UAE slapped with 10% tariff as Trump triggers global trade war

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WHAT WE’RE TRACKING TODAY

THIS MORNING: UAE slapped with a 10% tariff as Trump triggers global trade war

Good morning, lovely people. It’s the (relative) calm before the storm as investors, economists, and business owners everywhere digest news of US President Donald Trump's new sweeping trade tariff policy, which is expected to trigger a deluge of retaliations and negotiations in the coming weeks.

THE BIG STORY here at home — and everywhere — is news of the tariffs and its impacts on different countries, including the UAE, which was slapped with a 10% levy. Besides the tariffs: We have more M&A updates for you this morning, with e& PPF completing its acquisition of Serbia Broadband, and news that EU antitrust regulators have until 12 May to make a decision on Adnoc’s takeover of Covestro. Plus: G42’s investment in Cerebras should now be going through after it agreed to acquire non-voting shares.

☀️WEATHER- It’s getting hotter by the day, with the mercury today peaking at 36°C before cooling to an overnight low of 26°C. Over in Abu Dhabi, temperatures will reach 31°C, with an overnight low of 23°C.

WATCH THIS SPACE-

#1- South Africa’s third largest bank Absa’s corporate and investment banking unit is planning to open a representative office in Dubai in 1Q 2026 as the region continues to deepen its relationship with Africa, the CEO of the unit, Yasmin Masithela, told Bloomberg. The office, which is pending regulatory approvals, will help the bank service clients who seek to do business in the Gulf, as well as Middle East-based businesses looking to access African markets. Dubai specifically was chosen due to the amount of clients looking to invest in African infrastructure, since infrastructure development is among the bank’s “strategic objectives,” Masithela said.

It wouldn’t be the only South African bank in Dubai: South African bank Investec opened a regional office in the Dubai International Financial Center last year to serve high-net-worth clients and family offices in the GCC. Meanwhile, Standard Bank, Rand Merchant Bank and Nedbank all have offices in Dubai, Bloomberg said.

#2- Abu Dhabi Commercial Bank is eyeing the potential sale of a package of non-performing loans by the end of the year as it looks to shore up its balance sheet, Bloomberg reports, citing sources familiar with the matter. The exact timing and size of the sale has yet to be decided, the sources said, though they suggested it could be close to the terms of another sale of USD 357 mn distressed debt it made to a recovery fund led by Grant Thornton 2023. It also offloaded a USD 1.1 bn loan book to US hedge fund Davidson Kempner Capital Management.

#3- Dubai is getting self-driving taxis next year, after the Roads and Transport Authority inked agreements with Uber and WeRide, as well as China’s Baidu, to test the vehicles this year before deploying them commercially in 2026, it said in a statement. WeRide’s vehicles are already set to become available on the Uber app in Abu Dhabi this year. Dubai aims to make 25% of all journeys in the city autonomous by 2030, while Abu Dhabi has the same target for 2040.

#4- Trade and economic partnership agreements with Mauritius and Costa Rica have taken effect, Trade Minister Thani bin Ahmed Al Zeyoudi said in an X post. The agreement with Mauritius is set to grow the Emirates’ economy by 0.96% and Mauritius’ by over 1% by 2030, while the one with Costa Rica could see further cooperation in tourism, renewable energy, food security, ICT, and manufacturing

HAPPENING NEXT WEEK-

Conference season is back into full gear next week after the Ramadan and Eid lull:

#1- The Mohammed Bin Rashid Space Center is set to host Geo-Spatial Week from 6-11 April in Dubai with the International Society for Photogrammetry and Remote Sensing. The week-long event will welcome experts in photogrammetry, remote sensing, and spatial sciences.

#2- EFG Hermes’ One on One conference will take place from Monday, 7 April until Thursday, 10 April in Dubai. The conference is the largest gathering of its kind devoted to emerging and frontier equities and connects international institutional investors with senior execs in industries ranging from food and fintech, to banking and petrochemicals.

