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Sub-zone · JAFZA · Dubai

Dubai Auto Zone

Dubai Auto Zone (DAZ)

AED 15,545 – AED 34,495/ yr
high confidenceVerified 27 Jun 2026official ↗
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Best for

Automotive businesses, including vehicle traders, parts suppliers, and service companies, seeking a specialized ecosystem.

Not ideal for

Businesses outside the automotive sector or those requiring diverse industry networking and a larger initial team.

01Capability profile
?
Banking10/15
?
Visa scale15/15
?
Cost (lower=better)15/20
?
Activity breadth12/25
?
Workspace options6/15
?
Location9/10
02Where Dubai Auto Zone sits
Year 1 cost← lower is better

Dubai Auto Zone: 34th percentile (AED 15,545) · Licence + registration, AED.

Setup time← lower is better

Dubai Auto Zone: 65th percentile (7 days) · Total estimated days from application to operational.

Visa caphigher is better →

Dubai Auto Zone: 62th percentile (100 visas) · Absolute maximum visa allocation. Values above 500 clipped to the right edge so the bulk of the distribution stays readable.

Banking ease← better
Easy
4
Moderate
73
Difficult
15
Very difficult
1

Dubai Auto Zone: Moderate · Corporate bank account opening difficulty. Each cell is one zone.

03Costs
15,545
– 34,495
Year 1 range · AED
AED 13,760 less than DMCC
mid tier
Show in
Base licence
AED 15,000
Registration
AED 545
Renewal (year 2+)
AED 15,000
3-year total
AED 45,545
2-year visa cost
AED 3,200
Year-on-year fee tracking begins 2026 — changes appear here as they accrue.
Indicative, from published ratesOfficial fee schedule ↗Verified 2026-06high confidence

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04Visas & workspace
Visa allocation
Maximum visas
100
Flexi-desk cap
1
Office cap
6
Family sponsorship
Available
Freelancer permit
Not available
Workspace options
Virtual office
No
Flexi-desk
No
Dedicated office
No
Warehouse
Yes
Industrial unit
Yes
05Banking & setup
Banking
Difficulty
Moderate
Time to account
~7 days
Minimum deposit
AED 15,000
Partner banks
Emirates NBDMashreqFABRAKBank
Setup timeline
  1. Documents & application
    Passport, visa, business plan — ~3–5 days
  2. Licence issued
    ~3 business days after submission
  3. Bank account active
    Additional ~7 days · Moderate banking
  4. Operational
    Typically ~7 days
06Package pricing

All figures in AED, from official fee schedules. Visa and health-insurance costs are additional.

PackageVisasYear 1Renewal
Showroom / Trading Unit – 1 VisaBest value1AED 20,000AED 16,000
Workshop / Service Unit – 3 Visas3AED 35,000AED 28,000
Warehouse – Auto Parts – 5 Visas5AED 50,000AED 40,000
07Permitted activities
Vehicle trading, import/export, re-export of automobiles and parts, car dealerships, spare parts supply, vehicle modification, workshops, testing centers, logistics, banking, insurance*
Categories
vehicle import/exportvehicle tradingvehicle repairmaintenanceservice supporttrade and distributionbankingfinancial servicesinsurancesalescustomer relationslogisticswarehousingshowrooms
Matched industry clusters
financialtradinglogistics
Restricted
None
08Jurisdiction & ecosystem
Common lawNo
VAT designated zoneNo
QFZP eligible (0% tax)Yes
Inferred · 2026-06-27
Mainland permitYes
Inferred · 2026-06-27
Audit requiredNo
Inferred · 2026-06-27
Economic substancestandard
Inferred · 2026-06-27

This zone offers physical-office options sufficient for a standard QFZP substance posture, though the bar still applies at the entity level (CTGFZP1).

Focus: automotive, auto parts, vehicle services

QFZP, audit, mainland-permit and substance values are sourced where the zone authority or FTA publishes them, and inferred from published zone characteristics otherwise. How we determine these values.

09Strengths & limitations
Strengths
  • Dedicated ecosystem for automotive businesses, including trading, parts, and services.
  • Straightforward banking with recommended local and international banks.
  • Competitive base license cost for a specialized free zone.
  • Zero corporate tax and no minimum capital requirement.
  • Online registration streamlines the setup process.
Caveats
  • Limited to automotive and related industries, restricting diversification.
  • Not a VAT Designated Zone, impacting certain trade flows.
  • Flexi-desk option offers only one visa, limiting initial team size.

Not ideal for: Businesses outside the automotive sector or those requiring diverse industry networking and a larger initial team.

10Recent developments
  1. 2025-Q1Dubai Auto Zone introduced a dedicated Electric Vehicle (EV) cluster with adapted workshop infrastructure for EV servicing and charging equipment installation, positioning DAZ as the UAE's first automotive free zone with an EV-specific facilities zone.
  2. 2024-Q3Dubai Auto Zone expanded its vehicle storage capacity by adding 150,000 sq ft of open-air vehicle marshalling area, accommodating the growing volume of GCC-bound vehicle re-export trade.
11Tax considerations
Questions to raise with your tax advisor
  1. Does your planned revenue qualify under the QFZP qualifying-income rules?

    QFZP 0% only applies to qualifying income. Mainland trading or revenue from non-free-zone clients is generally non-qualifying and taxed at 9%.

  2. Will you need audited accounts even if this zone doesn't require them?

    FTA corporate-tax filing typically expects audited accounts for revenue above AED 50M, and banks often request them at much lower thresholds.

  3. How much of your revenue will come from mainland UAE customers, and how does that affect QFZP and 5% VAT obligations?

    Mainland revenue beyond ad-hoc levels can disqualify QFZP and triggers full 9% corporate tax plus standard VAT on supplies.

  4. Do any of your customers, suppliers, or shareholders meet the FTA's related-party definition?

    Related-party transactions need transfer-pricing documentation and may push otherwise-qualifying income into the 9% bracket.

These prompts are due-diligence questions, not tax advice. Confirm every answer with a UAE-licensed tax advisor before incorporating.

12Frequently asked
13Similar zones in Dubai
14About this data

Dubai Auto Zone data is sourced from official zone authority publications, government fee schedules, and where available, verified against direct communications with the zone. All figures in AED.

Last verified
2026-06-27
Confidence
high
Methodology
How we score →
Cited source
Fee data sourced from the official fee schedule, fetched 2026-06-27. View source ↗
Per-field citations
How we verify every zone →
15Founder reviews

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16Take the next step

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