The Mohammed bin Rashid Aerospace Hub has entered an agreement with Atherion Aerospace, a subsidiary of Economic Group Holdings, to establish a new aerospace manufacturing facility at Dubai South. The deal, signed during the Dubai Airshow 2025, outlines plans for Atherion Aerospace to build and operate specialised production capabilities within the hub as the UAE expands its aviation supply chain and technical services sector. The move reflects a broader trend in the region, where demand for high-value aerospace manufacturing continues to rise alongside long-term investment in civil aviation, maintenance operations, and advanced engineering.
Under the agreement, Atherion Aerospace will focus on developing manufacturing services that support both domestic and regional aviation needs. While the specifics of the planned production lines were not disclosed, the initiative signals the UAE’s continued attempt to localise more elements of the aerospace industry rather than relying solely on imported parts and services. This approach aligns with national development strategies that emphasise industrial diversification and technical capacity building.
Executives from both organisations framed the partnership as part of Dubai South’s ongoing efforts to build a comprehensive aviation ecosystem. MBRAH’s leadership highlighted the hub’s existing infrastructure, which includes facilities for maintenance, repair, overhaul, training, and private aviation operations. The addition of a new manufacturing venture adds another component to a cluster designed to attract a range of global aerospace companies. While promotional optimism is common in such announcements, the practical impact will depend on how effectively the facility scales, the type of manufacturing it undertakes, and its integration with regional supply chains.
For Economic Group Holdings, the agreement represents an expansion into a sector that requires long-term investment and technical depth. The conglomerate, which operates more than 100 companies across several industries, has been diversifying into areas tied to regional industrial policy. Its entry into aerospace manufacturing suggests an interest in sectors that combine engineering expertise with stable, long-horizon growth. Whether Atherion Aerospace becomes a notable regional manufacturer will rely on regulatory approvals, certification processes, and the company’s ability to secure contracts in an increasingly competitive global market.
Dubai South continues to position MBRAH as a destination for aviation businesses seeking proximity to an expanding international airport zone and related infrastructure. The hub’s emphasis on connectivity and free-zone advantages has attracted various maintenance and training organisations. Adding a manufacturing presence may help broaden the ecosystem, though its long-term contribution will ultimately depend on demand cycles in commercial and private aviation, as well as the UAE’s broader economic ambitions.
