The US is pressing its case against the Chinese telecoms manufacturer Huawei as part of a diplomatic offensive that has seen a top American official tour 16 nations in the Middle East and Europe.
Speaking at a roundtable on Wednesday from Washington, Keith Krach, US undersecretary of state for economic growth, energy and environment, said the US is determined to promote 5G security and its Clean Network programme, taking a swipe at Huawei and its Chinese counterpart ZTE.
The Clean Network Initiative is "the Trump Administration’s comprehensive approach to safeguarding the nation’s assets including citizens’ privacy and companies’ most sensitive information from aggressive intrusions by malign actors, such as the Chinese Communist Party", according to the US State Department. It was rolled out in August by US Secretary of State Mike Pompeo.
“This programme addresses the long-term threat to data privacy, security and human rights … it is rooted in internationally accepted digital trust standards and built on a coalition of trusted partners and based on rapidly changing technology and economics of global markets,” said Mr Krach, who flew back to Washington after meeting officials in Abu Dhabi on Monday.
The Clean Network programme fits well with the UAE’s vision of “secure and forward-looking economy”, he said.
“It [the programme] is critical for the UAE to drive private sector investment from the US and other nations.”
More than 45 countries, 70 telcos and companies such as Fujitsu, Telefonica, Taiwan Mobile, Softbank, VMWare and Reliance Jio have extended their support to the programme, Mr Krach said.
“The momentum is growing and more members are adding. We want to ensure that [companies’] confidential data, proprietary technology and intellectual property rights are protected,” he added.
“At the start of the year, Huawei had around 90 5G contracts but slowly its deals with telecoms operators around the world are evaporating … countries are only allowing trusted vendors in their 5G networks,” he said.
Washington is aggressively lobbying its allies to exclude Huawei’s equipment from their core 5G networks. The Shenzhen-headquartered company has already been hit with trade sanctions by the US that are also affecting its global smartphone business.
Huawei has repeatedly denied links to the Chinese government, stating that it is "a private company, owned solely by our employees".
"No third parties hold any shares in the company, and that includes the Chinese government," the company says on Huawei Facts – a website the company set up to dispel claims about its operations.
It also denies allegations of intellectual property theft, saying it has more than 85,000 patents in informational and communications technology.
"Since 2001, Huawei has paid more than $6 billion to license IP from third parties, 80 percent of which was paid to US companies," it says.
Currently, five large vendors – Ericsson, Huawei, Nokia, ZTE and Samsung – are supplying 5G radio network equipment such as base stations of core networks to telecom operators worldwide.
A 5G network promises an internet speed of up to 1.2 gigabits per second, which will gradually reach 10Gbps – more than 100 times faster than 4G.
At a cost of $700bn to $900bn, the initial installations of 5G will cover only 25 per cent of the world's population by 2030, or about 2 billion people, according to McKinsey.
The consultancy predicts coverage will be focused largely in wealthy and developed areas in the US, Europe and China.
The US sees the Emirates as an apt destination for 5G investments that will form the backbone of future economies and public services.
The signing of the historic Abraham Accord to normalise relations with Israel is a step towards a secure, stable and prosperous region, Mr Krach said.
“The UAE is a perfect global hub for companies looking forward to expand. It is the real crossroads of the world and has tremendous infrastructure and great human capital,” said Mr Krach.
The National Archives, Abu Dhabi
Founded over 50 years ago, the National Archives collects valuable historical material relating to the UAE, and is the oldest and richest archive relating to the Arabian Gulf.
Much of the material can be viewed on line at the Arabian Gulf Digital Archive - https://www.agda.ae/en
Our legal consultant
Name: Hassan Mohsen Elhais
Position: legal consultant with Al Rowaad Advocates and Legal Consultants.
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Starring: Vijay, Sneha, Prashanth, Prabhu Deva, Mohan
UPI facts
More than 2.2 million Indian tourists arrived in UAE in 2023
More than 3.5 million Indians reside in UAE
Indian tourists can make purchases in UAE using rupee accounts in India through QR-code-based UPI real-time payment systems
Indian residents in UAE can use their non-resident NRO and NRE accounts held in Indian banks linked to a UAE mobile number for UPI transactions
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Director: James Cameron
Starring: Sam Worthington, Sigourney Weaver, Zoe Saldana
Rating: 4.5/5
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Starring: Brad Pitt, Damson Idris, Kerry Condon, Javier Bardem
Director: Joseph Kosinski
Rating: 4/5
Ten tax points to be aware of in 2026
1. Domestic VAT refund amendments: request your refund within five years
If a business does not apply for the refund on time, they lose their credit.
