UAE Businesses Adapt to Hormuz Blockade, Expect Recovery Within 6 Months
Updated
Updated · The National · Jun 18
UAE Businesses Adapt to Hormuz Blockade, Expect Recovery Within 6 Months
3 articles · Updated · The National · Jun 18
Summary
UAE business owners say they remain confident the economy will emerge stronger from the Iran war, with one executive predicting conditions will normalize within six months.
The Strait of Hormuz blockade has disrupted supply chains, raised costs and hit hospitality, tourism and manufacturing particularly hard across the UAE.
Businesses are responding by shifting to virtual trade conferences, promoting staycation deals and diversifying operations instead of waiting for full stability.
Some firms have cut executive pay or placed staff on extended leave rather than make layoffs, echoing survival strategies used after the 2008 crisis and Covid-19.