John Rakolta Jr is the first political appointee to become ambassador to the UAE, a position that is usually reserved for career diplomats.
John Rakolta Jr is the first political appointee to become ambassador to the UAE, a position that is usually reserved for career diplomats.
John Rakolta Jr is the first political appointee to become ambassador to the UAE, a position that is usually reserved for career diplomats.
John Rakolta Jr is the first political appointee to become ambassador to the UAE, a position that is usually reserved for career diplomats.

UAE-US relationship will survive any challenge, says new ambassador


Kelsey Warner
  • English
  • Arabic

The UAE's relationship with the US will survive any challenge "from the outside", the new ambassador said on Monday.

John Rakolta, the US ambassador to the UAE, made his first public comments, on the sidelines of the Abu Dhabi International Petroleum Exhibition & Conference, since taking up the position on October 27.

He also said US President Donald Trump's administration is committed to “a political solution” to ease tensions with Iran.

“I have met with many of the leaders here and they have made it very clear to me that A, they are 100 per cent in support of a maximum pressure campaign [with Iran]; B, they don’t want to see violence resolve this; and C, a political solution — negotiation — is the only way going forward,” said Mr Rakolta.

The US, now the world’s largest oil producer, has the largest presence at Adipec, an annual four-day energy event, with 108 American companies in attendance.

On top of the agenda at Adipec, which attracts the top brass from the biggest oil and gas companies worldwide to the capital, is grappling with geopolitical uncertainty that is affecting energy prices.

“We are working very closely with the UAE to try to convince Iran that the only solution is a political solution,” said Mr Rakolta. “The president of the United States has made that abundantly clear over and over and over again that the only solution is a political solution. There is no place for violence here in the Middle East, it has to stop.”

The US ambassador post was vacant for 18 months since Barbara Leaf left in 2018. Mr Rakolta, 71, is the first political appointee to become ambassador to the UAE, a position that is usually reserved for career diplomats.

Since 1980, he was chairman and chief executive of the 100-year-old multinational construction company Walbridge. His long career in the private sector shone through momentarily when he referred to the UAE and US as “companies” rather than countries, as he emphasised the importance of a strong trade alliance.

“The UAE has enormous reserves, it is one of the best places in the world to do business and so that’s a great partnership that started over 50 years ago,” Mr Rakolta said. “It will survive any challenge from the outside and will go forward and build and strengthen the ties of our two countries together through energy.”

Last year, total trade between the two countries totalled $24.5 billion, with the US exporting $19.5bn to the UAE. The resulting $14.5bn trade surplus for the US is America’s fourth largest trade surplus globally, according to the American embassy.

Scoreline:

Everton 4

Richarlison 13'), Sigurdsson 28', ​​​​​​​Digne 56', Walcott 64'

Manchester United 0

Man of the match: Gylfi Sigurdsson (Everton)

UAE currency: the story behind the money in your pockets
'Moonshot'

Director: Chris Winterbauer

Stars: Lana Condor and Cole Sprouse 

Rating: 3/5

The%20specs
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Donating your hair

    •    Your hair should be least 30 cms long, as some of the hair is lost during manufacturing of the wigs.
    •    Clean, dry hair in good condition (no split ends) from any gender, and of any natural colour, is required.
    •    Straight, wavy, curly, permed or chemically straightened is permitted.
    •    Dyed hair must be of a natural colour
 

 

Company%20profile
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The 12 Syrian entities delisted by UK 

Ministry of Interior
Ministry of Defence
General Intelligence Directorate
Air Force Intelligence Agency
Political Security Directorate
Syrian National Security Bureau
Military Intelligence Directorate
Army Supply Bureau
General Organisation of Radio and TV
Al Watan newspaper
Cham Press TV
Sama TV

GAC GS8 Specs

Engine: 2.0-litre 4cyl turbo

Power: 248hp at 5,200rpm

Torque: 400Nm at 1,750-4,000rpm

Transmission: 8-speed auto

Fuel consumption: 9.1L/100km

On sale: Now

Price: From Dh149,900

Gulf Under 19s final

Dubai College A 50-12 Dubai College B

The burning issue

The internal combustion engine is facing a watershed moment – major manufacturer Volvo is to stop producing petroleum-powered vehicles by 2021 and countries in Europe, including the UK, have vowed to ban their sale before 2040. The National takes a look at the story of one of the most successful technologies of the last 100 years and how it has impacted life in the UAE. 

Read part four: an affection for classic cars lives on

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Read part two: how climate change drove the race for an alternative 

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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The specs
Engine: Long-range single or dual motor with 200kW or 400kW battery
Power: 268bhp / 536bhp
Torque: 343Nm / 686Nm
Transmission: Single-speed automatic
Max touring range: 620km / 590km
Price: From Dh250,000 (estimated)
On sale: Later this year