2. E-invoicing in the UAE
Businesses should continue preparing for the implementation of e-invoicing in the UAE, with 2026 a preparation and transition period ahead of phased mandatory adoption.
3. More tax audits
Tax authorities are increasingly using data already available across multiple filings to identify audit risks.
4. More beneficial VAT and excise tax penalty regime
Tax disputes are expected to become more frequent and more structured, with clearer administrative objection and appeal processes. The UAE has adopted a new penalty regime for VAT and excise disputes, which now mirrors the penalty regime for corporate tax.
5. Greater emphasis on statutory audit
There is a greater need for the accuracy of financial statements. The International Financial Reporting Standards standards need to be strictly adhered to and, as a result, the quality of the audits will need to increase.
6. Further transfer pricing enforcement
Transfer pricing enforcement, which refers to the practice of establishing prices for internal transactions between related entities, is expected to broaden in scope. The UAE will shortly open the possibility to negotiate advance pricing agreements, or essentially rulings for transfer pricing purposes.
7. Limited time periods for audits
Recent amendments also introduce a default five-year limitation period for tax audits and assessments, subject to specific statutory exceptions. While the standard audit and assessment period is five years, this may be extended to up to 15 years in cases involving fraud or tax evasion.
8. Pillar 2 implementation
Many multinational groups will begin to feel the practical effect of the Domestic Minimum Top-Up Tax (DMTT), the UAE's implementation of the OECD’s global minimum tax under Pillar 2. While the rules apply for financial years starting on or after January 1, 2025, it is 2026 that marks the transition to an operational phase.
9. Reduced compliance obligations for imported goods and services
Businesses that apply the reverse-charge mechanism for VAT purposes in the UAE may benefit from reduced compliance obligations.
10. Substance and CbC reporting focus
Tax authorities are expected to continue strengthening the enforcement of economic substance and Country-by-Country (CbC) reporting frameworks. In the UAE, these regimes are increasingly being used as risk-assessment tools, providing tax authorities with a comprehensive view of multinational groups’ global footprints and enabling them to assess whether profits are aligned with real economic activity.
Contributed by Thomas Vanhee and Hend Rashwan, Aurifer
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Ruwais timeline
1971 Abu Dhabi National Oil Company established
1980 Ruwais Housing Complex built, located 10 kilometres away from industrial plants
1982 120,000 bpd capacity Ruwais refinery complex officially inaugurated by the founder of the UAE Sheikh Zayed
1984 Second phase of Ruwais Housing Complex built. Today the 7,000-unit complex houses some 24,000 people.
1985 The refinery is expanded with the commissioning of a 27,000 b/d hydro cracker complex
2009 Plans announced to build $1.2 billion fertilizer plant in Ruwais, producing urea
2010 Adnoc awards $10bn contracts for expansion of Ruwais refinery, to double capacity from 415,000 bpd
2014 Ruwais 261-outlet shopping mall opens
2014 Production starts at newly expanded Ruwais refinery, providing jet fuel and diesel and allowing the UAE to be self-sufficient for petrol supplies
2014 Etihad Rail begins transportation of sulphur from Shah and Habshan to Ruwais for export
2017 Aldar Academies to operate Adnoc’s schools including in Ruwais from September. Eight schools operate in total within the housing complex.
2018 Adnoc announces plans to invest $3.1 billion on upgrading its Ruwais refinery
2018 NMC Healthcare selected to manage operations of Ruwais Hospital
2018 Adnoc announces new downstream strategy at event in Abu Dhabi on May 13
Source: The National
The Programme
Saturday, October 26: ‘The Time That Remains’ (2009) by Elia Suleiman
Saturday, November 2: ‘Beginners’ (2010) by Mike Mills
Saturday, November 16: ‘Finding Vivian Maier’ (2013) by John Maloof and Charlie Siskel
Tuesday, November 26: ‘All the President’s Men’ (1976) by Alan J Pakula
Saturday, December 7: ‘Timbuktu’ (2014) by Abderrahmane Sissako
Saturday, December 21: ‘Rams’ (2015) by Grimur Hakonarson
How to apply for a drone permit
- Individuals must register on UAE Drone app or website using their UAE Pass
- Add all their personal details, including name, nationality, passport number, Emiratis ID, email and phone number
- Upload the training certificate from a centre accredited by the GCAA
- Submit their request
What are the regulations?
- Fly it within visual line of sight
- Never over populated areas
- Ensure maximum flying height of 400 feet (122 metres) above ground level is not crossed
- Users must avoid flying over restricted areas listed on the UAE Drone app
- Only fly the drone during the day, and never at night
- Should have a live feed of the drone flight
- Drones must weigh 5 kg or less
EPL's youngest
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