In a move that could redefine urban transit in the Middle East, Dubai's Roads and Transport Authority (RTA) has officially partnered with Elon Musk's The Boring Company to build an underground passenger tunnel system dubbed "Dubai Loop." The agreement was signed by HE Mattar Al Tayer, Director General and Chairman of the Board of Executive Directors of the RTA, on the sidelines of the World Governments Summit 2026, marking the first international expansion of The Boring Company's tunnel transit concept outside the United States. This is not a concept study or a future aspiration — it is a signed implementation agreement with a defined pilot route, budget, timeline, and capacity targets.
Every detail in this article is sourced from official RTA and Dubai Media Office announcements published through mediaoffice.ae and rta.ae.
Phase 1 at a Glance — RTA Official Data
6.4 km pilot route with 4 stations linking DIFC to Dubai Mall — estimated cost of AED 565 million, capacity of 13,000 passengers/day
What Is the Dubai Loop?
The Dubai Loop is a dedicated underground transit system that uses narrow-diameter tunnels — approximately 3.6 meters — to shuttle passengers in autonomous electric vehicles at high speed beneath the city. Unlike conventional metro systems that require massive tunnel boring machines, deep excavation, and years of surface-level disruption, The Boring Company's approach uses smaller, faster machines that can operate at a fraction of the cost and timeframe.
The concept has already been proven in Las Vegas, where The Boring Company operates a 2.7 km tunnel system connecting the Las Vegas Convention Center with three stations. That system, known as the Vegas Loop, is now being expanded to a 68-mile citywide network connecting 100+ stations across the Las Vegas Strip, Allegiant Stadium, Harry Reid International Airport, and downtown. Dubai's adoption of this proven technology — rather than an untested prototype — significantly de-risks the project.
Passengers in the Dubai Loop will travel in Tesla vehicles through dedicated tunnels with no traffic lights, no intersections, and no surface congestion. The system offers point-to-point transit with minimal stops, dramatically reducing travel times compared to surface roads or even existing metro connections.
Phase 1: DIFC to Dubai Mall — The Pilot Route
The first phase covers a 6.4 km stretch from the Dubai International Financial Centre (DIFC) through to Dubai Mall, featuring four strategically located stations. This corridor was chosen because it connects two of Dubai's highest-traffic destinations — the financial district that houses hundreds of international banks and firms, and the world's most visited shopping and entertainment destination attracting over 100 million visitors annually.
RTA estimates this pilot route will carry approximately 13,000 passengers per day once fully operational. The estimated cost for Phase 1 is AED 565 million (approximately USD 154 million), a figure that highlights the cost efficiency of the tunnel-boring approach compared to traditional underground rail systems that can cost 10-20x more per kilometer.
Construction is expected to begin following a detailed design and engineering phase and take roughly one year to complete — a timeline that is aggressive by conventional infrastructure standards but consistent with The Boring Company's track record in Las Vegas.
Phase 1 Station Locations
- Station 1 — DIFC Gate: Serving the Dubai International Financial Centre, home to 35,000+ professionals and 4,000+ companies
- Station 2 — Business Bay Crossing: Connecting to the high-density residential and commercial corridor along the Dubai Water Canal
- Station 3 — Downtown Boulevard: Providing access to Downtown Dubai, the Burj Khalifa, and Dubai Opera district
- Station 4 — Dubai Mall: Direct underground connection to the world's largest shopping and entertainment destination
Phase 2: The Full 22.2 km Network
The complete Dubai Loop network will span 22.2 km with 19 stations, extending the system from the Dubai World Trade Centre and financial district through Business Bay and into the broader central Dubai corridor. At full capacity, the expanded system is projected to transport up to 30,000 passengers daily, with an estimated total investment of AED 2 billion (approximately USD 545 million).
The 19-station network will create an underground backbone connecting some of Dubai's most commercially important areas — linking trade and exhibition facilities at DWTC, the financial hub at DIFC, the mixed-use development at Business Bay, the retail and tourism center at Downtown, and potentially extending to the Dubai Design District (d3) and City Walk corridor.
How the Technology Works
Narrow-Bore Tunnel Boring Machines
The Boring Company uses custom TBMs with a 3.6-meter diameter — roughly one-quarter the size of conventional subway tunnel borers. This smaller diameter means less material to excavate, faster boring speeds, lower costs, and minimal disruption to surface infrastructure during construction
Autonomous Electric Vehicles
Passengers travel in modified Tesla vehicles that are fully electric and autonomous within the tunnel environment. Each vehicle carries up to 16 passengers and operates on a dedicated guideway with no human driver required
Zero-Emission Operations
The entire system runs on electricity with zero direct emissions. Combined with DEWA's expanding solar energy grid and the Mohammed bin Rashid Solar Park, the Dubai Loop can be powered entirely by renewable energy
Point-to-Point Express Transit
Unlike metro systems that stop at every station, Loop vehicles can travel directly from origin to destination with no intermediate stops, significantly reducing travel times for most routes
Integration with Dubai's Existing Transport Network
The Dubai Loop does not exist in isolation — it is designed to integrate with RTA's existing multi-modal transport network. Dubai already operates the world's longest driverless metro system (the Red and Green Lines spanning 90 km), an extensive bus network, the Dubai Tram, marine transit via Dubai Ferry and Water Bus, and ride-hailing services. The Loop adds a new layer of underground express connectivity that complements rather than competes with existing services.
