Industrial City of Abu Dhabi: UAE’s Manufacturing Hub

Jul 2, 2025 - 21:08
 1
Industrial City of Abu Dhabi: UAE’s Manufacturing Hub

The Industrial City of Abu Dhabi (ICAD) is one of the most important industrial zones in the United Arab Emirates. Strategically developed to diversify the country’s economy beyond oil, ICAD plays a pivotal role in driving Abu Dhabi’s industrial and manufacturing growth. Located just outside the capital city, this economic zone is home to hundreds of companies across sectors like steel, engineering, chemicals, logistics, and food processing.

In this article, we’ll take a closer look at the Industrial City of Abu Dhabi, its zones, key industries, infrastructure, and its role in supporting the UAE’s long-term economic vision.


What Is the Industrial City of Abu Dhabi (ICAD)?

The Industrial City of Abu Dhabi, often abbreviated as ICAD, is a cluster of industrial zones developed and managed by ZonesCorp, a subsidiary of Abu Dhabi’s Department of Economic Development (DED). It was created to encourage private-sector investment in industrial manufacturing and logistics, offering world-class infrastructure and business support services.

Spanning more than 40 square kilometers, ICAD has become the preferred base for both local and international companies seeking access to Gulf, African, Asian, and European markets.


Location and Connectivity

ICAD is located in Mussafah, a prominent industrial area about 30 kilometers south of central Abu Dhabi and easily accessible via E30 and E11 highways. Its proximity to Abu Dhabi International Airport, Khalifa Port, and the Etihad Rail network makes it a logistics-friendly hub for import and export operations.

This connectivity enhances its strategic importance for companies seeking smooth supply chain and transport solutions.


ICAD Zones: Tailored for Diverse Industries

The Industrial City of Abu Dhabi is divided into several zones, each focusing on different sectors:


1. ICAD I

  • Caters to heavy industries

  • Hosts steel manufacturing, engineering, and metal fabrication companies

  • Large plot sizes and high-load infrastructure

2. ICAD II

  • Designed for medium to light industries

  • Sectors include automotive, plastics, chemicals, and construction materials

  • Close to residential and labor camps

3. ICAD III

  • Focus on clean industries

  • Home to advanced manufacturing, food processing, and technology firms

  • Supports eco-friendly practices


Each ICAD zone is supported by essential infrastructure, including power, water, waste treatment, labor accommodations, and telecommunications.


Key Industries in the Industrial City of Abu Dhabi

The Industrial City of Abu Dhabi supports a wide range of industries that are vital to the UAE’s economic diversification strategy:


1. Steel and Metal Fabrication

ICAD is home to some of the UAE’s largest steel manufacturers, including Emirates Steel. These facilities produce structural steel, rebar, pipes, and metal sheets used in construction across the region.

2. Oil & Gas Equipment Manufacturing

Firms in ICAD manufacture valves, tanks, pipelines, and components for the oil & gas and petrochemical sectors, supporting both local and international energy companies.

3. Food and Beverage Processing

Several food manufacturers operate in ICAD, producing packaged goods, dairy, beverages, and frozen foods for UAE and export markets.

4. Chemical and Plastic Industries

From plastic packaging to industrial chemicals, ICAD provides space for chemical production with strict safety and environmental regulations.

5. Logistics and Warehousing

The industrial city features temperature-controlled storage, freight facilities, and logistics service providers that manage supply chains efficiently.


Major Companies Based in ICAD

ICAD houses more than 300 companies, ranging from regional giants to global multinationals. Some notable names include:

  • Emirates Steel

  • SENAAT

  • Hilalco

  • Al Masaood

  • Al Gharbia Pipe Company

  • Nael Cement Products

  • IFFCO Food Industries

These firms benefit from tax incentives, long-term leases, and streamlined regulatory approvals within the ICAD ecosystem.


Benefits of Setting Up in ICAD

ICAD offers numerous advantages for investors and industrial businesses:


1. Strategic Location

Located near seaports, airports, and highways, ICAD ensures smooth logistics and distribution across the UAE and Gulf region.

2. World-Class Infrastructure

Companies benefit from access to power, gas, water, roads, drainage, waste disposal, and high-speed internet—all built to industrial standards.

3. Business-Friendly Environment

  • Quick licensing process via ZonesCorp

  • Long-term land leasing at competitive rates

  • Skilled labor availability from nearby labor camps

  • Facilities for storage, manufacturing, and administration

4. Customizable Plots

Plots are available in various sizes and can be tailored to the specific needs of manufacturing or storage businesses.


ICAD and the UAE’s Vision 2030

The UAE’s Vision 2030 aims to create a knowledge-based, diversified economy. The Industrial City of Abu Dhabi plays a vital role in this plan by:

  • Attracting foreign direct investment (FDI)

  • Promoting non-oil exports

  • Creating employment for UAE nationals and expatriates

  • Supporting local SMEs and innovation

As the UAE shifts towards a future driven by technology and sustainability, ICAD is evolving to include advanced manufacturing, renewable energy, and green industries.


Worker Accommodations and Facilities

ICAD offers purpose-built labor accommodations for companies needing workforce housing. These facilities include:

  • Secure housing blocks

  • Dining halls and kitchens

  • Medical clinics

  • Mosques and recreational areas

By ensuring well-managed accommodations, ICAD supports social responsibility and compliance with labor laws.


Sustainable Development and ICAD

Environmental responsibility is a core part of ICAD’s expansion strategy. Through:

  • Effluent treatment plants

  • Waste recycling systems

  • Emission control guidelines

ICAD encourages industries to reduce their carbon footprint while maintaining productivity.


Who Should Consider ICAD?

ICAD is ideal for:

  • Heavy manufacturers needing large industrial plots

  • Medium-scale businesses seeking affordable infrastructure

  • Export-focused companies requiring logistics access

  • International investors looking to enter the Gulf market

From food processing to heavy engineering, ICAD serves as a one-stop industrial solution.


Final Thoughts

The Industrial City of Abu Dhabi is more than just a manufacturing zone—it’s a symbol of the UAE’s economic transformation. With world-class infrastructure, government support, and strategic positioning, ICAD continues to attract global businesses and play a crucial role in shaping Abu Dhabi’s industrial landscape.

For companies seeking growth in the Middle East, ICAD offers unmatched potential, innovation, and connectivity. Whether you're a startup, an SME, or a multinational, ICAD could be your gateway to success in the UAE.