The United Arab Emirates (UAE) remained on high alert on Wednesday after a missile threat triggered emergency alerts across the country, followed by an accusation from Abu Dhabi that Iran had launched two ballistic missiles towards the UAE.
The escalation came as tensions between the US and Iran continued to deepen, with the two sides failing to revive stalled diplomacy and the vital Strait of Hormuz remaining at the centre of the conflict.
UAE missile alert: What happened
Residents across the UAE, including Dubai, received a missile threat alert at around 6.52pm UAE time on Tuesday, warning them to immediately seek shelter in the closest secure building.
Deep Dive
What triggered the recent missile alert in the UAE?
How did the UAE respond to the missile threat from Iran?
Why did Iran deny the allegation of launching missiles towards the UAE?
The alert was called off around 15 minutes later, with the UAE's Interior Ministry saying the situation was safe and asking residents to resume normal activities.
The UAE Ministry of Defence subsequently said its air defence systems had detected two ballistic missiles launched from Iran towards the country.
According to the ministry, one missile fell outside the UAE's territorial waters while the second fell within them. A later assessment said the missiles appeared to have been targeting maritime traffic. Both missiles fell into the sea, the ministry said.
The ministry said UAE forces remained on high alert and were prepared to deal with any threat to the country's security and sovereignty.
{{/usCountry}}The ministry said UAE forces remained on high alert and were prepared to deal with any threat to the country's security and sovereignty.
{{/usCountry}}The incident was the first such attack reported by the UAE since May, when Iran carried out strikes on targets in the country.
Iran denies missile attack
Iran has denied the UAE's allegation.
Iranian Foreign Ministry spokesperson Esmaeil Baghaei "categorically rejected" the claim that Tehran had launched a missile towards the UAE, calling the allegation baseless and harmful to efforts to build trust between regional countries.
Baghaei also accused regional parties of making unsubstantiated allegations at a time of heightened tensions and urged countries in the region to refrain from such accusations.
The dispute comes after a series of incidents involving UAE-linked shipping in the Strait of Hormuz. UAE state-run WAM has reported attacks on vessels belonging to Abu Dhabi National Oil Co. while they were transiting the waterway. Iran has not claimed responsibility for those attacks.
UAE suspends trade with Iran
Hours after accusing Iran of the missile launches, the UAE announced a major economic response.
Abu Dhabi suspended all trade, commercial exchanges and financial transactions with Iran "until further notice", citing regional escalations that it said were undermining regional and international peace and security.
The decision marks a sharp deterioration in relations between the neighbouring countries after a period of relative calm following a June memorandum aimed at facilitating talks to end the wider conflict.
The UAE has stressed that it wants to avoid further escalation, but the latest missile incident and the suspension of economic ties represent a significant new setback for regional diplomacy.
US-Iran war and Strait of Hormuz: Current status
The UAE developments come as the broader US-Iran conflict remains unresolved.
A 60-day period set under a June memorandum for Washington and Tehran to negotiate a wider peace agreement expired on August 17 without a breakthrough. The arrangement had been intended to help end the war and address issues including the reopening of the Strait of Hormuz.
US President Donald Trump said on Tuesday that there were no talks currently taking place or planned with Iran, while Iran has maintained that the Strait of Hormuz will remain closed until its conditions for ending the conflict are met.
Trump has also said the strait is open and operating, but shipping traffic remains dramatically below pre-war levels. The waterway previously carried roughly a fifth of global oil and liquefied natural gas shipments, making its disruption a major threat to global energy markets.