UAE Suspends Trade and Financial Transactions With Iran After Missile Incident
- UAE has suspended all trade, commercial exchanges and financial transactions with Iran until further notice.
- The decision came after the UAE said it detected two ballistic missiles launched from Iran towards maritime traffic.
- Both missiles fell into the sea and no damage was reported.
- Iran rejected the UAE’s claims as “baseless” and urged regional countries to avoid unsubstantiated accusations.
The United Arab Emirates has suspended all trade activities, commercial exchanges and financial transactions with Iran until further notice following a new escalation in regional tensions.
The UAE Foreign Ministry announced the decision on Wednesday, saying recent developments were threatening regional and international peace and security.
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The move came a day after the UAE Defence Ministry said it had detected two ballistic missiles launched from Iran. According to the ministry’s assessment, the missiles were targeting maritime traffic, but both fell into the sea.
The incident was the first of its kind reported by the UAE since the May 4 strike on Fujairah port.
Iran rejected the UAE’s allegations. Iranian Foreign Ministry spokesperson Esmaeil Baghaei described the claims as “baseless” and called on regional countries to avoid making accusations against Tehran without evidence.
According to Al Jazeera, Baghaei said any assessment of the regional situation should also consider what Iran describes as continued hostile actions by the United States and Israel. He also referred to what Tehran says is a history of false-flag operations in the region.
The latest missile incident comes at a particularly sensitive time, as a 60-day window for US-Iran peace talks expired on Monday without an agreement. The failure to reach a breakthrough has increased concerns that tensions could escalate further.
The conflict has already disrupted shipping through the Strait of Hormuz since February, creating concerns over the security of one of the world’s most important maritime and energy routes.
Following the missile incident, the UAE Defence Ministry said the country remained fully prepared to respond to any threat and would firmly confront attempts to destabilise national security.
UAE authorities had earlier issued a missile threat warning to residents through mobile phones. A later alert from the Interior Ministry said the situation was safe and advised people to resume their normal activities.
Tensions between the UAE and Iran have also increased over incidents involving commercial shipping. Abu Dhabi recently accused Iran of attacking vessels belonging to the UAE’s state-owned ADNOC while they were passing through the Strait of Hormuz.
Iran has not claimed responsibility for the attacks on the ADNOC vessels. However, Iran’s Revolutionary Guards have previously warned that action could be taken against ships passing through the strait if they are linked to Tehran’s adversaries or do not comply with Iranian directives.
