Residents of the UAE have now lived with the fallout of US-Iran tensions for nearly six months, and the effects on daily life are concrete and growing. Flights are being cancelled. Airfares are climbing. Security warnings persist. For anyone planning to travel or simply trying to make sense of the region’s volatility, here is what the situation looks like tonight.
Gulf aviation is in a precarious state. Emirates has cancelled two Dubai-Bahrain flights, Air Arabia has suspended services to Kuwait and Bahrain, and Etihad has extended cancellations on several Abu Dhabi-Bahrain routes through August 21. Dubai International Airport is reporting multiple delays as airlines adjust their schedules in response to shifting security conditions. Passengers should verify their flight status before heading to the airport and prepare for longer journey times.
The disruption is not expected to ease quickly. A report by Tourise and Oxford Economics warns that airfares across the UAE could remain elevated throughout much of 2026 as airlines work through capacity constraints and fuel market pressures. Even under a relatively optimistic scenario, global airfares may stay 5 to 10 per cent above pre-war levels, with a prolonged crisis driving prices considerably higher. The scale of the problem is underscored by one figure: the Gulf region handles roughly 14 per cent of global transit traffic, and approximately one-fifth of Europe-Asia travel routes through regional hub airports.
Meanwhile, the UAE government has moved to address misinformation circulating about the country’s role in the conflict. Dr Anwar Mohammed Gargash, Diplomatic Adviser to the UAE President, dismissed reports claiming the UAE was cancelling workers’ residency visas or offering financial assistance to Iran. He characterized these claims as false information spread through what he called “desperate media campaigns,” and emphasized that the UAE remains focused on managing regional developments and preparing for future scenarios rather than responding to unsubstantiated allegations.
The warnings from Tehran have grown more pointed. Ali Abdollahi, chief of staff of Iran’s armed forces, stated that “any assistance or facilitation provided to the aggressor US military amounts to participation in the US military operation,” according to Iran’s Mehr news agency. That statement came as the USS George Washington aircraft carrier was redeployed to the Middle East to replace the USS Abraham Lincoln, a visible sign of sustained American naval presence in the region.
Diplomatic activity is running alongside the military posturing. Iraq has asked Iran to grant special status to Iraqi oil exports passing through the Strait of Hormuz, a proposal made by parliament speaker Haibat Al Halbousi during talks with Iranian counterpart Mohammad Bagher Ghalibaf in Baghdad. Ghalibaf, for his part, suggested the US is seeking an “honourable exit” from the region and described an emerging “new regional order” in which foreign powers’ influence is diminishing.
NATO has signaled it is watching closely. A NATO official told Reuters the alliance is prepared to defend all allies and will “always do what is necessary” to respond to any threat, following reports that Iran had considered targeting US military facilities in Europe.
At its core, the standoff reflects a calculated bet on both sides. The Trump administration appears to be relying on sustained economic and naval pressure rather than pursuing immediate diplomatic negotiations, while Tehran has indicated it is prepared to continue the conflict if that pressure persists. The practical consequences for ordinary people across the Gulf are already visible: strained shipping through the Strait of Hormuz, restricted flight options, and rising costs that show little sign of reversing. Whether the competing signals of diplomacy and military readiness produce any breakthrough, or simply extend the uncertainty further into 2026, remains the question residents and travelers are left to sit with.