ADNOC has unveiled more than AED60 billion ($16 billion) in local manufacturing opportunities through 2030, alongside sweeping changes to its procurement, supplier registration and In-Country Value (ICV) frameworks, as it seeks to accelerate industrial investment, create skilled jobs and strengthen UAE supply chains.
The announcements were made at the second Make it with ADNOC
Forum, held at Emirates Palace in Abu Dhabi ahead of ADIPEC.
The measures aim to provide manufacturers, suppliers and
investors with greater visibility of future demand, simpler access to ADNOC
contracts and stronger incentives to establish and expand manufacturing
capabilities in the UAE.
The opportunities include more than 200 essential products
and a broad range of critical spare parts that ADNOC aims to source locally.
The initiative spans rotating equipment and power,
electrical and automation systems, drilling and completion equipment, chemicals
and catalysts, piping and fabrication, heavy equipment, spare parts and
advanced manufacturing.
Many of the identified products are currently imported.
Localising their production is expected to shorten lead times, reduce exposure
to international supply disruptions and improve the resilience of ADNOC’s
projects and operations.
Dr Sultan Al Jaber, UAE Minister of Industry and Advanced
Technology and ADNOC Managing Director and Group CEO, said: "ADNOC's
growth creates a powerful opportunity to deepen the UAE's industrial strength.
Our next phase is about giving manufacturers and investors the confidence to
act: clarity on what we need, visibility of when we need it, and a simpler
route to compete for our business. We are inviting companies to build
capabilities in the UAE that will serve our industry and country for years to
come.
"Every product we can competitively manufacture here
strengthens our ability to deliver. The changes announced today connect that
ambition to practical action, from faster supplier registration and more
competitive procurement to long-term partnerships that support investment. We
want our partners to grow with us, and we want that growth to create lasting
value for the UAE."
ADNOC will work with the Ministry of Industry and Advanced
Technology (MoIAT) and the Abu Dhabi Investment Office (ADIO) to connect
manufacturing opportunities with industrial support, access to the national
industrial database and financing through the National Industrial Resilience
Fund. The collaboration is intended to help manufacturers translate identified
demand into viable investments, supporting the objectives of ‘Make it in the
Emirates’.
ADNOC also signed two Memoranda of Understanding on the
sidelines of the forum, with ADIO and KEZAD Group, to support its industrial
development and localisation ambitions.
The company announced the expansion of its Local+ programme
to more than 100 UAE manufacturers, up from 70 at its launch in May 2026.
The programme gives UAE-made products priority in ADNOC
projects by requiring engineering, procurement and construction contractors
participating in new tenders to source relevant products from approved
manufacturers on the list.
A redesigned supplier registration and prequalification
system is also expected to reduce the time required for companies to register
and become eligible to compete for ADNOC business by up to 80 per cent.
The new model halves the number of required documents and
removes prequalification requirements for 60 per cent of service categories.
A single digital window will bring registration,
qualification and compliance processes together, with requirements tailored to
the nature and risk of the work.
Artificial intelligence will support document verification
and the reuse of existing data, helping reduce repetitive submissions and
administrative processing.
ADNOC is also revising its ICV model to link procurement
decisions more closely with commercial competitiveness and suppliers’
contributions to the UAE economy. Commercial and ICV offers will be assessed
through an integrated evaluation model, replacing the previous bid-matching
approach.
The revised framework is intended to encourage suppliers to
submit their strongest commercial and ICV offers from the outset, with
requirements proportionate to contract size and scope.
The company will also improve the administration of
ICV-related retention payments.
Where retention applies, automated calculations and release
processes through the ADNOC Supplier Hub will aim to improve transparency,
reduce manual follow-up and support suppliers’ cash flow once their obligations
have been met.
Omar Alnuaimi, ADNOC Group Chief, Commercial and In-Country
Value, said: " Over the past eight years, ADNOC's ICV program has
converted our demand into lasting value for the UAE, enabling products
previously imported to be manufactured locally and strengthening the
capabilities of our suppliers and industrial partners.
The next chapter is about making the entire journey clearer,
simpler and more competitive. We are giving the market earlier visibility of
demand, expanding access to opportunities and rewarding companies that invest,
localise and deliver measurable value in the UAE.”
Alongside these changes, ADNOC outlined a new commercial
approach based on four strategic shifts: agile, competitive, strategic and forward-looking.
The approach will focus on simplifying procurement, speeding up decisions,
aligning contracting models with project and market conditions, conducting
targeted commercial negotiations and providing earlier visibility of future
demand.
The forum also marked eight years of ADNOC’s ICV programme
and the launch of the ADNOC ICV Excellence Awards, recognising companies,
employees and strategic partners for contributions to local manufacturing,
Emiratisation and supplier development.
ADNOC employees were recognised as ICV Champions, while
resilience partners were commended for supplying critical materials and
services during recent disruptions and helping maintain operational continuity.
ADNOC also unveiled a refreshed identity for its ICV
programme, reflecting its evolution into a broader platform for industrial
development, investment, employment and supplier competitiveness.
Since its launch in 2018, the programme has redirected more
than AED307 billion into the UAE economy by the end of 2025.
It has also supported the localisation of more than 130
products, the development of 95 UAE factories and employment opportunities for
more than 27,500 Emiratis in participating private-sector companies.
The latest measures build on that record, positioning ADNOC’s future procurement demand as a driver of domestic manufacturing capacity, industrial investment and long-term economic value for the UAE. -TradeArabia News Service