billion in 2025, a 15 per cent increase compared to 2024. German imports from the UAE rose by more than 58 per cent in 2025, reflecting continued momentum of UAE exports including aluminium, petrochemical products, base metals, plastics, rubber, machinery, and low-carbon ammonia and LNG as part of energy agreements.

Over 2,000 German companies are operating in the UAE, serving the wider Middle East, Africa, and Asia from their offices, while the number of German companies registered with the Abu Dhabi Chamber of Commerce and Industry grew by 10.6 per cent in 2025, reflecting the attractiveness of Abu Dhabi to German businesses and investors.