DP World is the only firm from outside Europe and the US in Top 5 league with investments in the global logistics sector since 2012 exceeding US$10 billion
The Financial Times’ FDI Intelligence ranks DP World No.5 globally by total value of direct investments in the sector
Other companies in the Top 5 include US giant Amazon and Denmark’s Maersk
A more than US$10 billion total foreign direct investments (FDIs) landed DP World on Top 5 list of overseas investors in the global logistics sector since 2012, according to the latest (FDI) data released by leading industry consultants.
The Financial Times’ FDI Intelligence published recently its top five list for 2022 that ranks DP World No.5 globally by total value of direct investments in the overseas logistics services sector.
In the past year, DP World invested a total of $320 million despite demand for logistics services stalling as the world economy slowed. Industry demand growth in 2023 is expected to be in a single digit.
Other firms in the top five include US giant Amazon and A.P. Moller-Maersk from Denmark. DP World is the only firm in the top five that is based outside the US or Europe.
Commenting on the ranking, Sultan Ahmed Bin Sulayem, group chairman and CEO of DP World, welcomed the data shared by FDI Intelligence, saying it demonstrates where the group stands globally within the logistics sector, not only in 2022 but consistently over the last 10 years.
“DP World’s companies touch people’s lives around the world every day. Sometimes it is tangible, and sometimes we are in the background making sure people and businesses get the goods they require,” said Sultan Ahmed.
“Our infrastructure opens untapped trade opportunities, grows economies and makes goods more affordable. Investing in developing economies helps trade go further, facilitates economic growth, attracts foreign investment and generates thousands of jobs – raising the quality of life for everyone.”
The latest “Trade in Transition” study in January, commissioned by DP World and led by Economist Impact, revealed major shifts in globalization, as companies rushed to move manufacturing closer to home to protect against supply chain disruptions while increasingly protectionist policies are breaking the world into trade blocs.
The study’s key finding is that 96% of companies are making changes to their supply chains due to geopolitical events.
One of the company’s key priorities in 2022 was to broaden its partnerships to unlock this trade potential. DP World enhanced its relationship with India’s National Infrastructure Investment Fund (NIIF) to raise about $300 million and created a new investment platform with the British International Investment Group to accelerate investment in Africa.
The continent has been a key focus area of DP World, with the development of the Port of Ndayane in Senegal representing the beginning of a $1 billion investment. This is DP World’s largest port investment in Africa and the largest single private investment in that country’s history.
The nearby Dakar port is credited with a 10% uplift in Senegal’s GDP growth, so the new port will reinforce Senegal’s position as a trade hub in West Africa and advance its development through the next century.
Plans are also progressing to expand the capabilities of operations in Caucedo, Dominican Republic, while the Callao Port expansion in Peru will create one of the single biggest terminals in South America once it is completed later this year.
The UK has been another key destination for investment. Over the last decade, DP World has invested £2 billion in the UK, supporting thousands of jobs. For the next 10 years, the logistics provider has earmarked £1 billion in additional investment, with a £350 million new fourth berth at London Gateway now well under construction.
In Romania, DP World is also building new infrastructure at the Port of Constanta – including a new roll-on/roll-off (ro-ro) terminal – to turn it into one of the most critical cargo and vehicle hubs on the Black Sea, a key gateway for trade into Eastern Europe.