The United Arab Emirates (UAE) has accounted for more than two-thirds of the trade volume between Arab nations and Israel during the ongoing Israeli war on Gaza, a move that blatantly disregards Palestinian bloodshed and widespread public outrage in the Arab world.
According to official data, UAE trade with Israel surpasses the combined trade volume of all other Arab countries, reflecting a deepening strategic alliance between Abu Dhabi and Tel Aviv.
Trade Volume Soars Amid the Gaza War
During the months of war, the total trade volume between Israel and Arab nations with normalized ties surged, reaching $4 billion, marking an increase compared to the same period in previous years. Notably, these figures cover the period from October 2023 to August 2024, as reported by Israel’s Central Bureau of Statistics.
Despite massive protests and growing anger on Arab streets, economic relations between normalized Arab states and Israel not only continued but expanded. The trade statistics reveal that Arab countries increased their exports and imports with Israel, even during one of the most brutal Israeli military campaigns against Palestinians in Gaza.
UAE Leads Trade with Israel
From October 2023 to August 2024, the trade volume between the UAE and Israel reached a staggering $2.8 billion, representing the largest share of Arab-Israeli trade. UAE exports to Israel accounted for $2.286 billion, showing a $122 million increase compared to the same period in 2022-2023. This firmly positions the UAE as the leading Arab country trading with Israel, even during the conflict.
Monthly Export Trends
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- In October 2023, UAE exports to Israel were at their lowest, at $135.1 million, coinciding with the start of the Gaza war.
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- However, exports rapidly increased, peaking in January 2024 at $252.1 million.
The UAE also topped the list in terms of Israeli imports to Arab countries, receiving $516.1 million worth of goods during the same period. This marked a decline compared to $645.5 million during the same months in 2022-2023, but the UAE remains the largest recipient of Israeli goods among Arab nations.
Historical Trade Growth
The UAE-Israel trade volume has grown exponentially since the normalization of relations in 2020:
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- 2020: $189.8 million
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- 2021: $1.221 billion
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- 2022: $2.527 billion
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- 2023: $2.9 billion
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- October 2023 to August 2024: $2.8 billion (second-highest during this period).
Broader Arab-Israeli Trade Figures
The combined exports from all normalized Arab states (UAE, Egypt, Jordan, Morocco, Bahrain) to Israel reached $2.897 billion from October 2023 to August 2024. This is a $122 million increase compared to the same period in 2022-2023.
Similarly, Israeli imports to Arab nations totaled $1.104 billion, compared to $923.6 million in the same period the previous year. This brought the overall trade volume between normalized Arab nations and Israel to $4 billion, up from $3.6 billion during the corresponding period in 2022-2023.
Free Trade Agreement Drives Growth
While the Israeli government has not disclosed the specific goods exchanged, the trade relationship is governed by a free trade agreement signed in 2022, the first of its kind between Israel and an Arab nation. The agreement eliminated customs duties on 96% of goods, either immediately or gradually, fostering a boom in bilateral trade.
Conclusion
The UAE’s dominant trade relationship with Israel during the Gaza war underscores the growing economic ties between the two nations despite the political and ethical implications of such relations. While Palestinian civilians endure unprecedented suffering under relentless Israeli attacks, Arab-Israeli trade—led by the UAE—continues to thrive, highlighting a disconnect between government actions and public sentiment across the Arab world.
This economic alliance not only exacerbates public outrage but also raises questions about the role of normalized Arab states in influencing Israel’s policies and actions in Palestine.
