Khalifa Economic Zones Abu Dhabi (KEZAD) Group, one of the largest operator of integrated and purpose-built economic zones in Abu Dhabi, UAE, has made significant strides in driving economic growth by forging partnerships with leading companies across various industries.
In 2024, KEZAD Group announced several groundbreaking deals, including collaborations with Green Metal Industries, Pharmatrade, Al Masaood Automobiles, Automotive Precision Technology (APT), Titan Lithium, and Gulf Biopolymers Industries.
These partnerships span across manufacturing and logistics sectors, aiming to bolster Abu Dhabi's position as a hub for sustainable development, innovation, and economic diversification.
The KEZAD Group has played a pivotal role in the UAE's industrial sector over the years, accounting for 55 per cent of the country's industrial area.
It has also had a substantial impact on Abu Dhabi's GDP, contributing to 74 per cent of its economic output.
Within the KEZAD Group, there are over 2,000 companies representing various industries such as metals, polymers, food processing, automotive, and logistics.
To meet the increasing demand for warehousing facilities, the KEZAD Group has initiated a development project with a total investment of AED 621 million. The plan aims to create more than 250,000 square meters of new warehousing capacity, which is expected to be operational by the end of 2025.
As part of the AD Ports Group's AED 15 billion capital expenditure plan, the KEZAD Group has allocated AED 330 million for the development of the Abu Dhabi Food Hub and Global Auto Hub - Abu Dhabi.
Additionally, infrastructure works worth AED 330 million are underway in KEZAD Al Ma'mourah's Area B1, in conjunction with other ongoing projects.
In addition to these initiatives, the KEZAD Group has recently broken ground on the integrated Metal Park project by Metal Park Investment. The Metal Park will cover an area of 450,000 square meters and provide companies with the flexibility to adapt to market demand without infrastructure constraints.
A $100M STEEL RECYCLING AND PRODUCTION FACILITY
KEZAD Group joined forces with UAE-based Green Metal Industries to establish a special steel recycling and production facility within KEZAD.
With an investment of AED367 million ($100 million), the plant will leverage cutting-edge recycling technologies to convert metal scrap into high-quality products for industrial applications.
The facility, spanning over 116,000 square metres in KEZAD Industrial Area, will serve as a catalyst for sustainable development and innovation in the construction industry across the GCC and the wider region.
The plant is expected to commence commercial production in Q1 2025, generating employment opportunities and stimulating economic growth.
Mohammed Noor, CEO of Green Metal Industries, said: “We are excited to embark on this journey with the establishment of our first production site in KEZAD. Our investment reaffirms our commitment to sustainability and innovation. Green Metal Industries is committed to working closely with local stakeholders, government agencies, and the community to ensure the successful implementation of the project. "
EXPANDING PHARMACEUTICAL LOGISTICS CAPABILITIES
KEZAD Group and Pharmatrade, a prominent player in the healthcare sector, announced the opening of Pharmatrade's Abu Dhabi Logistics Centre. This strategic move aims to enhance the storage and distribution of pharmaceutical and medical device products to serve the UAE's healthcare sector.
Pharmatrade's decision to invest in a logistics center in KEZAD stems from the company's expansion over the past 13 years.
KEZAD Logistics Park Phase 5, where the logistics center is located, offers temperature-controlled, Grade A industrial warehouse facilities with modern specifications, ensuring efficient logistics operations.
Konstantinos Petridis, Managing Partner of Pharmatrade, said: “Through our KEZAD Logistics Centre we will be fully covering the supply of pharmaceutical and medical device products to Abu Dhabi and Al Ain, for both government and private sector. We consider it our prime responsibility to provide our principals wide geographical coverage, rapid delivery, sufficient company stock, and competitive credit policy.”
SPARE PARTS LOGISTICS CENTRE
KEZAD Group partnered with Al Masaood Automobiles, a renowned automotive market player, to establish a spare parts logistics center within KEZAD Logistics Park Phase 5.
