Dubai South Free Zone is a master-planned economic city built around Al Maktoum International Airport (DWC), which is currently undergoing an AED 128 billion expansion to become the world’s largest airport with capacity for 260 million passengers annually. Operated by the Dubai Aviation City Corporation (DACC) under the Government of Dubai, it is the UAE’s strategic free zone for logistics, aviation, e-commerce fulfillment, and trading businesses that depend on air-cargo and multimodal connectivity.
Whether you are launching a tech startup in the Business Park or a multi-national distribution center in the Logistics District, Dubai South offers the regulatory credibility of a Dubai Government authority with the scalability of a world-class trade hub.
Dubai South is the only Dubai free zone with direct air-side, sea-side, and land-side connectivity in a single jurisdiction. It is the preferred choice for investors whose business model depends on physical movement of goods and aviation services.
Direct airside access to Al Maktoum International Airport (DWC), a bonded road corridor to Jebel Ali Port, and immediate access to the E311 and E611 highways. Cargo can move from sea to air in approximately 20 minutes unmatched by any other Dubai free zone.
Dubai South is classified as a “Designated Zone” under UAE VAT law. Qualifying transactions of goods inside or between Designated Zones are treated as outside the scope of UAE VAT, and qualifying companies can structure as a Qualifying Free Zone Person (QFZP) for 0% Corporate Tax on eligible income.
The Logistics District houses EZDubai, a 920,000 m² purpose-built e-commerce zone serving Amazon, Noon, DHL, FedEx, and Aramex. Dedicated facilities cover e-fulfilment, last-mile delivery, returns processing, cold chain, and supply centres without operators needing to construct from scratch.
Dubai South issues investor and employment residency visas with a 3-year validity, extending the standard 2-year free zone visa cycle issued by most other Dubai jurisdictions and reducing your renewal frequency.
Licenses are issued by Dubai Aviation City Corporation (DACC), a Government of Dubai entity. This carries higher recognition with UAE federal authorities, traditional banks (Emirates NBD, ENBD Business, ADCB), and customs than licenses issued by smaller standalone zones.
Dubai South is the immediate neighbour of Expo City Dubai (the Expo 2020 legacy district), giving member companies access to the post-Expo innovation, exhibition, and sustainability ecosystem and the Route 2020 metro line.
Al Arabiya Group manages the entire application process for every license type issued by the Dubai South Free Zone Authority. Your selection determines the district you incorporate in, your visa quota, and your office or warehouse requirements.
Authorised for the import, export, distribution, and storage of specified goods, plus retail and wholesale trading. You can register a single Commercial License or upgrade to a General Trading License covering an unrestricted product scope. It is Best For: Trading houses, importers, wholesalers, and FMCG distributors.
Permits the delivery of professional services including IT, marketing, management consultancy, accounting, legal advisory, and project management within the Free Zone and elsewhere in the UAE. Service activities cannot be combined with commercial trading activities under the same license. Professional service invoices may be issued directly to UAE Mainland clients without a local agent
Issued exclusively to companies physically located within the Logistics District. Covers contract logistics, freight forwarding, 3PL operations, last-mile delivery, customs clearance, and warehousing. This is the license category that grants bonded corridor access between DWC and Jebel Ali Port.
Permits light manufacturing, assembly, processing, and packaging of approved goods. Permitted within designated industrial plots or warehouse units inside the Logistics District or Business Park. Industrial activities require a registered physical facility, factory inspection, and Civil Defence approval before operations begin.
Issued under the Mohammed bin Rashid Aerospace Hub (MBRAH) within the Aviation District. Covers MRO (Maintenance, Repair and Overhaul), aircraft parts trading, ground handling, flight training, aerospace manufacturing, and aviation consultancy. The only UAE free zone license with direct airside access for aircraft movement, hangar leasing, and FBO operations.
A specialised license category for online retailers, marketplace operators, and digital fulfilment businesses. Holders gain priority access to EZDubai facilities, integrated customs clearance, and bonded fulfillment infrastructure. Cross-border online sellers, marketplace operators, and direct-to-consumer brands shipping into MENA and South Asia.
Authorised for educational consultancy, training institutes, vocational education, and educational support services — particularly relevant for aviation training providers operating alongside the Emirates Flight Training Academy.
Dubai South entities operate under the regulatory authority of the Dubai Aviation City Corporation (DACC) and are bound by all UAE Federal Laws covering Corporate Tax, Economic Substance, and Anti-Money Laundering. Al Arabiya Group manages these mandatory filings to prevent license suspension or fiscal penalties.
Every Dubai South entity must register with the Federal Tax Authority (FTA) and obtain a Tax Registration Number (TRN), regardless of profit or turnover. An annual Corporate Tax return must be filed. Failure to register within the FTA timeline results in an automatic administrative penalty of AED 10,000.
Dubai South is officially classified as a UAE “Designated Zone” for VAT purposes. Movements of goods between Designated Zones, and qualifying intra-zone trades, fall outside the scope of UAE VAT. Service supplies are still standard-rated at 5% VAT regardless of the supplier’s location.
Unlike some Dubai free zones, Dubai South requires audited financial statements to be submitted from the second year of license renewal onward. New companies are exempt in their first renewal year. Audited statements must be retained for a minimum of seven years to support FTA inspections.
