How to Set Up a Metal Product Manufacturing Business in the UAE

April 23, 2024

The allure of entrepreneurship often finds fertile ground in sectors poised for growth and innovation. The metal manufacturing industry emerges as an opportunity, beckoning forward-thinking entrepreneurs to capitalise on its promising trajectory in the UAE.

The recent surge in rebar prices, soaring to AED 2,620 per tonne ($713) for benchmark mills, marks a significant uptick in demand within the construction sector. This surge not only underscores the robustness of the construction industry but also signals a ripe environment for ventures in metal products manufacturing.

With a projected tender price inflation of 2-3%, the UAE’s construction sector stands as a steadfast engine of growth, propelling the demand for metal products to new heights. Against this backdrop, establishing a metal products manufacturing enterprise holds the promise of not only meeting this burgeoning demand but also contributing to the nation’s economic landscape.

Here are the business activities that you can select under your license when establishing your Metal Product Manufacturing business:

2590.00 Manufacture of other fabricated metal products; metalworking service activities

“Manufacture of other fabricated metal products; metalworking service activities” encompasses a broad range of activities related to the treatment and processing of metal materials. This category includes various processes such as forging, pressing, plating, coating, engraving, boring, polishing, and welding, among others. These activities are typically performed on a fee or contract basis for clients.

Additionally, this category involves the manufacturing of diverse metal products catering to both household and industrial applications. Examples of such products include cutlery, metal hand tools, general hardware, cans, buckets, nails, bolts, nuts, metal household articles, metal fixtures, ships’ propellers, anchors, and assembled railway track fixtures.

2591.00 Forging, pressing, stamping and roll-forming of metal; powder metallurgy

This encompasses a range of specialised processes dedicated to shaping and forming metal materials into various products. In forging, metals are heated and then shaped using compressive forces, often resulting in robust and precisely crafted components. Pressing involves applying pressure to deform metal into specific shapes, ideal for mass-producing parts with consistent dimensions. Stampings, on the other hand, utilise dies to cut or shape metal, enabling the production of intricate and detailed components with remarkable precision. Roll-forming is a continuous bending operation, commonly employed to create long profiles with uniform cross-sections, making it invaluable for industries requiring lengthy, standardised parts.

Powder metallurgy represents a distinct method where metal objects are formed directly from fine metal powders. Through processes like sintering or pressurisation, these powders are compacted and fused together, resulting in solid and durable products tailored to precise specifications. 

  • 2591.01 Forging, pressing, stamping and roll-forming of metal
    This category covers various metalworking techniques that use heat or pressure to transform metal pieces. It includes forging (hammering metal into shape), pressing (using a punch and die to create a specific form), stamping (punching out intricate shapes from sheet metal), and roll-forming (continuously shaping metal sheets into specific profiles using rollers).
  • 2591.02 Powder metallurgy: production of metal objects directly from metal powders by heat treatment (sintering) or under pressure
    This is a special technique for creating metal objects from metal powders. First, metal is crushed or ground into fine powder. Then, the powder is compacted into the desired shape using moulds or dies. Finally, the compacted powder is heated (sintered) to high temperatures to fuse the particles and create a solid metal object. In some cases, pressure might also be used during shaping.

Notably, this classification excludes the production of metal powder itself, focusing solely on the transformative processes that convert these powders into functional components.

2592.00 Treatment and coating of metals; machining

“Treatment and coating of metals; machining” encompasses a diverse range of processes aimed at enhancing, refining, and modifying metal materials for various applications. This includes plating, anodizing, and heat treatment to improve properties or appearance, as well as non-metallic coating methods like plasticizing and enamelling for protection and decoration. Machining techniques such as boring, turning, milling, grinding, and welding are utilised to shape, refine, and join metalwork pieces to precise specifications. Additionally, processes like deburring, sandblasting, tumbling, and cleaning ensure surface smoothness and cleanliness for further treatment or use. Other methods like colouring, engraving and laser cutting add aesthetic value and intricate detailing to metal surfaces. 

