On 20 September 2026, Etihad Rail Freight and AD Ports Group launched a direct rail-freight service between Fujairah Terminals and the Industrial City of Abu Dhabi (ICAD). Alongside the launch, ICAD received its own UN/LOCODE ‘AECAD’ — shipping lines, freight forwarders and cargo owners can now book cargo directly to the industrial city as a destination, with customs clearance, inspection and cargo release handled inland at ICAD, bypassing the road leg between the port and Abu Dhabi.
What has been launched
The new service is an integrated logistics solution: rail transport operated by Etihad Rail Freight (a subsidiary of Etihad Rail) plus an inland cargo gateway at ICAD that works as a customs-enabled point. According to the Abu Dhabi Media Office press release, cargo arriving at Fujairah Terminals is moved by rail to ICAD, where importers and logistics providers complete customs clearance, inspection and cargo release — without the mandatory road leg between the port and Abu Dhabi.
The service targets importers, exporters, manufacturers, distributors and logistics providers operating across Abu Dhabi. It offers scheduled rail movements, greater capacity for high-volume cargo and lower per-unit CO₂ emissions compared with long-distance trucking.
UN/LOCODE ‘AECAD’ — why the code matters for importers
A key accompanying element of the launch is the designation of ICAD with its own international identifier, UN/LOCODE ‘AECAD’. UN/LOCODE is the United Nations standard for identifying ports, terminals and inland locations within global shipping and trade systems. Until now, UAE industrial zones were typically identified in booking systems via the nearest seaport; ICAD now stands as an independent destination in its own right.
What this changes in practice: shipping lines, freight forwarders and cargo owners can enter AECAD as the final destination in booking systems and include it in bills of lading, ETA forecasts and tracking systems. Cargo clearance, customs formalities and inspection are performed inland — at ICAD, not at the port itself. For Abu Dhabi’s industrial residents this shortens the cycle from vessel arrival to material actually reaching the production line.
How this changes logistics for UAE businesses
Fujairah is the UAE’s only major seaport on the east coast, facing the Gulf of Oman and the Indian Ocean outside the Strait of Hormuz. A direct rail link to ICAD — Abu Dhabi’s largest industrial zone — removes the mandatory road-haul leg on the Fujairah → Abu Dhabi corridor.
Two practical effects for businesses. First, predictable transit times: scheduled movements against the volatility of road traffic and border queues. Second, lower per-unit costs at high volumes and a smaller carbon footprint — important for companies with ESG commitments and for corporate buyers demanding low-carbon supply chains.
For anyone planning to set up a logistics centre or warehouse in the UAE, the new rail route becomes a location factor: proximity to ICAD now means not just access to Abu Dhabi’s industrial cluster, but a direct rail link into the east-coast cargo corridor.
Place in the UAE National Rail Network and trade corridors
Omar Alsebeyi, CEO of Etihad Rail Freight, told the Abu Dhabi Media Office that the launch marks ‘another important step in unlocking the full potential of the UAE National Rail Network’, and highlighted the reduction in time between vessel arrival and final delivery. Saif Al Mazrouei, CEO of Ports Cluster at AD Ports Group, framed the economics as follows: ‘Strong trade corridors are built by connecting gateways with the industrial and commercial ecosystems they serve’.
Fujairah–ICAD is another link in the national rail network, which progressively connects seaports, industrial zones and interior regions of the country. In parallel, the UAE is actively expanding outward trade corridors through bilateral Comprehensive Economic Partnership Agreements (CEPA) with key markets. Domestic rail infrastructure and outward trade agreements pull in the same direction: lowering end-to-end logistics costs for goods moving through the UAE.
What importers and exporters should do
Practical steps for companies routing cargo through Fujairah or storing goods in Abu Dhabi:
- Enter AECAD in booking systems. If you ship cargo with a shipping line or freight forwarder into Fujairah for onward movement to Abu Dhabi’s industrial zones, ask about booking through to AECAD as the destination code. This moves clearance inland and removes the road leg.
- Revisit contracts with logistics providers. If you had long-term road-haul rates for Fujairah → Abu Dhabi, request a rail-freight alternative and compare end-to-end costs — including transit time, insurance, fuel surcharges and carbon reporting.
- Check your licence footprint. Companies registered at ICAD (Abu Dhabi Industrial City) or in adjacent clusters such as Khalifa Industrial Zone gain the most direct benefit. Residents of DMCC and JAFZA in Dubai should benchmark total logistics costs against their current routing.
- Update ESG reporting inputs. Shifting a portion of volumes to rail-freight lowers Scope 3 emissions — you can request the methodology from Etihad Rail Freight and factor it into corporate reporting.
This article is based on the Abu Dhabi Media Office press release of 20 September 2026 and open sources (Gulf News, Emirates 24|7, Dubai Eye 103.8). Specific volumes, schedules and tariffs should be confirmed with Etihad Rail Freight and AD Ports Group. The article is for information only and does not constitute a commercial offer or logistics advice.