#3- The AIM Congress 2025 is set to take place from Monday, 7 April until Wednesday 9 April at the Abu Dhabi National Exhibition Center. The event will bring together senior executives, government officials, and global investors to foster investment collaboration to drive global economic development. Attendees can expect forums, panel discussions, workshops, and a startup competition, Wam reports.

#4- Middle East Energy will take place from Monday, 7 April to Wednesday, 9 April at the Dubai World Trade Center. The exhibition and conference brings together industry leaders, and energy professionals to discuss the energy transition, sustainability practices, innovations in power generation, renewable energy, and energy efficiency.

#5- The World Local Production Forum is running from Monday, 7 April to Wednesday, 9 April at the Abu Dhabi National Exhibition Center. The World Health Organization-backed event will bring together global leaders to discuss localized, sustainable, and diversified medicine production, and strategies to enhance access to quality assured health products.

#6- The Fujairah Bunkering and Fuel Oil Forum (FUJCON 2025) will take place from Monday, 7 April until Wednesday, 9 April at DoubleTree by Hilton Fujairah. Organized by S&P Global Commodity Insights, in collaboration with the Fujairah government, the Port of Fujairah, and the Fujairah Oil Industry Zone, the event will bring together energy leaders to discuss geopolitical and decarbonization impacts on shipping and bunkering, fuel quality, market trends, and technological advancements.

#7- AWS GenAI Loft Dubai 2025 will take place from Monday, 7 April to Friday, 11 April at Dubai International Financial Centre’s (DIFC) Innovation One building. The five-day event will see industry startups, business leaders, investors, developers, and AI enthusiasts attend workshops and lectures on generative AI technologies and their practical applications across industries.

#8- The World Crisis and Emergency Management Summit will take place in Abu Dhabi on Tuesday, 8 April and Wednesday, 9 April, state news agency Wam reports. Under the theme Together Towards Building Global Resilience, the event will bring together global leaders to discuss improving international cooperation in crisis management, emergency planning, and risk prediction. The event will also feature two exhibitions — Crisis Management Technologies and Generation Readiness — to showcase new sector-specific technological tools.

THE BIG STORY ABROAD-

The global foreign press is focusing on one thing, and one thing only: Tariffs.

US President Donald Trump slapped a universal 10% tariff on all US imports, and higher reciprocal tariffs on others, as he vowed to liberate the US from the “looting, pillaging, and raping” of the US by other countries. Among the tariffs imposed, the US slapped China with a 34% tariff, taking the total tariff on Chinese imports to 54%, the EU with 20%, Vietnam with 46%, Taiwan with 32%. Vietnam, Japan,Taiwan, and Cambodia are also among countries that would face steep tariffs. The UAE was hit with a 10% tariff, along with Saudi Arabia and Egypt. You can find the full list of tariffs in this thread here.

The reciprocal tariffs will reportedly take place on 9 April, while the 10% tariff will come into effect on Saturday, Reuters quoted a White House official as saying.

The move is set to ignite a global trade war after decades of liberal trade measures from the US, with trading partners widely expected to retaliate.

A slight reprieve: Mexico and Canada will not be subject to tariffs beyond the 25% tariffs already announced earlier, while products like steel, aluminum, and auto parts will also be exempt from the reciprocal tariffs and only subject to the previously announced levies.

The news is getting attention across global front pages: Bloomberg | NYT | FT | Guardian | WSJ | Politico | AP

We dive into the response from global investors and financial markets following the announcement in Planet Finance, below.

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EU regulators to make a decision on Adnoc’s Covestro takeover in May

EU antitrust regulators will decide on Adnoc’s EUR 14.7 bn takeover of German chemicals firm Covestro on 12 May, the European Commission said in a regulatory filing on its website. Approval from the commission can come with or without conditions — and the transaction could also see a further four-month investigation following the preliminary review. The acquisition of Covestro was expected to close in 2H 2025.

Refresher: Adnoc’s new low-carbon energy investment arm XRG is set to acquire a majority stake in German chemicals company Covestro — marking the largest takeover from a Middle Eastern buyer in Europe in 16 years — following the completion of its voluntary public takeover offer. Regulatory clearances from countries where Covestro operates have already started pouring in, with the acquisition receiving approval in December from the Competition Commission of India, where Covestro operates through its subsidiary Covestro India.

