Automotive companies — vehicle distributors, parts traders, aftermarket suppliers, and EV companies — need UAE free zones with the right trade licences, access to ports, and proximity to automotive clusters.
Dubai Auto Zone (DAZ)
Dubai Auto Zone is the first dedicated automotive free zone in the UAE, located in Dubai South near Al Maktoum International Airport. It provides vehicle storage, inspection, and re-export facilities for used and new vehicles. DAZ hosts over 200 automotive companies and handles 25,000+ vehicles annually. Licence for vehicle trading: AED 12,000–20,000/year. DAZ clients benefit from an integrated automotive bonded zone and a Vehicle Processing Centre (VPC) for reconditioning and re-export.
JAFZA
JAFZA is preferred by international automotive brands for their UAE and regional distribution operations. Ford Middle East, General Motors, and major tyre and parts distributors operate from JAFZA. The port adjacency makes JAFZA the most efficient hub for automotive parts import and re-export. Licence costs: AED 25,000–60,000/year. Large warehouse units suitable for bulk auto parts storage are widely available.
Dubai Industrial City (DIC)
DIC hosts automotive aftermarket manufacturers and assemblers. Companies producing car accessories, performance parts, and specialty vehicles choose DIC for its manufacturing-grade facilities. The free zone has a dedicated Automotive Cluster with purpose-built workshops and spray booths. Costs: AED 15,000–35,000/year for licences, workshop units from AED 40/sqft/year.
EV Companies
Electric vehicle importers and distributors should consider RAKEZ or IFZA for a cost-effective licence, with logistics handled through JAFZA. DEWA (Dubai Electricity and Water Authority) free zone is worth monitoring for EV charging infrastructure businesses — DEWA launched a dedicated EV free zone concept in 2023.
Pricing Evidence & Source Notes
Use this profile as a planning guide, not a final invoice. Confirm the current package, activity wording, visas, office or flexi-desk requirement and renewal amount before payment.
| Free Zone | Package | Year 1 Cost | Renewal Cost | 3-Year Total | Visa Option | Office / Flexi Requirement | Year 1 Confidence | Source Type | Conflict Status | Last Reviewed |
|---|---|---|---|---|---|---|---|---|---|---|
| JAFZA | FZCo registration and service licence components | AED 40,000-55,000 planning range (licence component priced separately; mandatory physical facility lease AED 25,000-40,000 + establishment card AED 1,975 + 1 visa AED 3,518 + medical/Emirates ID) Confidence: Verified official price |
AED 5,000 annual service licence renewal component before facility and add-ons Confidence: Verified official price |
AED 20,000 3-year registration plus service licence components before facility and add-ons Confidence: Verified official price |
Visa access depends on the selected facility; immigration fees are separate | A workstation, office, warehouse, showroom or other qualifying facility is required and priced separately | Verified official price | Official JAFZA Investor Guide fee schedule; partial setup components | No material public conflict recorded | July 2026 |
| What is included | The current official guide lists AED 5,000 one-time FZCo registration and AED 5,000 annual service licence fees. The three-year component total is the registration fee plus three published annual licence periods. |
|---|---|
| What is not included | Workstation, office, warehouse or other facility, security deposit, establishment card, visas, medical, Emirates ID, insurance, customs, activity approvals and advisory support. |
| Hidden-cost risk | AED 10,000 is not a complete JAFZA setup invoice. Facility choice and annual related charges materially change Year 1, renewal and three-year outlay; trading, logistics and industrial licences also use different official fee lines. |
| Banking difficulty | Medium to high |
| Best fit | Large trading, logistics, warehouse, import/export and industrial companies needing port access. |
Source evidence: Review source | Methodology | Corrections.
Prices can change based on free zone authority updates, activity selection, visa count, office or flexi-desk requirement, shareholder structure, establishment card, immigration file, medical test, Emirates ID, insurance, banking support and consultant service fees. Last reviewed July 2026. Always request a current quote before payment. View methodology or compare all rows in the UAE Free Zone Cost Index.