The United Arab Emirates is advancing a multibillion-dollar infrastructure plan to eliminate its economic dependence on the Strait of Hormuz, fast-tracking new pipelines and port expansions following months of regional conflict.

The initiative follows an interim peace deal between the United States and Iran aimed at fully reopening the critical maritime chokepoint.

Hormuz has been effectively closed since late February, when U.S. and Israeli airstrikes on Iran prompted Tehran to launch nearly 3,000 drones and missiles at the UAE, damaging some energy and port facilities.

"We’re moving toward having zero Hormuz dependency, and that’s regardless of whether it’s open or not," UAE Minister of Foreign Trade Thani Al Zeyoudi said in an interview.

At the center of the strategy is a major pipeline expansion to redirect the nation's energy exports.

The UAE is fast-tracking construction of a second pipeline to double the crude volume it can export via the eastern port of Fujairah, which sits outside the strait on the Gulf of Oman.

Officials are also evaluating a third petroleum pipeline to connect interior oil fields directly to eastern coastal terminals.

Currently, a single 1.5 million barrel-per-day pipeline to Fujairah serves as the UAE's lone overland crude lifeline.

While roughly one-fifth of global crude and liquefied natural gas passed through Hormuz before the war, the recent shutdown forced the UAE to rely on blacked-out tankers and expensive air freight to move commodities.

The broader plan includes expanding the eastern ports of Dibba, Fujairah, and Khor Fakkan, constructing a new harbor, and building extensive rail and road networks.

Al Zeyoudi declined to provide a specific timeline or cost for the projects, noting they remain in the feasibility phase, but acknowledged they will require billions of dollars.

Redirecting the economy remains an uphill battle. While pipelines can divert crude, shifting infrastructure for commodities like LNG and aluminum is significantly harder.

Heavy reliance on Persian Gulf import hubs like Dubai’s Jebel Ali port means trucking goods to major metropolitan areas will raise domestic costs, though officials hope an expanded rail network will mitigate the expenses.