The European Commission has been the reason behind delays in Emirati takeovers in Europe before: The commission launched its first-ever anti-subsidy probe into a foreign buyer against e& for its acquisition of a controlling stake (50% +1 economic share) in PPF Telecom Group, but later concluded that market competition won’t be affected by this transaction. Still, the commission placed several conditions on e& for an extendable duration of 10 years, including a commitment not to funnel any state funding into PPF’s EU operations without EU review.

This story was updated with the correct value of the takeover.

e& JV e& PPF completes acquisition of Serbia Broadband

e& PPF takes over SBB: Telecoms giant e&’s JV with Prague-based PPF Group, e& PPF Telecom, completed its acquisition of 100% of Serbia-based cable television and broadband internet service provider Serbia Broadband (SBB) from Southeast European telecoms player United Group, according to a statement (pdf). The debt-free, cash-free transaction was valued at EUR 825 mn, and was financed through debt raised by e& PPF.

What’s next? e& PPF will merge SBB with its Serbian mobile subsidiary Yettel, thereby consolidating the state-backed telco’s Serbian assets under a single entity. The merged company will enable the delivery of mobile, fixed broadband, and pay-tv services, boosting its offerings in the high-growth market.

G42 cleared to buy non-voting shares in chipmaker Cerebras, paving way for its IPO

Abu Dhabi AI giant G42’s investment in Cerebras Systems is finally going through, after Cerebras said G42 will buy non-voting shares in the company, making it unnecessary for the Committee on Foreign Investment in the United States (CFIUS) to clear the transaction, according to the company’s prospectus. This should make way for the Nvidia rival’s IPO, which had been delayed for months due to the pending review.

What we know: Cerebras and G42 had given voluntary notice to CFIUS about the sale of voting shares, according to the California-based company’s IPO prospectus. While G42 initially agreed to buy USD 335 mn worth of Cerebras shares by April 15, according to the prospectus, the two companies later changed the agreement to say it would be buying non-voting shares, meaning they can now withdraw their notice since that did not require a CFIUS review.

Background: The CFIUS had been weighing concerns over the group’s past ties with China’s Huawei, despite G42 signing a US national security agreement to sever ties with Huawei and divest all of its Chinese investments. A listing could raise as much as USD 1 bn at a USD 7-8 bn valuation, Bloomberg has reported.

How much does G42 own of Cerebras? The company acquired a 1% stake in Cerebas in 2021 through an affiliate for USD 40 mn. They later signed a convertible purchase agreement to acquire another 22.9 mn shares for USD 335 mn, and under certain circumstances, will have the option to acquire additional shares at a 17.5% discount to the fair market value of its Class A stocks at the time the agreement was inked.

Their relationship goes deeper than just that of a shareholder and its subsidiary: G42 accounts for some 87% of Cerebras’ revenues in 1H 2024, the company said in the prospectus. The UAE firm is supplying G42 with data center space, computing clusters, and other services under mult-bn-USD contracts.

What they said: “We thank @POTUS for making America the best place in the world to invest in cutting-edge #AI technology,” Cerebras’ Founder and CEO Andrew Feldman said in a LinkedIn post. “We thank G42's leadership and the UAE's leadership for their ongoing partnership and commitment to supporting US headquartered AI companies,” he added.

Trump’s sweeping tariffs spark panic across global markets

Wall Street is in for a volatile day likely marred by deep losses, judging by the response of US futures to US President Donald Trump’s announcement of sweeping global tariffs. While Wall Street managed to end the day unscathed yesterday before Trump began his speech at Rose Garden, futures reversed earlier gains following the end of the speech, which saw him announce a new global order marked by a 10% tariff on all US imports, along with higher reciprocal tariffs on certain countries.

S&P 500 futures fell to a 3.6% loss, while Nasdaq futures were down 4.5% after gaining earlier on Wednesday, as companies like Nvidia, Amazon, and Apple saw their shares fall sharply in after-hours trading.

