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Aileen Chuang

Chinese firms are increasingly anchoring themselves in Dubai’s free trade zones to navigate trade barriers and tap new markets as rising protectionism and supply-chain shifts impact global commerce.
Jebel Ali Free Zone (Jafza), state-owned DP World’s flagship free economic zone at the western end of the city in the United Arab Emirates, hosted 507 Chinese companies as of November, nearly double the number in 2021.
The trend reflected how a Middle Eastern hub offered companies “neutral, stable and well-connected bases to operate across East-West corridors” in a slowing global trade environment marked by rising protectionism, said Abdulla Al Hashmi, chief operating officer of parks and zones at DP World in the Gulf Cooperation Council (GCC).
“By combining ports, free zones and logistics parks, we support nearshoring and diversification, a model now being replicated in India, Africa and Europe.”
As supply chains diversified, businesses manufactured in China or Southeast Asian countries, added value through free zones and exported through the Gulf to strengthen resilience and improve lead times, Al Hashmi said.

Jafza hosts nearly 12,000 companies, serving as a re-export and value-add hub, and many Chinese firms have chosen it as their regional headquarters and assembly base.
JD.com operated five logistics assets in Jafza, the first stop and long-term regional base for the Chinese e-commerce giant’s operations in the Middle East, according to the firm’s regional CEO Feng Guo. This year, the firm’s property development arm, Jingdong Property, acquired two of these assets totalling 110,000 square metres.
“The Middle East holds a pivotal role in our global infrastructure network,” Guo told the Post. “To meet the overwhelming demand from our 8 million corporate customers worldwide, we plan to continue expanding our asset portfolio in Jafza.”
China National Building Material Group (CNBM), which started operations in Jafza in 2010, viewed the facilities in the Dubai free zone as critical for serving its clients in the Middle East and Africa while sourcing suppliers and buyers, according to Li Weifeng, managing director at CNBM UAE.
Additionally, Chinese carmakers Legend Motors and Lifan used Dubai as an export base to assemble vehicles for over 80 global markets, according to Al Hashmi.
Jebel Ali Port connects to more than 180 shipping lines and 150 ports, handling around 15.5 million 20-foot equivalent units, making it the ninth-busiest container port in the world. These provided significant consolidation and transshipment scale, helping businesses reach more than 3 billion consumers in the region, Al Hashmi added.
“For us, the collaboration with DP World significantly strengthens the GCC’s connectivity and logistics infrastructure, creating a foundation for a new era of intelligent supply chains,” said JD.com’s Guo.
This partnership opened several key opportunities, including developing high-efficiency logistics hubs and bonded warehouses for cross-border trade, and integrating smart technologies to enhance cost efficiency and delivery speed, which aligned with JD.com’s vision of building a seamless Asia-Middle East logistics corridor, he said.
“The enhanced ecosystem will also attract global brands and Chinese enterprises to establish regional distribution and fulfilment centres in the GCC, positioning the region as a strategic gateway between Asia, Africa and Europe,” Guo added.
“China and the UAE are now in the best period of relations,” said CNBM’s Li, highlighting the benefits such ties bring to the business.
China emerged as the Gulf’s largest trade partner, with Gulf-China commerce reaching US$257 billion in 2024 – surpassing flows with Western countries by US$1 billion, according to a recent report by London-based think tank Asia House. That lead is expected to widen to US$75 billion by 2028, when Gulf-China trade is projected to reach US$375 billion.
The increase also aligns with the broader Gulf-Asia trade rise, which is expected to exceed US$800 billion by 2030, potentially surpassing flows with advanced economies by 2028.
“The corridor combines Asia’s manufacturing strength and the Gulf’s capital, logistics and market access, supporting nearshoring, advanced manufacturing and regional distribution,” said Al Hashmi.
Evolving regional economic partnerships would also open new opportunities in digital trade, renewable energy and green technology, he said.
Al Hashmi identified key challenges, including regulatory differences across GCC, China and the Association of Southeast Asian Nations, gaps in digital and customs interoperability, and uneven infrastructure readiness. “Progress in these areas will unlock the corridor’s full potential,” he said.


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JD.com, CNBM, carmakers and hundreds of other Chinese companies use the hub to reach consumers across Asia, Africa and Europe


JD.com, CNBM, carmakers and hundreds of other Chinese companies use the hub to reach consumers across Asia, Africa and Europe.


Chinese firms anchor in Dubai free zones to navigate trade barriers and expand reach

.css-1c6uqr6{color:inherit;font-weight:inherit;font-size:inherit;font-family:inherit;line-height:inherit;overflow-wrap:break-word;}JD.com, CNBM, carmakers and hundreds of other Chinese companies use the hub to reach consumers across Asia, Africa and Europe

JD.com, CNBM, carmakers and hundreds of other Chinese companies use the hub to reach consumers across Asia, Africa and Europe