UAE firm partners with South Korea to explore $1 billion industrial zone in Abu Dhabi

UAE-based AG Company has signed a strategic partnership with South Korea’s Akbar Investment Company to explore the development of a dedicated Korean industrial zone in Abu Dhabi, as economic and investment ties between the two countries continue to deepen.

The agreement was announced during a visit by a high-level South Korean delegation to Abu Dhabi, comprising government and semi-government officials and investors. The delegation was led by Jung Min Kim, a member of South Korea’s National Assembly and its Committee on Trade, Industry, Energy, SMEs and Startups.

As part of the partnership, 15 memoranda of understanding were signed with Korean companies and manufacturers operating across a range of industrial sectors.

The proposed industrial zone is expected to host more than 25 factories in its initial phase and attract investments exceeding $1 billion.

During the visit, the Korean delegation met with the Abu Dhabi Investment Office (ADIO) and Khalifa Economic Zones Abu Dhabi (KEZAD) to explore the emirate’s investment ecosystem, infrastructure, and facilities supporting industrial and technology companies.

The delegation also held discussions with Emirati business leaders and investors and conducted site visits to assess Abu Dhabi’s industrial capabilities and operational readiness.

Jung Min Kim said Abu Dhabi’s economic vision, regulatory environment, infrastructure, and stability have reinforced its appeal as a destination for international investment.

He added that these factors position the UAE as a strategic gateway for Korean companies seeking to expand across the region, and that the proposed industrial zone represents another step toward strengthening economic ties between the two countries.

Dr. Ahmed Abdullah, CEO of AG Company, said the project aligns with the UAE’s efforts to build a more diversified and competitive economy driven by knowledge, innovation, and advanced technologies.

He added that attracting Korean manufacturers could facilitate the transfer of expertise, support local talent development, and advance the UAE’s ambitions to strengthen its standing as a regional and global hub for industry and innovation.

The proposed partnership could also contribute to the development of an advanced industrial ecosystem and create skilled employment opportunities for Emiratis.

Dr. Omar Najm, CEO of Baynouna Genetic Solutions, highlighted opportunities for collaboration with Korean companies in areas such as artificial intelligence and advanced healthcare technologies.

He said the proposed industrial zone could foster research and development partnerships and accelerate the adoption of advanced industrial technologies in the UAE.

Al Ain has been identified as a potential location for the industrial zone. Safwan Bals, Board Advisor at AG Company, said the proposed site aligns with broader efforts to expand economic development and diversify industrial and manufacturing hubs across the UAE.

He added that the project could support Al Ain’s economic growth, attract investment, and generate direct and indirect employment opportunities.