Dubai-owned DP World is planning to develop a new multipurpose port and container terminal in Fujairah on the United Arab Emirates’ eastern coast, creating an alternative route for cargo that avoids the Strait of Hormuz. The proposal comes after months of disruption to commercial shipping caused by regional conflict, highlighting the risks of relying on one of the world’s busiest maritime chokepoints.
Jebel Ali Port has long been the UAE’s primary logistics hub and a key re-export centre connecting manufacturers in Asia with markets across the Middle East, Africa and Europe. However, every vessel travelling to or from Jebel Ali must pass through the Strait of Hormuz, a narrow waterway through which around one-fifth of the world’s oil supply is transported.
Shipping through the strait has faced repeated disruption since conflict escalated earlier this year. Missile attacks, drone strikes and heightened military activity have affected commercial navigation, while container operations at Jebel Ali reportedly fell sharply as shipping traffic declined.
The proposed Fujairah facility would allow ships arriving from the Indian Ocean to dock on the Gulf of Oman without entering the Strait of Hormuz. Cargo could then be transported overland to Dubai, Abu Dhabi and other Gulf destinations through existing road networks and, eventually, the Etihad Rail system.
According to reports, DP World is in advanced discussions with government authorities on the project, with financing and ownership details still being finalised. The company has indicated that the eastern coast expansion is intended to strengthen the UAE’s logistics resilience rather than replace Jebel Ali, which will remain the country’s flagship port.
The project also reflects a broader shift in the Gulf’s infrastructure strategy. While countries in the region have already invested in pipelines that allow oil exports to bypass the Strait of Hormuz, containerised trade has continued to depend heavily on the waterway. A new logistics hub in Fujairah would provide an alternative route for non-oil cargo during periods of regional instability, helping reduce disruption to supply chains and strengthening the UAE’s position as a regional trade hub.
Source: Firstpost
