DP World to build UAE ports bypassing Strait of Hormuz

Dubai-based port operator DP World has agreed to develop two deep-water terminals on the United Arab Emirates’ eastern coast, a move aimed at enabling global trade flows that bypass the Strait of Hormuz.

In a company statement released on July 23, DP World said the new infrastructure would allow vessels to access international shipping routes without transiting the chokepoint, where rising regional tensions have disrupted traffic.

The company has signed a preliminary 50-year concession agreement with the Fujairah Port Authority to build the Al-Rugaylat container and multipurpose terminal, along with a general cargo terminal in Dibba. Construction is expected to proceed in phases and take up to 30 months.

The planned facilities will be integrated with Jebel Ali Port and the Jafza through an internal logistics network, strengthening connectivity across domestic and international supply chains.

“Fujairah strengthens what Jebel Ali already provides: a unified global integrated platform for moving goods across global supply chains, as well as within the UAE and beyond. As Jebel Ali operates at high capacity, this project provides additional capacity to support long-term growth,” said DP World Chief Executive Yuvraj Narayan.

He added that for cargo owners, the expansion would mean “greater flexibility, wider choice and increased supply chain resilience.”

The investment comes amid mounting constraints on shipping through the Strait of Hormuz following escalating tensions involving Iran. Container volumes through Jebel Ali — DP World’s flagship hub — have declined, prompting logistics providers in the UAE and across the Gulf to shift toward alternative transport corridors, including road and rail.

In July, DP World acquired 700 trucks to expand its regional road freight capacity. The company estimates the additional fleet will enable up to 35,000 extra trips per month, supporting both domestic and cross-border supply chains. Its existing fleet currently carries out around 3,000 trips per day.

By Tamilla Hasanova