Musaffah Located in Abu Dhabi is a purpose-built industrial park called the Industrial City of Abu Dhabi (ICAD). It is developed to deliver state-of-the-art infrastructure and facilities to manufacturing and industrial companies all across the world. Situated in more than 40 square kilometers, the city is potentially run by the Zones Corp, which is under the state government, the Abu Dhabi Department of Economic Development (ADDED).
ICAD has been an important component in the determination of the state of Abu Dhabi to reduce its economy’s reliance on oil by establishing a strong industrial sector that is not dependent on oil as the major source of revenue. ICAD has specific areas where heavy industries and light industries can be built; thus, it is a nucleus of local production, exported abroad, and a technologically based business.
Historical Background and Establishment
The concept of ICAD evolved in the dawn of the 2000s when Abu Dhabi realized that there was a necessity for a structured industrial ecosystem. The emirate was heavily dependent on oil incomes, and to develop a sustainable and knowledge-based economy, it required specific infrastructure for such industries as manufacturing, logistics, and high-tech production.
ICAD has over 355 manufacturers and sparked off the employment of over 30,000 skilled and unskilled workers within the facility since its incorporation. It serves as an indication of the strategic course that the UAE took towards industrial excellence and innovative technologies.
Strategic Location within Abu Dhabi
ICAD has one of its greatest strengths in its location. It is a place that is located.
- The maritime trade is near Musaffah Port
- Only 30 minutes away from the Abu Dhabi International Airport
- Lying closely accessible to the E30 (Abu Dhabi Al Ain Road) and the E11 (Sheikh Zayed Road)
- About one-hour drive away is the Dubai International Airport
It is an ideal place where the businesses in ICAD can easily connect with international shipping routes, cargo flights, and GCC highway networks.
Importance in UAE’s Industrial Vision
The Industrial Strategy 2031 in the UAE is set to enhance the proportion of GDP made by industries like manufacturing. In this vision, ICAD is crucial in the following ways:
- Promotion of foreign direct investment (FDI)
- Facilitating the transfer of technology and innovation.
- Supporting SMEs and gross manufacturing companies
- By establishing employment positions for both UAE nationals and expatriates as well
Cluster Overview—The Five ICAD Zones
ICAD is divided into five highly specialized industrial city of Abu Dhabi zones. Each cluster is tailored to different types of industrial activities with specific infrastructure, environmental regulations, and zoning permissions.
ICAD I—Heavy Industries Hub
The oldest and largest cluster is the ICAD I, which consists of an area of about 14 square kilometers. It is configured to handle high-capacity operations, which include:
- Steel rolling and rebar steel manufacturing
- Aluminum casting
- Petrochemical storage and processing
- Making cement and concrete
ICAD I is resistant to strong loading, chemical discharge, and heavy equipment, and also has direct access to the Musaffah Port to export bulk.
ICAD II – Light to Medium Manufacturing
This area serves the following:
- Precision and mechanical engineering
- Workshops in furniture and carpentry
- Plug-ins and lighting 21
- Production of textiles and garments
It provides a less severe industrial setting, which suits companies that need cleaner and smaller operations. The buildings are built in advance, and people have technological facilities, such as business centers.
ICAD III – Aerospace and Renewable Energy
The futuristic industrial base in the UAE is ICAD III.
- Aerospace engineering
- Assembling of electric vehicle components
- Energy production systems like wind power generators and the production of solar panels
Firms such as Strata, Siemens, and other renewable energy start-ups are located here. ICAD III is in conformity with the UAE Green Agenda and Energy Strategy 2050.
ICAD IV – Food, Logistics, and Distribution
This cluster supports:
- Production of processed food (e.g., snacks, dairy)
- Perishable cold storage
- Warehousing and big distribution centers
It has temperature-controlled places, easy access to the highway, and access to wholesale markets.
ICAD V—Chemicals, Plastics, and High-Tech
An extremely controlled cluster that concentrated on:
- Specialty chemicals
- Plastic molding products; packaging products
- Medical-grade equipment and electronic
Pharmaceuticals, plastics, and high technology industries with a demand for high safety and environmental compliance require ICAD v.
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Infrastructure and Facilities
Plot Sizes and Land Use
ICAD offers flexible land options:
- Small plots (1,000 to 5,000 sqm) for SMEs
- Medium plots (10,000 to 50,000 sqm)
- Large-scale plots (100,000+ sqm) for heavy industries
Plots are typically leased on a long-term basis (25+ years) with options for renewal.
