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Economic relations between the United Arab Emirates and the State of Kuwait are built upon longstanding fraternal ties and a robust strategic partnership that has expanded steadily across trade, investment, and key economic sectors.

Non-oil foreign trade between the two countries reached approximately AED 55.5 billion in 2025, representing an 11.3% increase compared to 2024. The UAE is Kuwait's second-largest global trading partner and its largest trading partner among Arab and Gulf countries. The UAE accounts for nearly 20% of Kuwait's non-oil exports, while bilateral trade represents approximately two-thirds of Kuwait's total trade with fellow Gulf Cooperation Council member states. Trade is expected to continue growing in 2026, reflecting the depth of the partnership and the significant opportunities for further economic cooperation.

UAE investments have established a strong presence across the Kuwaiti market, particularly in pharmaceuticals, cosmetics, cable manufacturing, cement production, shipbuilding, financial and banking services, real estate, wholesale and retail trade, oil and gas exploration, tourism and hospitality, transportation, and artificial intelligence. Kuwaiti investment in the UAE is concentrated in financial services and insurance, manufacturing, real estate, information and communications technology, construction, transportation and logistics, and professional, scientific, and technical services.

Bilateral trade includes a diverse range of products, including petroleum oils, gold, jewelry, telecommunications equipment, pharmaceuticals, ships, and food products. Cooperation extends beyond trade and investment to tourism and services, with approximately 400,000 Kuwaiti visitors traveling to the UAE in 2025. The two countries are connected by approximately 174 weekly flights, further strengthening business, tourism, and people-to-people connectivity.

Reflecting the strength of this strategic partnership, the UAE and Kuwait have signed numerous agreements and memoranda of understanding across multiple sectors. Most notably, a package of agreements concluded in January 2026 covered consumer protection and commercial oversight, tourism cooperation, standardization activities, integrity and anti-corruption, and public sector oversight.

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