  • 2592.01 Plating, anodizing etc. of metals
    This covers processes that change the surface properties of metals. It includes plating (applying a thin layer of another metal), anodizing (creating a corrosion-resistant oxide layer), and other similar techniques.
  • 2592.02 Heat treatment of metals
    This involves controlled heating and cooling of metals to alter their internal structure and properties like strength or hardness.
  • 2592.03 Deburring, sandblasting, tumbling, cleaning of metals
    This category encompasses various methods for cleaning and finishing metal surfaces. It includes deburring (removing rough edges), sandblasting (cleaning with abrasive particles), tumbling (smoothing and polishing in a rotating barrel), and other cleaning processes.
  • 2592.04 Colouring and engraving of metals
    This includes techniques for adding colour, design, or patterns to metal surfaces. It covers colouring, engraving (creating designs by cutting grooves), and other decorative methods.
  • 2592.05 Non-metallic coating of metals: plasticizing, enamelling, lacquering etc.
    This refers to applying non-metallic coatings to metals for various purposes. It includes processes like plasticizing (coating with plastic), enamelling (applying a glassy coating), lacquering (applying a lacquer finish), and others.
  • 2592.06 Hardening, buffing of metals
    This category involves techniques to improve the surface quality and properties of metals. It includes hardening (increasing metal strength) and buffing (creating a smooth, shiny surface).
  • 2592.07 Boring, turning, milling, eroding, planing, lapping, broaching, levelling, sawing, grinding, sharpening, polishing, welding, splicing etc. of metalwork pieces
    This is a broad category encompassing various machining processes used to create or modify metal parts. It includes boring, turning, milling, cutting, grinding, welding, and many other techniques for shaping and joining metal pieces.
  • 2592.08 Cutting of and writing on metals by means of laser beams
    This refers to using laser beams for precise cutting, writing, or other treatments on metal surfaces.
  • 2592.09 Metal Coating
    This is a general category encompassing various metal coating processes not specified elsewhere. It could include techniques like galvanising (coating with zinc for rust protection) or thermal spraying (applying a molten metal coating).
  • 2592.10 Other Activities Related to Coating and Treatment of Metals
    This is a catch-all category for any other activities related to coating and treating metals that don’t fit neatly into the other classifications.

This class excludes activities such as farriery (shoeing horses) and rolling precious metals onto base metals or other metals, focusing solely on the treatment, coating, and machining of metals for industrial and commercial purposes.

2593.00 Manufacture of cutlery, hand tools and general hardware

The “Manufacture of cutlery, hand tools, and general hardware” class encompasses a wide range of production activities dedicated to crafting essential tools and hardware items for various purposes. This includes the manufacturing of domestic cutlery like knives, forks, and spoons, as well as other specialised articles such as cleavers, razors, scissors, and hair clippers. Additionally, this class covers the production of cutting blades for both manual and mechanical appliances, hand tools like pliers and screwdrivers, and non-power-driven agricultural implements. Manufacturers within this category also produce saws, saw blades, and interchangeable tools for hand and machine use, including drills, punches, and milling cutters. The class extends to the fabrication of press tools, blacksmiths’ equipment like forges and anvils, and various hardware items such as padlocks, locks, keys, hinges, and vices, catering to diverse applications in buildings, furniture, and vehicles. Notably, the manufacturing of cutlasses, swords, and bayonets also falls under this classification. 

  • 2593.01 Manufacture of domestic cutlery such as knives, forks, spoons etc.
    This covers manufacturing everyday utensils you use for eating, like knives, forks, and spoons.
  • 2593.02 Manufacture of other articles of cutlery: cleavers and choppers, razors and razor blades, scissors and hair clippers
    This includes making cleavers, choppers, razors and blades, scissors, and hair clippers.
  • 2593.03 Manufacture of knives and cutting blades for machines or for mechanical appliances
    This category covers the production of knives and cutting blades specifically designed for machines or mechanical appliances.
  • 2593.04 Manufacture of hand tools such as pliers, screwdrivers etc.
    This refers to manufacturing handheld tools you use for various tasks, such as pliers, screwdrivers, wrenches, and similar tools.
  • 2593.05 Manufacture of non-power-driven agricultural hand tools
    This covers manufacturing non-powered hand tools specifically used in agriculture, such as shovels, rakes, or hand cultivators.
  • 2593.06 Manufacture of saws and saw blades, including circular saw blades and chainsaw blades
    This category includes manufacturing saw blades of various types, including circular saw blades, chainsaw blades, and blades for other saws.
  • 2593.07 Manufacture of interchangeable tools for hand tools, whether or not power-operated, or for machine tools: drills, punches, milling cutters etc.
    This refers to creating different attachments or tool heads used with hand-held power tools or machine tools. Examples include drill bits, punches, milling cutters, and others.
  • 2593.08 Manufacture of press tools
    This covers manufacturing press tools used in pressing operations, which involve shaping metal using pressure.
  • 2593.09 Manufacture of blacksmiths’ tools: forges, anvils etc
    This refers to manufacturing tools specifically used by blacksmiths in metalworking, such as forges, anvils, and hammers.
  • 2593.10 Manufacture of moulding boxes and moulds (except ingot moulds)
    This covers creating moulding boxes and moulds used for shaping metal through casting processes (except for moulds for ingots).
  • 2593.11 Manufacture of vices, clamps
    This category includes manufacturing vices, clamps, and other tools used for holding or securing workpieces.
  • 2593.12 Manufacture of padlocks, locks, keys, hinges and the like, hardware for buildings, furniture, vehicles etc.
    This refers to manufacturing padlocks, locks, keys, hinges, and other hardware used in buildings, furniture, vehicles, and various applications.

