By Matt Smith
Youzhny's greater consistency was decisive in the semi-final as his lower-ranked opponent made too many unforced errors to really trouble the world number 15.
At 4-5, a wide Youzhny forehand gave Melzer, 28, a chance to break and claim the opening set, but the left-hander clipped a forehand into the net after an 18-shot rally.
Melzer saved two break points at 5-5 but a third was beyond him as Youzhny, 27, delivered a measured lob winner and then served out the set.
The second set followed a similar pattern, with serve again dominating. Melzer missed an easy smash that would have given him two break points at 3-2.
Just 20 points were won against serve in the set. In the tiebreak, Melzer hit a backhand cross-court shot wide to give Youzhny a mini-break and ultimately the match as the Russian triumphed 7-4 in his fourth Dubai semi-final.
"Juergen played really well today," Youzhny told reporters. "He was aggressive. He won a lot of good points. So for me it was really tough."
(Editing by Clare Fallon)