BTC also fell below USD 85k in response to the tariffs, as the announcement triggered a wide-ranging risk-off amid fears of a trade war and a US recession.

It’s far from over: Countries are widely expected to retaliate following the news, though some might also choose to negotiate with the US. Trump did suggest he would be willing to reduce tariffs if other nations remove trade barriers on US exports during his speech. The EU, however, and Canada, are already readying countermeasures set to be announced later today.

MARKETS THIS MORNING-

Asian markets also plunged in early trading, as the biggest victims of Trump’s’ trade war digest the news. Japan’s Nikkei and Topix led losses, both down more than 2%, paring losses of over 4% at open. Meanwhile, Hong Kong’s Hang Seng was down 1.2%, and mainland China’s CS 300 dipped 0.5%. South Korea’s Kospi also fell 1.3%

ADX	9,334	-0.4% (YTD: -0.9%)
DFM	5,112	+0.3% (YTD: -0.9%)
Nasdaq Dubai UAE20	4169	-0.5% (YTD: +0.1%)
USD : AED CBUAE	Buy 3.67	Sell 3.67
EIBOR	4.3% o/n	4.2% 1 yr
TASI	12,025	+0.5% (YTD: -0.1%)
EGX30	32,026	+0.9% (YTD: +7.7%)
S&P 500	5,671	+0.7% (YTD: -3.6%)
FTSE 100	8,608	-0.3% (YTD: +5.3%)
Euro Stoxx 50	5,304	-0.3% (YTD: +8.3%)
Brent crude	USD 73.75	-1%
Natural gas (Nymex)	USD 4.06	+2.6%
Gold	USD 3,166	+0.6%
BTC	USD 84,394	-1% (YTD: -10.6%)

THE CLOSING BELL-

The ADX fell 0.4% yesterday on turnover of AED 1.1 bn. The index is down 0.9% YTD.

In the green: Fujairah Cement Industries (+14.7%), Gulf Medical Projects (+8.3%) and Ras Al Khaimah Co. for White Cement and Construction Materials (+5.4%).

In the red: Taqa (-10%), Hayah Ins. (-8.2%) and RAK Ceramics (-4.7%).

Over on the DFM, the index rose 0.3% on turnover of AED 659.5 mn. Meanwhile, Nasdaq Dubai closed down 0.5%.

CORPORATE ACTIONS-

#1- Shuaa Capital’s board approved plans to increase the investment firm’s capital by issuing 1.1 bn new shares at a price of AED 0.32 per share, according to a DFM disclosure (pdf). The capital increase will amount to AED 359.5 mn, equivalent to the amount of bonds it issued to investors and noteholders over two tranches last month.

#2- Takaful Emarat has been upgraded to the second category on the Dubai Financial Market after the company cut its accumulated losses to less than 50% of its capital in 2024, according to a DFM statement. The company turned to the black last year, with a net income of AED 11.2 mn, up from a net loss of AED 12.4 mn in 2023, according to its financials (pdf).

CALENDAR

APRIL

6-11 April (Sunday-Friday): Geo-Spatial Week, Dubai.

7-8 April (Monday-Tuesday): The International Booksellers Conference, Expo Center Sharjah.

7-10 April (Monday-Thursday) : EFG Hermes One on One conference, Dubai.

7-9 April (Monday-Wednesday): AIM Investment Summit, Abu Dhabi National Exhibition Center.

7-9 April (Monday-Wednesday): Middle East Energy, Dubai World Trade Center.

7-9 April (Monday-Wednesday): World Local Production Forum, Abu Dhabi National Exhibition Center.

7-9 April (Monday-Wednesday): The Fujairah International Bunkering and Fuel Oil Forum, DoubleTree by Hilton Fujairah.

7-11 April (Monday-Friday): AWS GenAI Loft Dubai 2025, Dubai International Financial Centre (DIFC) Innovation One.

8 April (Tuesday): Allocations and refunds for Methaq Takaful’s rights issue on the ADX.

8-9 April (Tuesday-Wednesday): World Crisis and Emergency Management Summit, Abu Dhabi.