Companies conducting “Relevant Activities” including Distribution & Service Centre Business, Headquarters Business, and Holding Company Business must file an annual ESR notification proving adequate economic presence in the UAE. Separately, every entity must register and maintain a Real Beneficiary (UBO) declaration.
Because Dubai South licenses are issued by a Government of Dubai authority (DACC), they hold strong standing with both traditional and digital UAE banks. Emirates NBD, ADCB, Mashreq, and Commercial Bank of Dubai (CBD) are familiar with Dubai South corporate documentation.
Affordable Dubai South Free Zone company set up packages with transparent pricing. Choose the right district and license type for your business goals.
Al Arabiya Group manages the entire incorporation through the Dubai South partner portal. We execute a strict four-step procedure to guarantee your 2026 setup meets every Dubai Aviation City Corporation (DACC) requirement.
Al Arabiya Group manages the entire incorporation through the Dubai South partner portal. We execute a strict four-step procedure to guarantee your 2026 setup meets every Dubai Aviation City Corporation (DACC) requirement.
We map your business model to the correct Dubai South district — Business Park, Logistics District, Aviation District, or EZDubai because each carries different facility, visa, and license-fee implications. We then map your operations to the exact activity codes recognised by the authority and confirm your visa quota based on chosen office or warehouse footprint.
We submit your three trade name options for DACC review along with passport copies, digital photographs, and shareholder details. The authority conducts an internal background check and issues Initial Approval. We verify your proposed name complies with UAE Federal Commercial Companies Law and Dubai South’s naming policy to prevent rejection.
We execute your facility lease flexi-desk, smart desk, fitted office, warehouse, or open-yard and process the final government fees. Dubai South issues your Trade License, Memorandum of Association (MoA), Certificate of Incorporation, and Establishment Card. Standard processing is completed in 3 to 7 working days, after which you can immediately apply for a corporate bank account.
For UAE residency, we apply for your 3-year Investor or Employment Entry Permit. Once active, we coordinate your medical fitness test and biometric Emirates ID enrolment, then process dependent visas for spouse and children. In parallel, we structure your KYC file for Emirates NBD, Mashreq, ADCB, Wio Business, or Mashreq Neo and accompany you through bank introduction calls.
Choosing the right free zone depends on your business model, not just the licence. If you are comparing Dubai South with a more flexible, digital-first option for technology or e-commerce, our detailed guide to IFZA vs Dubai South: Which Free Zone Is Best for E-commerce and Tech in 2026? breaks down the differences in workspace, visas, costs, fulfilment, warehousing and scalability.
FAQ's
Dubai South Free Zone occupies a 145 km² master-planned development in southern Dubai, built around Al Maktoum International Airport (DWC). It sits approximately 37 km from Dubai International Airport (DXB) and is directly accessible via the E311 and E611 highways and the Route 2020 metro extension. Its position next to Expo City Dubai and the bonded corridor to Jebel Ali Port make it the UAE’s only fully tri-modal free zone.
A standard Service or Commercial License is issued in 3 to 7 working days from the submission of complete documentation. Logistics and Aviation District setups requiring physical warehouse or hangar lease take longer typically 10 to 15 working days — because of facility allocation and regulatory inspection requirements.
No. Dubai South Free Zone permits 100% foreign ownership across all license categories, including Commercial, Service, Industrial, Logistics, and Aviation. No Emirati partner or local service agent is required to register or operate the company.
Under Executive Council Resolution No. 11 of 2025, Dubai South companies can legally operate in Mainland Dubai through a Dual License, a Mainland Branch, or a Temporary Operating Permit issued by the Department of Economy and Tourism (DET). For physical goods sold direct to mainland consumers without a dual licence, you still appoint a UAE-licensed distributor or customs agent.
Yes. Dubai South is classified as a “Designated Zone” under UAE VAT law, meaning qualifying movements of goods inside or between Designated Zones fall outside the scope of 5% VAT. Service supplies remain standard-rated. To benefit from 0% Corporate Tax on Qualifying Income, your company must also register and maintain status as a Qualifying Free Zone Person (QFZP) with the Federal Tax Authority.
Visa quota is tied to your office or facility type. A smart desk typically supports 0–1 investor visas, a flexi-desk 1–2, a fitted office 4–6, and a leased warehouse scales the quota proportional to floor area (approximately 1 visa per 9 m² of office space inside the Business Park). Investor and employment visas are issued for 3 years — a longer cycle than the standard 2-year visa offered by most Dubai free zones.
New Dubai South companies are exempt from audit submission in their first license renewal cycle. From the second renewal onward, an audited financial statement must be filed with the registrar. Under UAE Federal Tax law, audited statements must also be retained for seven years to support Corporate Tax declarations during FTA inspections.
A Dubai World Central Limited Liability Company (DWC-LLC) has a registered share capital of AED 300,000. However, this capital does not need to be deposited into a corporate bank account at incorporation, removing the immediate cash flow burden faced in some other UAE jurisdictions.
Dubai South is purpose-built for logistics, freight forwarding, e-commerce fulfilment, aviation MRO, aircraft parts trading, light manufacturing, and FMCG distribution. Service-based businesses such as consultancies and IT firms can also incorporate in the Business Park at competitive rates while gaining access to Expo City Dubai and the Al Maktoum airport expansion zone.