Utilities and Technical Services
| Utility | Description | Availability |
| Electricity | Industrial grid with substation redundancy | 24/7 |
| Water | Municipal potable + greywater systems | Available |
| Gas | Central pipeline: LPG and natural gas | On-demand |
| Telecom | 5G-ready fiber-optic broadband | Extensive |
| Waste Handling | Segregated disposal and treatment stations | Fully Managed |
- Additional services include:
- Backup generators and UPS systems
- Hazardous material spill management
- Recycling and sustainability units
Smart Infrastructure Initiatives
- Industrial city of Abu Dhabi is committed to smart industry:
- Smart meters for power and water
- AI-based surveillance and security
- Remote monitoring of emissions and water usage
- LED public lighting and solar-powered systems
Logistics and Connectivity
Road Transport
ICAD has a high-speed internal road network and connects to key highways:
- E11 for Dubai and Abu Dhabi city access
- E30 to Al Ain
- Custom-built truck stops and rest areas
Sea Access
- Musaffah Port: Ideal for large, heavy cargo
- Khalifa Port (via KEZAD): Deep-water port with international routes
Air Cargo Proximity
ICAD is located:
- 30 minutes from Abu Dhabi International Airport
- 1 hour from Dubai International Airport
- 25 minutes from Al Bateen Executive Airport
Future Rail Connectivity
Etihad Rail will offer freight connections to:
- Dubai and Sharjah
- Saudi Arabia via Al Ghuwaifat
- Oman and the future GCC rail network
Key Industry Sectors in ICAD
| Sector | Activities and Focus |
| Steel & Metals | Rolling mills, rebar, and fabricated steel |
| Chemicals & Plastics | Solvents, fertilizers, plastic packaging |
| Aerospace & Automotive | EV components, airline parts, aviation metalwork |
| Food Processing | Frozen goods, snacks, dairy, beverages |
| Logistics & Warehousing | 3PL hubs, bonded warehouses, distribution chains |
| Renewable Energy | Solar modules, wind turbine blades, batteries |
| Medical Equipment | Surgical tools, masks, PPE, diagnostic devices |
Business Setup Process in ICAD
Step-by-Step Formation
What is business activity?
- Trade name registration with ADDED/Zones Corp
- Write a feasibility study or business plan
- Seek the lease of a land plot or facilities
- Send paperwork and authorizations
- Obtain operation and trade license permits
- Start erectors, manning and activity
Licensing Options
Manufacturing: Industrial License:
- Commercial License: Trade Business
- Service License: Logistics: consultancy
- Dual License: Use mainland + ICAD
Legal Structures
- Free Zone Establishment (FZE)
- Department of Foreign Companies
- LLC, or a joint Venture with domestic partners
Required Documents
- Passport and Emirates ID copies
- Site map and lease agreement
- Parent company (where applicable) NOC
- Large industries: Environmental Impact Assessment (EIA)
Incentives & Business Advantages
Government Support
- No corporate or income tax for 50 years
- 100% foreign ownership
- Full repatriation of profits
- Zero import/export duties in the free zone
Comparison with Other Zones
| Zone | Sector Focus | Ownership | Key Benefit |
| ICAD | Industrial | 100% | Custom plots, central access |
| KIZAD | Trade/Logistics | 100% | Khalifa Port proximity |
| Mussaffah | Heavy Industry | 49%+ | Established infrastructure |
Support Services
- Offices like onsite banking, legal, and insurance offices
- Customs brokers and freight forwarders
- Physical plants and security 24 hours a day
Residential & Worker Facilities
Worker Accommodation
- 24/7-controllable blocks of the dormitories
- Common mess halls and kitchens
- On-site clinics, on-site laundry services, and Mosques
Executive & Staff Housing
Villas and apartments in:
- Mohammed Bin Zayed City
- Musaffah Gardens
- Baniyas East/West
Community Amenities
- The stores are hypermarkets and convenience stores
- Buses at the satellite stations
- Specific ICAD shuttle service, Deluxe ICAD shuttle service
Environmental & Safety Compliance
Fire & Industrial Safety
- Compulsory firefighting appliances in each unit
- Fire escapes, warning signs, and fire emergency drills
- On-site civil defense station
Environmental Monitoring
- Circulating air quality sensors and water analytical laboratories
- Recycling and segregation of waste in a centralized way
- Special industrial areas for risk-prone industries
Certifications and Compliance
- ISO 45001, ISO 14001, which some industries must use
- Audits in Zones Corp and ADDED compliance
Investment Potential
ROI & Leasing Benefits
- Costs for utility and setup are minimal.
- Leasing incentives on long-term leases
- The value of land appreciates in the course of
Contribution to UAE Industrial Growth
- Goal: AED 172 billion industrial GDP in 2031
- Goal: Create 13,000+ new industrial jobs
- Technology-based exports are the focus, as well as R&D development
Ongoing and Upcoming Projects
- Smart Factory Park
- Cold Chain Hub Expansion
- Drone Logistics Center
Testimonials & Case Studies
Company Highlights
Steel Tech UAE: Capacity of 5000 tons/month
Eco Solar MFG: 20 MW/year Capacity of solar panels
Agri Foods Ltd.: 17 countries ICAD IV exports to
Investor Insights
We have selected ICAD because of its rapid licensing and intelligent logistics.
We increased twofold in staff after a year, and within a year we have expanded to ICAD III.
Final Thoughts—Is ICAD Right for You?
ICAD stands true as a strong industrial platform with incomparable infrastructure, support mechanisms, and connectivity. It is best suited to be used:
- Production enterprises and transport organizations
- Export-oriented businesses
- Eco-friendly and high-technology businesses
ICAD is among the most attractive places for industrial investment in the Gulf region with committed government support, low operating expenses and fast establishment processes.
Frequently Asked Questions (FAQs)
Can startups use the industrial city of Abu Dhabi?
You are right, ICAD will provide smaller units and support services suitable to new businesses.
Is it possible to purchase land rather than renting?
At present the land is rented on renewable contracts of long duration; the direct acquisition is minimal.
Does the industrial city of Abu Dhabi contain any eco-zones?
Yeah, ICAD III and V are concerned with sustainable industries, which are eco-friendly.
What are normal lease rents?
The price of leasing plots in the cluster and plot differentiates the lease rates between AED 15 and 40 per sqm per year.
Last modified: July 6, 2025