Exclusions from this class comprise the production of hollowware, dinnerware, and flatware, power-driven hand tools, ingot moulds, and cutlery made from precious metals.

2599.00 Manufacture of other fabricated metal products

This class encompasses a wide spectrum of production activities involving the crafting of diverse metal goods beyond the scope of other specific categories. This includes the manufacture of containers such as pails, cans, drums, and buckets, as well as tins, cans, and collapsible tubes used for packaging food and other products. Metallic closures for various containers are also produced within this classification.

Additionally, this class covers the manufacturing of metal cable, plaited bands, wire articles like barbed wire, fencing, grill, and netting, along with nails, pins, rivets, washers, and other non-threaded products. Bolts, screws, nuts, threaded products, and springs, excluding watch springs, are also included. Furthermore, the production of chains, household articles like flatware, hollowware, and dinnerware, kitchen utensils, appliances, and accessories falls within this category.

Manufacturers in this class also produce metal goods for office use, safes, strongboxes, armoured doors, ship propellers, anchors, railway track fixtures, clasps, buckles, hooks, foil bags, metallic magnets, vacuum jugs, bottles, signs, badges, military insignia, hair curlers, umbrella handles, frames, and combs.

  • 2599.01 Manufacture of pails, cans, drums, buckets, boxes
    This covers manufacturing various metal containers like pails, cans, drums, buckets, and boxes for storage or transportation.
  • 2599.02 Manufacture of tins and cans for food products, collapsible tubes and boxes
    This includes making tins and cans specifically designed for food products, along with collapsible tubes and boxes.
  • 2599.03 Manufacture of metallic closures
    This refers to creating lids, caps, and other metal closures for containers.
  • 2599.04 Manufacture of metal cable, plaited bands and similar articles
    This covers manufacturing metal cables, plaited bands, and similar flexible metal products.
  • 2599.05 Manufacture of uninsulated metal cable or insulated cable not capable of being used as a conductor of electricity
    This category includes manufacturing uninsulated metal cables or insulated cables not suitable for conducting electricity.
  • 2599.06 Manufacture of articles made of wire: barbed wire, wire fencing, grill, netting, cloth etc.
    This refers to manufacturing various articles made from wire, including barbed wire, fencing wire, grill mesh, netting, and woven wire cloth.
  • 2599.07 Manufacture of nails and pins
    This covers creating nails and pins of different sizes and types for fastening purposes.
  • 2599.08 Manufacture of rivets, washers and similar non-threaded products
    This includes manufacturing rivets (permanent fasteners) and washers (used to distribute pressure) and similar non-threaded metal products.
  • 2599.09 Manufacture of screw machine products
    This refers to manufacturing various parts and components using screw machines, which are automated machines for machining metal.
  • 2599.10 Manufacture of bolts, screws, nuts and similar threaded products
    This category covers manufacturing bolts, screws, nuts, and other threaded products used for fastening and assembly.
  • 2599.12 Manufacture of chain, except power transmission chain
    This refers to manufacturing chains of various types, excluding those specifically designed for power transmission in machinery.

Exclusions from this class consist of specific items such as ceramic and ferrite magnets, tanks, and reservoirs, along with swords, bayonets, clock or watch springs, wire and cable for electricity transmission, power transmission chains, shopping carts, metal furniture, sports goods, games, and toys.

Third-party Approval: These business activities do not require third-party approval. The exception is 2593.12 (Manufacture of padlocks, locks, keys, hinges and the like, hardware for buildings, furniture, vehicles etc.), which requires approval from the Police before the license is issued.

Filing of Economic Substance Return: These business activities are exempt from this requirement.

Anti-Money Laundering Compliance: These business activities are exempt from this requirement.

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