Including MDI and Polyols! UAE's $10 Billion Chemical Production Project Signed

• TA'ZIZ and Alpha Dhabi sign strategic cooperation agreement to invest $10 billion in new chemical projects in the UAE

• The agreement supports the UAE's industrial strategy and the "Make it in the Emirates" initiative

• The collaboration aims to produce up to 14 industrial chemicals, adding approximately 2.2 million tons/year of capacity to the TA'ZIZ chemical project

• New chemicals will be based on domestic demand, supporting import substitution and enhancing local supply chain resilience

May 6, 2026 – TA'ZIZ and Alpha Dhabi Holding announced at the "Make it in the Emirates" event a strategic cooperation agreement to invest approximately $10 billion (AED 36.7 billion) in new chemical production capacity at the TA'ZIZ Chemicals Project in the Ruwais Industrial City, Al Dhafra region, Abu Dhabi. The two parties are advancing joint feasibility studies and market research in line with the UAE's industrial strategy and the "Make it in the Emirates" initiative to implement this strategic cooperation.

The signing ceremony took place at the "Make it in the Emirates" event, witnessed by Sultan Ahmed Al Jaber, UAE Minister of Industry and Advanced Technology and Managing Director and Group CEO of ADNOC; Mohamed Ghannam Alrumaithi, Chairman of Alpha Dhabi Holding; and Syed Basar Shueb, CEO and Managing Director of International Holding Company (IHC). The agreement was signed by Mashal Saoud Al-Kindi, CEO of TA'ZIZ, and Hamad Al Ameri, Managing Director and Group CEO of Alpha Dhabi Holding.

Subject to final investment decisions and regulatory approvals, the collaboration is expected to produce up to 14 new chemicals, adding approximately 2.2 million tons/year of chemical production capacity to the TA'ZIZ Chemicals Project in the Ruwais Industrial City, Al Dhafra region, Abu Dhabi. These proposed chemicals are widely used in construction, automotive, packaging, consumer goods, infrastructure, and advanced manufacturing, benefiting from strong domestic demand and favorable long-term growth fundamentals.

New Chemical Capacity Details

The new chemicals include styrene and polystyrene, acrylic acid and its derivatives, polyols, MDI (methylene diphenyl diisocyanate), epoxy resins, and linear alpha olefins, among others.

These products are based on domestic demand and are expected to replace key products currently imported into the UAE, while enhancing local supply chain resilience. The collaboration supports the UAE's national industrial priorities, including the "Make it in the Emirates" initiative and the national industrial strategy, by strengthening local manufacturing capabilities and increasing self-sufficiency in strategically important chemicals.

"TA'ZIZ's strategic partnership with Alpha Dhabi Holding has great potential to expand TA'ZIZ's mission to drive industrial growth, achieve import substitution, and create new economic opportunities in the UAE," said Mashal Saoud Al-Kindi, CEO of TA'ZIZ. "We look forward to working with our partners to rapidly advance joint studies and unlock the industrial and economic potential of these new chemicals."

"The partnership with TA'ZIZ reflects our commitment to investing in strategic, future-facing industrial platforms that support the UAE's economic transformation," said Hamad Al Ameri, Managing Director and Group CEO of Alpha Dhabi Holding. "These proposed chemical derivatives will strengthen local manufacturing, unlock export opportunities, and create sustainable long-term value."

The new chemical production will be deeply integrated with the TA'ZIZ and broader ADNOC ecosystem, leveraging synergies in feedstock sourcing, utilities, infrastructure, and facility integration to enhance overall competitiveness and capital efficiency. The collaboration demonstrates how the UAE continues to build and advance chemical production capabilities on the "Make it in the Emirates" platform, strengthening local manufacturing strength and global competitiveness.

The proposed new chemicals will be built on top of TA'ZIZ's world-class production portfolio, whose first phase is expected to achieve 4.7 million tons/year of marketable products by the end of 2028, including low-carbon ammonia, methanol, and polyvinyl chloride (PVC).

About the TA'ZIZ Chemical Production Project

TA'ZIZ is a joint venture established in 2020 between ADNOC (Abu Dhabi National Oil Company), which holds a majority stake, and Alpha Dhabi Holding.

TA'ZIZ is a strategic platform led by ADNOC to extend its downstream value chain. Through TA'ZIZ, ADNOC converts its own produced feedstocks (such as naphtha, ethane, etc.) into high-value chemicals (such as chlor-alkali, PVC, methanol, etc.), while bringing in international partners to co-invest in specific projects.

For ADNOC, this is a core pillar in achieving its target of over 15 million tons/year of downstream chemical capacity by 2030.