Several of the proposed Loop stations are positioned near existing Dubai Metro stations, allowing seamless transfers between the surface metro and the underground Loop. For example, the DIFC station connects to the Emirates Towers Metro Station, while the Downtown station provides connections to the Burj Khalifa/Dubai Mall Metro Station on the Red Line.
RTA has also been advancing its autonomous transport agenda through the Dubai Autonomous Transportation Strategy, which aims to have 25% of all transport journeys in Dubai conducted by autonomous vehicles by 2030. The Loop contributes directly to this target by adding a fully autonomous underground transit mode to the network.
"The project represents a qualitative addition to Dubai's transport ecosystem and supports the emirate's position among the world's leading cities in future mobility solutions."
— HE Mattar Al Tayer, Director General and Chairman of the Board of Executive Directors of the RTA
Cost Efficiency Compared to Traditional Metro Systems
One of the most compelling aspects of the Dubai Loop is its cost efficiency. Traditional metro tunnel construction typically costs between AED 3-7 billion per kilometer in dense urban environments, factoring in large-diameter tunnels, stations, ventilation systems, track installation, and rolling stock. The Dubai Loop's Phase 1 cost of AED 565 million for 6.4 km works out to approximately AED 88 million per kilometer — a fraction of conventional metro costs.
This cost advantage comes from multiple factors: the smaller tunnel diameter reduces excavation volume by roughly 75%, the electric vehicle-based system eliminates the need for heavy rail infrastructure, and the simpler station design avoids the massive underground caverns required for metro platforms. The result is a system that can be built faster, cheaper, and with less disruption to the city above.
Economic Impact and Urban Development
Infrastructure projects of this scale create cascading economic benefits. The areas surrounding Loop stations are expected to see increased property values, commercial activity, and foot traffic. DIFC, already commanding some of the highest commercial rents in the Middle East, will benefit from direct underground connectivity to Dubai's largest retail and tourism destination. Business Bay, where thousands of new residential units are under construction, gains a rapid transit option that enhances the area's appeal to professionals and families.
For Dubai's tourism sector — which welcomed over 18 million international overnight visitors in 2024 — the Loop provides a futuristic transport experience that itself becomes a tourist attraction. The Las Vegas Loop has already demonstrated this effect, with thousands of convention visitors choosing the tunnel system over traditional taxis and rideshares.
Environmental Alignment with Dubai Clean Energy Strategy 2050
The Dubai Loop directly supports the Dubai Clean Energy Strategy 2050, which targets 75% of Dubai's total power capacity from clean energy sources by 2050. As a fully electric system powered by Dubai's expanding solar and clean energy grid, the Loop produces zero direct transport emissions. Each passenger trip that shifts from a surface vehicle to the Loop reduces carbon emissions, traffic congestion, and fuel consumption.
Dubai's commitment to sustainability is not aspirational — the Mohammed bin Rashid Solar Park is already the world's largest single-site solar park with a planned capacity of 5,000 MW by 2030. The electricity that powers the Loop will increasingly come from this renewable source, making the tunnel system one of the greenest mass transit options available anywhere in the world.
What This Means for Residents, Commuters, and Businesses
Practical Impact of the Dubai Loop
- Daily commuters: DIFC-to-Dubai Mall in minutes instead of 20-40 minutes by road during peak hours
- Business travelers: Rapid connections between financial district meetings and hotel/retail areas
- Tourists: A futuristic transport experience that doubles as an attraction
- Property investors: Station-adjacent properties expected to see significant value appreciation
- Employers in DIFC/Business Bay: Enhanced connectivity makes these areas more attractive for talent recruitment
- Environment: Zero-emission electric transit powered by solar energy
- Surface traffic: Every Loop passenger is one fewer car on Sheikh Zayed Road during peak hours
Timeline and Next Steps
With the agreement signed at WGS 2026, the project now enters a detailed design and engineering phase. RTA and The Boring Company will conduct geological surveys along the proposed route, finalize station designs, secure necessary permits, and establish a construction timeline. Based on The Boring Company's experience in Las Vegas, where tunnels were completed in approximately 10-12 months, the Phase 1 pilot could be operational by late 2027 or early 2028.
The success of Phase 1 will determine the pace and scope of the full 22.2 km network rollout. If passenger demand meets or exceeds projections — as it has in Las Vegas — the economic case for rapid expansion to 19 stations becomes compelling. Dubai has a track record of accelerating infrastructure delivery when demand warrants it, as demonstrated by the rapid expansion of the metro, tram, and road networks over the past two decades.
The Dubai Loop represents more than a transport project. It is a statement of intent — that Dubai will adopt and scale the most advanced infrastructure technologies available, integrate them into a world-class multi-modal network, and do so at a speed and cost that sets new benchmarks for cities worldwide.