UAE Industrial Market Dynamics, Q2 2026

Dubai industrial rents increased 6.8% year-onyear and 2.3% quarter-on-quarter, while Abu Dhabi recorded 5.0% annual growth, reflecting solid market fundamentals and healthy occupier demand despite rental growth moderating.

Constrained Grade A supply and strong occupancy levels enabled landlords to maintain asking rates while offering lease term flexibility and selective rental concessions up to 15% in select areas to support transaction activity amid regional conditions.

Strategic investments including DP World's new east coast port terminal and the AED 1 billion National Industrial Resilience Fund are expected to localise over 5,000 critical products, enhance supply chain resilience, and reinforce the UAE's competitive positioning as a leading industrial and logistics hub.