UAE Suspends Trade With Iran Amid Rising Gulf Tensions After Missile Claims

The UAE has suspended all trade, commercial exchanges and financial transactions with Iran amid escalating regional tensions and missile-related security concerns.

Post Published By: Sreeja Chowdhury
Updated : 19 August 2026, 5:15 AM IST
google-preferred

Dubai: The United Arab Emirates has suspended all trade activities, commercial exchanges, and financial transactions with Iran amid growing regional tensions and concerns over threats to regional and international security.

UAE Foreign Ministry communications director Afra Al Hameli announced that the measures would remain in effect “until further notice.” She also rejected claims regarding the current status of economic relations between the two countries.

The announcement came shortly after the UAE accused Iran of launching two ballistic missiles toward the Gulf region, stating that the missiles were aimed at maritime navigation.

UAE Cites Security Concerns

Al Hameli said that all trade, commercial dealings, and financial transactions with Iran had been halted, while emphasising that the UAE remains committed to dialogue, cooperation, and regional stability.

She added that the UAE would continue efforts to protect the integrity of the international financial system in accordance with international law and global standards.

Earlier, the UAE Ministry of Defence said its air defence systems detected two ballistic missiles launched from Iran. According to the ministry, one missile fell outside UAE territorial waters, while the other landed within UAE waters.

A later assessment stated that both missiles were targeting maritime navigation and eventually fell into the sea.

“Assessments showed that the two ballistic missiles detected from Iran were targeting maritime navigation and fell into the sea,” the ministry said.

Iran has not immediately responded to the UAE’s allegations. However, Tehran has previously warned that the Strait of Hormuz would remain closed until a peace agreement is reached with the United States.

The Strait of Hormuz is a strategically important waterway used for shipping from UAE ports and across the wider Gulf region.

The latest development marks a significant rise in tensions between the UAE and Iran. Following the beginning of the Middle East conflict on February 28, the UAE claimed it had faced nearly 3,000 Iranian missiles and drones, more than any other country in the region.

The UAE later reported that no further attacks occurred after a memorandum of understanding came into effect in June. However, the agreement has since expired, while other Gulf nations continue to report security incidents.

Location :  New Delhi

Published :  19 August 2026, 5:15 AM IST

Advertisement