-
DP World is adding 3 million TEUs to increase its handling capacity by the end of 2023
-
The Dubai-headquartered global port developer and operator is building more infrastructure to achieve its capacity expansion target
-
DP World’s port expansion projects in Caucedo, Yarimca, Sokhna, and Jeddah are expected to be finished this year
DP World is adding around 3 million TEUs (twenty-foot equivalent units) of container handling capacity by the end of 2023 by building much-needed infrastructure to boost its global supply chain resilience, the company said.
The Dubai-based global port developer and operator said its port expansions that should be completed this year are in Caucedo, Dominican Republic, with an additional 1.2 million TEUs; Yarimca, Türkiye, an additional 579,000 TEUs; Sokhna, Egypt, adding 500,000 TEUs; and Jeddah, Saudi Arabia, adding 200,000 TEUs, among other key markets.
“We are committed to investing in our infrastructure to meet the growing demand for trade,” said Sultan Ahmed bin Sulayem, DP World group chairman and CEO.
“These capacity additions will further strengthen our position as a leading global supply chain solutions provider connecting economies, businesses and consumers around the world.”
The global trade enabler manages around 9% of the world’s handling capacity, putting it among the Top 5 international port operators.
The expansions will take its total gross capacity to 93.6 million TEUs, helping meet growing demand in crucial trade markets.
Drewry Supply Chain Advisors forecast global container throughput will grow to 932 million TEUs by 2025, up from 858 million TEUs in 2021.
The Emirati company’s capacity expansion plans come at a vital time with inflation, increased cost of living, and geopolitical uncertainties causing concern about global trade and fuelling demand for faster, more resilient supply chain solutions.
According to DP World’s recent Trade in Transition 2023 report, businesses are still prioritizing growth through market expansion, citing the key drivers of export growth in 2023 are growing demand and expansion of operations into new markets.
The report also revealed the use of technology as the top reason executives remain optimistic about global trade.
Alongside the physical expansion, the projects also focus on digitalization – implementing new technology and modern Terminal Operating Systems, which will further increase capacity by automating and streamlining operations within each port, enabling greater trade flow and more efficient processes for customers.
DP World expects to significantly boost its handling capacity within the same physical footprint by introducing automated equipment and more innovative ways of working.
“We have to take a longer-term view of global economics, looking at how demand will change and how we can meet it in the most efficient way. Our medium-term target is to reach 100 million TEU a year, subject to demand,” said Tiemen Meester, COO Ports & Terminals, DP World.
RELATED READ: DP World’s global ports lift 19.5M TEUs in Q1