11-13 April (Friday-Sunday): I-Film Festival, Yas Creative Hub, Abu Dhabi.

12-13 April (Saturday-Sunday): Global Justice, Love & Peace Summit, Dubai Exhibition Centre, Expo City Dubai.

14-16 April (Monday-Wednesday): Dubai Woodshow, Dubai World Trade Center

14-16 April (Monday-Wednesday): IPS congress, Dubai World Trade Center.

14-26 April (Monday-Saturday): Solana Economic Zone, Dubai.

15-17 April (Tuesday-Thursday): The Abu Dhabi Global Health Week, Adnec center, Abu Dhabi.

15 April (Tuesday): The Global Islamic FinTech Forum, Dusit Thani Hotel, Dubai.

15 April (Tuesday): G42 to acquire USD 335 mn worth of shares in Cerebras.

16-17 April (Wednesday-Thursday): The FastBull Finance Summit, Coca Cola Arena, Dubai.

16-18 April (Wednesday-Friday): World Future Energy Summit,Abu Dhabi National Exhibition, Abu Dhabi.

21-25 April (Monday-Friday): The Dubai AI Week, Museum of the Future and Area 2071, Emirates Towers, Dubai.

22-24 April (Tuesday-Thursday): DOMOTEX Middle East, Dubai World Trade Center, Dubai.

22-24 April (Tuesday-Thursday): The International Conference on Education Quality,General Directorate of Identity and Foreigners Affairs Office, Dubai.

23-24 April (Wednesday-Thursday): Dubai AI Festival, Dubai International Financial Center.

25 April-11 May (Friday-Sunday): Dubai Esports and Games Festival, Dubai World Trade Center.

28 April-1 May (Monday-Thursday): The Arabian Travel Market, Dubai World Trade Center

28 April-2 May (Monday-Friday): The Annual Conference of the International Federation of Air Traffic Controllers’ Associations (IFATCA)

29 April (Monday): Deadline to send comments and feedback on the FSRA proposal.

Signposted to happen sometime in April:

Abu Dhabi Autonomous Racing League, Yas Marina Circuit in Abu Dhabi

MAY

5-6 May (Monday-Tuesday): The Governance of Emerging Technologies Summit (GETS 2025), St. Regis Saadiyat Island Resort, Abu Dhabi.

6-7 May (Tuesday-Wednesday): Global Ports Forum, Dubai.

6-7 May (Tuesday-Wednesday): US Federal Reserve’s Federal Open Market Committee meeting.

6-8 May (Tuesday-Thursday): Airport Show, Dubai World Trade Centre.

13-16 May (Tuesday-Friday): International Union for Health Promotion and Education Conference, Abu Dhabi.

13-14 May (Tuesday-Wednesday): The Annual HR Tech MENA, Dubai.

13-15 May (Tuesday-Thursday): Cabsat Middle East and Satellite Middle East, Dubai World Trade Center.

15 May (Thursday-Sunday): The Economy Middle East Summit, ADGM, Abu Dhabi.

15 May (Thursday): Dewa tender for pumping stations bids deadline.

15-18 May (Thursday-Sunday): The GLA Global Logistics Conference, Grand Hyatt Dubai.

16-18 May (Friday-Sunday): GISEC, Dubai World Trade Center.

19-22 May (Monday-Thursday): Make it in the Emirates, Adnec, Abu Dhabi.

20 May (Tuesday): Dubai Business Forum, Hamburg, Germany.

20-21 May (Tuesday-Wednesday): The International Real Estate Investment Summit (IREIS 2025), Al Hamra International Exhibition and Conference Centre in Ras Al Khaimah.

20-22 May (Tuesday-Thursday): Seamless Middle East, Dubai World Trade Center.

23-25 May (Friday-Sunday): EuroLeague Final Four, Etihad Arena, Abu Dhabi.

26-28 May (Monday-Wednesday): Arab Media Summit, World Trade Center, Dubai.

27-29 May (Tuesday-Thursday): INDEX, Workspace, and The Hotel Show, Dubai World Trade Center.