Al Masaood Automobiles, the sole distributor for Nissan, INFINITI, and Renault in Abu Dhabi, Al Ain, and Al Dhafra region, will utilise the 12,000 square metres of warehousing space to enhance its spare parts distribution capabilities.
This collaboration further strengthens Al Masaood Automobiles' extensive network of state-of-the-art service centers and spare parts outlets, contributing to the automotive industry's growth in Abu Dhabi.
Mohamed Al Khader Al Ahmed, CEO of KEZAD Group said: ““The mobility sector plays a crucial role in the Abu Dhabi economy, and seeing an established name like Al Masaood continuing to expand in this sector is an encouraging sign for the industry.”
AUTOMOTIVE ALUMINIUM COMPONENT MANUFACTURING FACILITY
KEZAD Group and Al Ghurair Group subsidiary, Automotive Precision Technology (APT), signed a lease agreement for a 30,000 square meter automotive aluminum component manufacturing facility in KEZAD.
Strategically located adjacent to Emirates Global Aluminium (EGA), one of the world's largest aluminum manufacturers, the facility is set to be operational by early 2025.
This partnership aligns with KEZAD's vision to foster innovation and collaboration within the automotive industry.
The facility will leverage the proximity to Emirates Global Aluminium and contribute to the growth of Abu Dhabi's automotive sector.
Al Ahmed said: “We welcome the APT facility to KEZAD, which strengthens our Metals and Automotive Ecosystem. KEZAD Group’s world-class facilities and infrastructure, including specialty corridors like the Hot Metal road, will allow molten aluminium to be transported to the APT facility from EGA, resulting in significant savings in financial cost as well as have a positive impact on the environment.”
ESTABLISHING A LITHIUM PROCESSING PLANT
KEZAD Group and UAE-based Titan Lithium signed a 50-year land lease agreement for the establishment of a state-of-the-art lithium processing plant in Khalifa Industrial Area.
With an investment of AED5 billion, the plant will produce battery-grade lithium carbonate and lithium hydroxide, catering to battery makers and electric vehicle manufacturers worldwide.
The plant's location adjacent to Khalifa Port will facilitate the import of approximately 150,000 tonnes of lithium annually from Titan Lithium's mines in Zimbabwe.
This landmark project positions Abu Dhabi as a key player in the global lithium processing market, supporting the transition to renewable energy sources and promoting sustainable solutions.
Vaibhav Jain, Founder and President of Titan Lithium Industries, said: “Our facility in KEZAD is not just an investment in the future of Abu Dhabi and Titan Lithium Industries, but a stride towards a sustainable and better future for the world. Lithium is the new oil, and through this project, we are positioning the UAE, and specifically Abu Dhabi, as a pivotal hub in the lithium processing domain.”
PIONEERING SUSTAINABLE POLYMER PRODUCTION
KEZAD Group welcomed Gulf Biopolymers Industries (GBI) to its ecosystem, as the first producer of biomass-based, recyclable, and biodegradable polymer in the Middle East.
GBI's state-of-the-art facility in KEZAD spans 135,000 square metres and has a production capacity of 30,000 metric tons per annum.
The facility focuses on manufacturing Poly Lactic Acid (PLA), a fully biodegradable material derived from renewable resources.
Harald Kroll, CEO Gulf Biopolymers Industries, said: “We are proud to announce the establishment of the first biopolymer plant in The MENA region. This project is a milestone for the reduction of fossil-based plastics and advancing the adoption of environmentally friendly PLA polymers. Together with our customers we are actively contributing to decarbonisation, advancing the circular economy, and creating a less polluted future for our planet. GBI is very much looking forward to closely collaborating with the KEZAD Group with the best fit for our project”.
GBI's presence in KEZAD aligns with the vision of promoting eco-friendly and technologically advanced business environments. This partnership underscores KEZAD's commitment to sustainable development and the advancement of biodegradable polymers.
With a focus on industries like steel recycling, pharmaceutical logistics, automotive manufacturing, lithium processing, and biodegradable polymers, KEZAD Group is driving forward Abu Dhabi's vision for a thriving and sustainable economy.