DP World, a prominent global trade enabler, is gearing up to bolster global supply chain resilience by adding a substantial 3 million Twenty-Foot Equivalent Units (TEUs) of new container handling capacity by the close of this year. As a result of these expansions, DP World’s total gross capacity is projected to reach an impressive 93.6 million TEUs, a crucial enhancement to meet the surging demand in vital trade markets.
Presently, DP World manages around 9% of the world’s handling capacity, positioning itself within the top five global port operators. The company’s targeted capacity augmentation is set to transpire in multiple key locations across the globe, including Caucedo (Dominican Republic) with an additional 1.2 million TEU, Yarimca (Turkey) expected to contribute an extra 579,000 TEU, Sokhna (Egypt) adding 500,000 TEU, and Jeddah (Saudi Arabia) increasing by 200,000 TEU, among other significant markets.
In light of the ongoing challenges posed by inflation, elevated costs of living, and geopolitical uncertainties, DP World’s expansion initiatives are timely. The escalating concerns about global trade have led to a growing demand for more robust and agile supply chain solutions. Notably, supply chain advisors, Drewry, have forecasted a surge in global container throughput to 932 million TEU by 2025, up from 858 million TEU in 2021.
DP World’s recent “Trade in Transition 2023” report highlights that businesses remain focused on growth through market expansion, citing burgeoning demand and operational expansion into new markets as key drivers. The report also underscores technology’s pivotal role, with executives optimistic about global trade due to the utilization of technology.
Sultan Ahmed bin Sulayem, Group Chairman and CEO of DP World, emphasized the company’s commitment to investment in infrastructure to meet the mounting trade demand. These capacity expansions are expected to solidify DP World’s standing as a premier global supply chain solutions provider that bridges economies, businesses, and consumers worldwide.
Furthermore, DP World’s expansion strategy encompasses digitalization efforts, incorporating novel technologies and modern Terminal Operating Systems. These digital enhancements are set to streamline operations and drive automation within each port, resulting in improved trade flow and more efficient customer processes.
Automated equipment and innovative operational methods are projected to significantly amplify DP World’s handling capacity without necessitating a larger physical footprint. A noteworthy ecological benefit accompanies this advancement: the substitution of fossil fuel-powered equipment with electrically-powered automated equipment will substantially reduce CO2 emissions for both DP World and its clients.
As part of its forward-looking approach, DP World recently introduced the groundbreaking BOXBAY high-bay storage system at the Pusan Newport Corporation terminal in South Korea. DP World’s strategic involvement in PNC has already established it as one of the most high-performing container terminals in Asia, and the implementation of BOXBAY technology is set to further elevate operational efficiency.
The upcoming operational commencement of Indonesia’s Belawan New Container Terminal (BNCT) is another milestone for DP World. With plans to boost BNCT’s capacity to 1.4 million TEUs and foster more direct calls, DP World aims to reduce dependence on regional hub ports. This move will strengthen its position as a pivotal trade and logistics gateway in the Malacca Strait, a crucial shipping route.
In addition to these accomplishments, DP World secured a significant concession to develop and operate the Tuna-Tekra mega container terminal at Deendayal port in India. Upon completion, the terminal’s 1,100-meter berth will handle 2.19 million TEUs per year, providing a vital infrastructure boost for container traffic growth in India, particularly serving Northern, Western, and Central regions. This initiative will contribute to reduced logistics costs and enhanced supply chain efficiencies across the board.
With their extensive expansion plans and emphasis on technological integration, DP World is poised to play a pivotal role in shaping the future of global trade and supply chain operations.
