Emirati companies pulled out of defense exhibition in Saudi Arabia amid escalating disputes between the two countries
A number of Emirati companies have pulled out of from a major defense exhibition hosted by Saudi Arabia, in a new sign of the escalating disputes between the two countries and their potential repercussions on commercial interests.
So far, however, there has been no comment from the UAE Foreign Ministry or the Saudi government’s media office on these developments.
Observers believe that the withdrawal of Emirati companies from a prominent annual defense event may signal that political differences between the two oil-producing countries extend to the areas of trade and investment.
Meanwhile, the conclusion of trade deals between the two sides hasn’t been significantly affected so far, but the atmosphere of tension has begun to reflect on the business community.
The World Defense Expo is scheduled to take place in the Saudi capital Riyadh from February 8 to 12, while it’s not yet clear whether the withdrawal will include all participating Emirati companies.
Last December, the differences between the two countries came to the fore in Yemen, when the UAE-backed Southern Transitional Council (STC) took control of large swathes of southern Yemen, leading to a rapid escalation in the form of a Saudi-led coalition raiding an Emirati-linked arms shipment at the port of Mukalla.
Although the UAE later withdrew all its forces from Yemen, it reportedly withdrew all its forces, tensions continued to rise, particularly with Saudi Arabia accusing the UAE of helping STC President Aidarous al Zubaidi flee through Somalia.
