The U.S. Department of Commerce has reclassified the United Arab Emirates, moving it into a category that dramatically eases the flow of advanced technology.
The UAE is now in Country Group A:5 under the Strategic Trade Authorization program. This change removes the need for individual export licenses for a wide range of dual-use items, including high-end AI chips.
This policy shift builds on earlier approvals that allowed UAE firms G42 and HUMAIN to secure a deal for 35,000 Nvidia Blackwell GB300 chips, valued at about one billion dollars. Those transactions came with strict security conditions.
The move is a major win for Nvidia. The streamlined process eliminates a significant bureaucratic bottleneck for selling its chips in the region. The long-term goal discussed for the UAE is to receive the equivalent of 500,000 Nvidia AI chips annually.
A key project driving this demand is Stargate UAE, a planned five gigawatt AI campus in Abu Dhabi. That power capacity is comparable to five nuclear power plants dedicated solely to AI workloads.
The new designation is not without risk. The UAE must continue to meet strict U.S. safeguards to prevent the diversion of sensitive technology. Any failure to comply could lead to the reimposition of export restrictions.