Industry, Logistics & Shipping

UAE’s e-commerce market posts robust growth, hits $11.5bn

DUBAI
UAE’s e-commerce market posts robust growth, hits $11.5bn

The UAE’s e-commerce market has registered solid growth over the last five years with its market hitting AED42.2 billion ($11.5 billion) in 2025, up from AED17.6 billion ($4.8 billion) in 2020, thus representing a CAGR of 19% over the five-year period, said a report by EZDubai Logistics Hub, the integrated logistics zone in Dubai South, compiled in partnership with Euromonitor International.

The duo in its sixth edition of its annual e-commerce report highlighted the continued expansion of digital commerce across the UAE and the wider Middle East, North Africa and South Asia (MENASA) region, as evolving consumer behaviour, payment innovation and advanced logistics reshape the sector.

According to the report, the market is forecast to maintain its upward trajectory at a CAGR of 9.9% between 2026 and 2030, reaching AED67.2 billion ($18.3 billion) by 2030.

E-commerce penetration in the UAE has also continued to expand, accounting for 15.7% of total retail sales in 2025 and forecast to exceed 20% by 2030, reflecting the maturity of the country’s digital commerce ecosystem.

At a regional level, MENASA’s e-commerce market more than doubled from AED 232.1 billion ($63.2 billion) in 2020 to AED519.2 billion ($141.4 billion) in 2025. 

The report forecasts the market size to reach approximately AED909.3 billion ($247.6 billion) by 2030, supported by rising digital payment adoption, improving internet penetration, broader consumer participation and continued investment in logistics infrastructure.

Mohsen Ahmad, CEO of EZDubai Logistics Hub, Dubai South, said: “The findings of our sixth e-commerce report demonstrate the continued strength and maturity of the UAE’s digital economy and the significant opportunities that remain across the wider region. The UAE has established a highly advanced ecosystem supported by world-class digital and logistics infrastructure, strong government initiatives and rapidly evolving payment solutions. At EZDubai Logistics Hub, we remain committed to providing businesses and industry stakeholders with insights that help them understand emerging trends and capitalise on the continued evolution of e-commerce."

In the UAE, apparel and footwear was the largest e-commerce vertical in 2025 at AED11.4 billion, followed by consumer electronics and home care. Looking ahead, consumer appliances are forecast to record strong growth, supported by high purchasing power, demand for premium products and frequent household upgrades.