Khalifa Economic Zones Abu Dhabi (KEZAD) offers a range of facilities and infrastructure options for light manufacturers, including ready-built units, facilities for small and medium-sized enterprises (SMEs) and serviced industrial land. Its connectivity to Khalifa Port and the Etihad Rail network supports manufacturing and logistics activities in Abu Dhabi, in line with the emirate’s Abu Dhabi Industrial Strategy.
According to KEZAD Group, part of AD Ports Group, Khalifa Economic Zones Abu Dhabi (KEZAD) covers more than 550 square kilometres in Abu Dhabi, Al Ain and Al Dhafra, including 100 square kilometres of free zone, and representing 55 per cent of the UAE’s total industrial area.
According to KEZAD Group, its serviced land accommodates both light and heavy manufacturing, while its zones accommodate supporting businesses such as raw-material suppliers, packaging solutions and printing services.
Ready-built light industrial units
KEZAD’s Light Industrial Units are located in Al Ma’mourah 2 within the domestic economic zone. According to KEZAD Group, the units start from 419 square metres, with a total built-up area of 21,478 square metres, and are designed for assembly, production or storage.
Each unit includes a mezzanine office, roller shutter doors and a loading yard with ramp access for forklifts and is offered on flexible lease terms.
A new hub for SMEs
In June 2026, KEZAD Group announced the development of an AED112 million SME Hub in KEZAD Al Ma’mourah. The 25,260-square-metre project comprises 175 micro industrial units starting from 100 square metres, together with office suites and a dedicated business centre.
The hub is designed for enterprises that have outgrown incubators but are not yet ready for full-scale industrial facilities. It will have direct connectivity to Khalifa Port and the Etihad Rail network, with handover scheduled before the end of 2026.
Connectivity
According to KEZAD Group, Khalifa Port is served by 25 major shipping lines with links to more than 90 international destinations, while KEZAD was the first port and economic zone in the UAE to be connected to the Etihad Rail network. More than 75 per cent of the UAE’s urban areas are within a 90-minute drive of its zones.
Industrial land and long-term leases
KEZAD Group’s published tariff sets annual rates of AED32–38 per square metre for serviced industrial plots in Abu Dhabi, with a common area maintenance charge of AED3 per square metre per year.
In January 2026, KEZAD Group signed a 50-year land lease with Jotun Abu Dhabi for an AED450 million paints and coatings facility covering 83,177 square metres in KEZAD Musaffah.
Incentives for manufacturers
According to the Abu Dhabi Investment Office (ADIO), eligible projects in designated zones in Abu Dhabi can benefit from preferential energy tariffs, industrial land incentives and duty exemptions.
The Abu Dhabi Department of Economic Development (ADDED) also offers an Energy Support Program (ESP), which provides preferential gas and electricity rates to private industrial businesses, and a Land Rebate Incentive Programme (LRIP), offering reduced lease rates and extended contracts for priority sub-sectors.
A growing manufacturing sector
According to the Statistics Centre – Abu Dhabi (SCAD), the emirate’s manufacturing sector reached a record AED111.6 billion in 2024, growing by 2.7 per cent and accounting for 9.5 per cent of gross domestic product (GDP). ADIO reports more than 1,100 active factories in the emirate.
Under the Abu Dhabi Industrial Strategy, the Abu Dhabi Government has started a funding scheme of AED10 billion in 2022 across six transformational programmes, with the aim of more than doubling the manufacturing sector to AED172 billion and growing non-oil exports by 143 per cent to AED178.8 billion by 2031, according to ADIO.
ADDED’s Abu Dhabi Smart Manufacturing Index guides manufacturers in the transition to Industry 4.0 by assessing facility readiness, identifying gaps and recommending steps to reach the required level of maturity.
Living costs
Data from SCAD shows that Abu Dhabi’s Consumer Price Index rose by 0.3 per cent in 2025. Prices for housing, water, electricity, gas and other fuels rose by 2.6 per cent, while transport costs fell by 5.7 per cent.
Together, ready-built facilities, incentives and connectivity provide light manufacturers with a range of entry points into the emirate’s industrial sector as KEZAD continues to add capacity.
