UAE and France Forge Deeper Defence Alliance with Advanced Rafale F5 Deal Amidst Geopolitical Tensions

The United Arab Emirates and France are significantly deepening their defence co-operation through a series of agreements aimed at strengthening ties amidst prevailing geopolitical uncertainty, particularly influenced by the ongoing Iran war. A key highlight of this enhanced partnership is an intergovernmental agreement for co-operation on the Dassault Rafale F5 standard, integrated into both the French and Emirati Rafale programmes. This development occurred during the visit of French President Emmanuel Macron to Abu Dhabi.

Beyond the Rafale F5, the agreements encompass detailed technical and financial specifications for industrial co-operation concerning the future of combat aviation, underscoring the mutual commitment to advancing defence capabilities. France is actively seeking to solidify its relationship with the UAE ahead of a significant investment event scheduled in Paris.

Another crucial aspect of the burgeoning partnership is an agreement focused on strategic autonomy in defence and reducing reliance on third-party nations, solidifying a robust strategic defence partnership between the two countries. These accords arrive as the UAE, the second-largest economy in the Arab world, intensifies its efforts in localising defence manufacturing. This initiative is spearheaded by Edge Group, a prominent defence conglomerate comprising over 35 companies. Edge Group has notably played a vital role in countering Iranian drone threats directed at the UAE during the recent conflict.

During his visit, President Macron toured an Edge Group industrial facility. Established in 2019, Edge Group specializes in cutting-edge technology for weapons systems, cyber protection, and electronic warfare. The group actively nurtures industrial partnerships with French companies and recently formalized a co-operation agreement with the French Defence Procurement Agency. The Elysee Palace stated that President Macron's visit "reflects a shared commitment to strengthening industrial and technological co-operation and developing joint projects." Furthermore, the French Defence Ministry and its UAE counterpart signed an agreement to enhance interoperability between their armed forces, bolster industrial resilience, and advance collaboration in future-oriented technologies, including artificial intelligence and space exploration.

These agreements coincide with Abu Dhabi's preparations to host the International Defence Exhibition and Conference (Idex) in January, an event anticipated to draw numerous global defence companies showcasing their latest high-tech weaponry. Following his UAE visit, President Macron proceeded to Bahrain, where French Foreign Minister Jean-Noel Barrot and his Bahraini counterpart, Abdullatif Al Zayani, agreed to enhance co-operation on the "peaceful uses of nuclear energy." France and Bahrain had previously signed a defence co-operation agreement in February. Both the UAE and Bahrain received French support, including air defence and anti-drone assets, during recent Iranian attacks. France has also collaborated with Bahrain at the UN Security Council to address Iran's blockade of the Strait of Hormuz.

In parallel with defence advancements, the UAE and France are expanding their collaboration in energy, AI, and advanced technology, aiming to strengthen investment and economic ties. Preliminary agreements in these sectors were signed in Abu Dhabi in the presence of Sheikh Khaled bin Mohamed, Crown Prince of Abu Dhabi, and President Macron.

Specifically in AI and advanced technology, three agreements were established with France's AI start-up AMI Labs to foster research and technological co-operation and explore new applications across various key sectors. These collaborations involve Mohamed bin Zayed University of Artificial Intelligence (MBZUAI), Abu Dhabi's G42, and the computing company Analog. MBZUAI will focus on enhancing AI research and development with AMI Labs, while G42 intends to create a framework for strategic co-operation in cloud computing infrastructure and AI models. Analog's agreement with AMI Labs aims to identify opportunities for integrating AI models into robotics and physical AI applications, thereby opening new avenues for developing intelligent systems and broadening their application in industrial and technology sectors.

The energy sector will also see increased co-operation, with Adnoc Gas and Schneider Electric signing an initial pact to evaluate advanced technologies and pinpoint opportunities for improving operational efficiency and energy system performance. Adnoc Refining and Technip Energies have entered into two contracts related to a refining capacity enhancement project and a sustainable aviation fuel project.

During his address at the UAE-France Business Dialogue in Abu Dhabi, Sheikh Khaled emphasized the significance of bilateral co-operation in ensuring stable energy supplies and building resilient supply chains amidst global economic shifts. The UAE and France maintain strong economic connections, with over 600 French businesses operating in the UAE and annual exports from France to the UAE valued at $4 billion. UAE investments in France are also on the rise, exemplified by Gulf Islamic Investments' $301 million investment in Altais Towers in 2021 and Abu Dhabi's Mubadala Investment Company's commitment to invest €1 billion ($1.12 billion) in the €10 billion LAC1 Fund managed by Bpifrance.