30 May (Friday): Arafat Day.

31 May-2 June (Saturday-Monday): Eid Al Adha.

JUNE

17-18 June (Tuesday-Wednesday): US Federal Reserve’s Federal Open Market Committee meeting.

24-25 June (Tuesday-Wednesday): Middle East Rail, Dubai World Trade Center.

27 June (Friday): Islamic New Year.

Signposted to happen sometime in 2H 2025:

Closing of XRG's acquisition of Covestro

JULY

6-7 July (Sunday-Monday): BRICS Summit, Rio de Janeiro.

29-30 July (Tuesday-Wednesday): US Federal Reserve’s Federal Open Market Committee meeting.

SEPTEMBER

8-10 September (Monday-Wednesday): DigiHealth exhibition, World Trade Center, Dubai.

12-14 September (Friday-Sunday): The International Real Estate and Investment Show, Abu Dhabi.

16-17 September (Tuesday-Wednesday): US Federal Reserve’s Federal Open Market Committee meeting.

24-25 September (Wednesday-Thursday): Mohammed Bin Rashid Leadership Forum, Mohammed Bin Rashid Center for Leadership Development, Dubai.

OCTOBER

3-16 October (Friday-Thursday): Dubai Home Festival.

7-9 October (Tuesday-Thursday): The International Symposium on the System of Radiological Protection, the Ritz-Carlton Abu Dhabi, Grand Canal.

9-15 October (Thursday-Wednesday): IUCN World Conservation Congress, Abu Dhabi.

27-29 October (Monday-Wednesday): Future Hospitality Summit, Madinat Jumeirah, Dubai.

27-29 October (Monday-Wednesday): Asia Pacific Cities Summit, Dubai Exhibition Center.

28-29 October (Tuesday-Wednesday): US Federal Reserve’s Federal Open Market Committee meeting.

NOVEMBER

15-17 November (Saturday-Monday): Myplant & Garden Middle East Green Expo, Dubai Exhibition Centre, Expo City.

17-21 November (Monday-Friday): Dubai Airshow 2025, Al Maktoum International Airport, Dubai.

18-19 November (Tuesday-Wednesday): Dubai Future Forum, Museum of the Future, Dubai.

DECEMBER

1-3 December (Monday-Wednesday): Eid Al Etihad (UAE National Day).

1-5 December (Monday-Friday): The World Congress of Neurosurgery, Dubai World Trade Center.

8-10 December (Monday-Wednesday): BRIDGE media summit, Abu Dhabi.

9-10 December (Tuesday-Wednesday): US Federal Reserve’s Federal Open Market Committee meeting.

Signposted to happen sometime in 2025:

The Middle East Electric Vehicle Show, Expo Center Sharjah.
e& will complete Adnoc’s private 5G network.
Executive Committee Meeting (EXCOM 2025) conference of the World Smart Sustainable Cities Organisation (WeGO)
The International Civil Aviation Organization’s Global Implementation Support Symposium, Abu Dhabi.
Universal Postal Congress 2025, Dubai.

Signposted to happen sometime in the fall of 2025:

2025 Games of the Future, Dubai.
ICOM General Conference 2025, Dubai

Signposted to happen sometime in 2026:

3-5 February (Tuesday-Thursday): The World Governments Summit.
12-15 February (Thursday-Sunday): The Society for Incentive Travel Excellence Global Conference, Abu Dhabi.
11-13 May (Monday-Wednesday): AI Everything Global, Adnec Center.
The UAE to host the Arab Competition Forum
Dubai to host the Arab Actuarial Conference
United Nations Water Conference 2026, UAE
9-11 January (Friday-Sunday): 1 Bn Followers Summit’s fourth edition, UAE

Signposted to happen sometime in 2027:

Abu Dhabi’s solar and battery energy facility, combining 5.2 GW of solar capacity and 19 GWh of battery storage, is set for commissioning.

Signposted to happen sometime between 2027 and 2029:

The commissioning of the seventh phase of Mohammed bin Rashid Al Maktoum Solar Park.

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