HomeWarehouses and infrastructureSaudi Arabia Secures $434 Million for 2.6 Million TEU Jeddah Terminal

Saudi Arabia Secures $434 Million for 2.6 Million TEU Jeddah Terminal

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RSGT and CMA CGM will develop deep-water berths and install 10 new cranes to expand Saudi Arabia’s container capacity and strengthen Jeddah’s links with global trade routes

Partners Sign Definitive Agreements

Saudi terminal operator Red Sea Gateway Terminal (RSGT) and French shipping and logistics group CMA CGM have signed definitive agreements to jointly develop and operate Terminal 4 at Jeddah Islamic Port.

The project represents an investment of approximately $434 million, or SAR 1.6 billion, and will be implemented in cooperation with the Saudi Ports Authority, Mawani. The agreements were signed in Paris during a French-Saudi investment roundtable.

Unlike the preliminary memorandum signed by the companies in 2025, the new agreements establish the framework for the project’s implementation. However, the construction timetable and planned commissioning date have not yet been announced.

Terminal Will Add Up to 2.6 Million TEU

According to the official CMA CGM announcement, Terminal 4 will add up to 2.6 million TEU of annual container-handling capacity at Jeddah Islamic Port.

The development will include:

  • new deep-water berths;
  • 10 ship-to-shore container cranes;
  • advanced terminal-management technologies;
  • infrastructure capable of handling the world’s largest container vessels;
  • improvements in cargo-handling speed, reliability and efficiency.

Terminal 4 will form part of RSGT’s existing concession. The additional infrastructure is expected to help Jeddah accommodate next-generation container ships and attract more international shipping services.

Jeddah Strengthens Its Position Between Three Continents

Jeddah Islamic Port is located on the Red Sea and serves trade flows connecting Asia, Europe and Africa. Its expansion is expected to improve access to international markets for Saudi importers and exporters while strengthening the port’s position within major global shipping networks.

The additional capacity is particularly important as instability in the Red Sea continues to reshape established shipping routes. New berths and cargo-handling equipment should give the port greater flexibility in managing container flows and reducing congestion risks when vessel calls increase.

Mawani President Suliman bin Khalid Al-Mazrou said the agreement reflected Saudi Arabia’s attractiveness to maritime investors and growing confidence in the Kingdom’s port sector.

“Today, alongside RSGT, we are taking a major new step forward in Jeddah with a state-of-the-art terminal designed to handle the world’s largest container vessels and equipped with the most advanced technologies,” CMA CGM Group Chairman and CEO Rodolphe Saadé said

Investment Could Improve Supply-Chain Resilience

For carriers and cargo owners, the expansion could provide access to additional shipping services, greater container-handling capacity and more predictable port operations.

The deep-water berths will allow larger vessels to call at Jeddah without being redirected to other regional ports. This could reduce transshipment requirements and improve connections between maritime services and Saudi Arabia’s inland logistics network.

The project supports the objectives of Saudi Vision 2030, which seeks to transform the Kingdom into a major international transport and logistics hub. Reuters reported that the agreement represents one of the largest foreign direct investments in Saudi Arabia’s maritime sector.

Read also: Half a Billion Dollars into the Port: Jubail Prepares for Major Modernization

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