Budget context
The UAE does not publish a disaggregated defense budget, making precise figures impossible to confirm independently. Analysts estimate total defense and security expenditure in the $20-24 billion range for 2025, based on IISS assessments and disclosed procurement contract values. Spending is driven by Rafale F4 deliveries (80 aircraft contracted in December 2021), AH-64E Apache helicopter orders, THAAD and Patriot battery maintenance, and the ongoing EDGE Group industrialization program. UAE GDP reached approximately $550 billion in 2025 on the back of non-oil diversification, keeping the defense-to-GDP ratio around 4%. The UAE also provides significant financial support to proxy forces in conflict theaters that is not captured in official estimates.
Force structure
The UAE Armed Forces comprise the Army, Navy, Air Force, Presidential Guard, Joint Aviation Command, and National Guard, with approximately 65,000 active personnel and 130,000 reservists. Ground forces field 436 Leclerc main battle tanks alongside BMP-3 IFVs. The Air Force operates 55 F-16 Block 60 Desert Falcons, 44 Mirage 2000-9s, and is receiving 80 Rafale F4 aircraft under a December 2021 contract worth €16 billion — deliveries began in 2025. The Navy deploys 79 vessels with 3,000 personnel. Air defense assets include MIM-104 Patriot, MIM-23 Hawk, and THAAD batteries. The UAE also operates 30 AH-64D Apaches with 39 AH-64E models on order.
Industrial posture
The EDGE Group, established November 2019 by consolidating 25 former entities, is the UAE's flagship defense conglomerate employing ~12,000 people. By 2024 EDGE had become one of the top three global producers of precision-guided munitions. In November 2025, EDGE formed an autonomous-weapons production alliance with US firm Anduril. EDGE achieved $5 billion in orders in 2022 and has expanded internationally through equity stakes in Switzerland, Estonia, Poland, and Brazil. In 2024 it signed a $27M ammunition deal with Indonesia. The UAE aims to source 60% of defense needs domestically by 2030, though current indigenization remains well below that target for major platforms.
Conflict exposure
The UAE substantially wound down its Yemen combat operations after 2019, transitioning to support and advisory roles while maintaining influence through the Southern Transitional Council. Houthi missile and drone attacks on UAE territory intensified in January 2022 but largely ceased by late 2023. The ongoing Houthi-Red Sea crisis (2024-2025) directly threatens UAE shipping through Bab el-Mandeb. Iran remains the principal strategic threat: Iranian ballistic missile capability, support for regional proxies, and the UAE's dispute over Abu Musa and the Tunb Islands sustain high defense spending urgency. The UAE-Iran economic relationship (Iran is a major re-export hub) complicates outright confrontation.
Recent developments
In April 2026, the UAE withdrew from co-financing France's Rafale F5 upgrade program, reportedly over insufficient French support during regional tensions — a significant diplomatic signal. Rafale F4 deliveries to the UAE Air Force began in 2025 per the December 2021 contract. In November 2025, EDGE Group and Anduril launched a joint autonomous-weapons production alliance. The UAE participated diplomatically in ceasefire negotiations during the February-April 2026 US-Iran conflict (Operation Epic Fury), leveraging its role as a back-channel interlocutor with Tehran. Defense investment in AI-enabled surveillance and drone systems accelerated through 2025.