Salik VAT rule in Dubai: New cost per toll gate crossing for UAE motorists

The introduction of a 5% VAT on Salik toll crossings starting June 1, 2026, directly affects the logistics segment of industrial procurement. Companies operating large fleets for the delivery of equipment, machinery parts, or onsite service vehicles will see a marginal but consistent increase in transportation overheads. This change requires an immediate update to logistics budget forecasts.

Procurement professionals managing transportation contracts should review their pricing agreements with logistics providers. If contracts allow for the pass-through of statutory costs, buyers can expect a slight uptick in delivery fees. This also incentivizes the optimization of route planning to minimize toll crossings, especially for frequent last-mile deliveries of industrial consumables.