Announcement

The U.S. Department of Commerce, via a Federal Register posting on 10 July 2026, announced that it has relaxed export controls on the United Arab Emirates (UAE). The relaxation permits easier export of military items, certain commercial satellites and spacecraft, and grants UAE‑government‑approved companies access to advanced computing items without requiring licenses.

Companies Affected

Under the new rules, UAE‑based firms G42 and Core42, together with U.S. companies operating in the UAE—Amazon (NASDAQ: AMZN), Apple (NASDAQ: AAPL) and the artificial‑intelligence start‑up xAI—are no longer required to obtain licences for AI chips and server equipment.

Strategic Context

The posting notes that the United States has collaborated with the UAE for decades to counter Iran and its proxies, including Hamas, Hezbollah and the Houthis. It also references the UAE’s role in “Operation Epic Fury,” the U.S.–Israeli strikes on Iran that began in February 2026.

Economic Significance

The Commerce Department highlighted that the UAE is the largest U.S. trading partner in the Middle East, with foreign direct investment in the United States valued at over $1 trillion.

Regulatory Change

The new regulation moves the UAE into a special country grouping that allows broader licence exceptions for military and dual‑use items controlled by the Commerce Department. Within this grouping, the UAE will be the only nation that is not a member of any multilateral export‑control regime; other members include NATO countries and other U.S. allies.

Additional Information

The article was generated with AI assistance and reviewed by an editor, with further details available in the Federal Register and the Reuters source.