DP World is working on plans for a new port on the east coast of the United Arab Emirates. The site in Fujairah is intended to offer ships an alternative to the route through the Strait of Hormuz.
This is according to the Financial Times. The Dubai-based port operator is, according to the newspaper, in talks regarding the construction of a new port and a new terminal within the existing port of Fujairah. DP World hopes this will reduce the vulnerability of Jebel Ali.
DP World seeks route bypassing Hormuz
Jebel Ali is the largest port in the United Arab Emirates and one of the busiest seaports in the world. However, the port is situated on the inner side of the Persian Gulf. Ships wishing to reach Jebel Ali must therefore sail through the Strait of Hormuz.
This dependence has become a strategic risk. In recent months, the Strait of Hormuz has repeatedly been the subject of tensions, blockades, disputes over service charges and security incidents. For a logistics hub such as Dubai, disruption to this route can have immediate and far-reaching consequences.
Fujairah is situated on the Gulf of Oman, on the outer side of the Strait of Hormuz. This means ships can reach the port without passing through the strait. This makes the location an attractive alternative entry point for cargo flows bound for Dubai, Abu Dhabi and other parts of the Emirates. Further information on international sea freight can be found on the sea freight page.
Jebel Ali hit hard by closure of the Strait
According to the Financial Times, activity at Jebel Ali fell by 90 to 95 per cent after the Strait of Hormuz was closed at the start of the war in the Middle East. This underlines just how dependent the port is on free passage through the narrow strait.
According to DP World, Jebel Ali remains important and will not be phased out. The plans for Fujairah are primarily intended to provide additional resilience. Rather than relying on a single dominant gateway, Dubai wants to have more options for diverting cargo flows when the region comes under pressure.
For shippers and freight forwarders, this diversification is important. If a main route is cut off, an alternative port can help ensure goods still reach the region. On the other hand, onward transport by land requires additional costs, planning and capacity.
Fujairah is set to become a logistics alternative
According to reports, DP World is looking into a multi-purpose port and a container terminal in Fujairah. These facilities could handle freight that would otherwise enter the Persian Gulf via Jebel Ali. Containers could then be transported onwards to Dubai and Abu Dhabi via road or rail links.
Emergency routes had previously been used, allowing ships to call at Fujairah or Khor Fakkan, after which containers were transported overland to Jebel Ali. Such solutions are more expensive and complex than direct calls, but can be valuable when security or passage is under threat.
For international supply chains, this means that alternative infrastructure is becoming increasingly important. It is not just the seaport itself that matters, but also hinterland connections, customs processes, storage, transhipment and digital planning. Read more about multimodal transport, container handling and customs.
UAE also accelerating oil pipeline
The port plans do not stand alone. The United Arab Emirates had previously announced its intention to accelerate the construction of a new oil pipeline. The country aims to double its export capacity from Fujairah and reduce its dependence on the Strait of Hormuz.
Fujairah is therefore of interest not only for containers, but also for energy exports and strategic stockpiles. Its location outside the Strait of Hormuz makes the port attractive to countries and companies seeking to minimise their logistical risks.
This development is part of a broader trend. Countries around the Gulf are seeking ways to make the transport of oil, gas, containers and other goods less dependent on a single vulnerable strait. This shift could influence routes, investment and port competition in the region in the coming years.
Hormuz remains a vulnerable hub
The Strait of Hormuz remains one of the world’s most critical maritime chokepoints. The strait is of vital importance for oil and gas transport, as well as for container shipping to ports in the Persian Gulf.
If the route is closed or declared unsafe, this immediately causes problems for ports located beyond the strait. Ships must wait, take a detour or unload their cargo at alternative ports. This leads to higher costs, longer transit times and additional pressure on road and rail links.
For shipping lines and shippers, therefore, the focus is increasingly on risk diversification. A single efficient route is attractive as long as everything goes smoothly, but becomes vulnerable when geopolitical tensions rise. DP World’s plans demonstrate that major logistics players are adapting their networks accordingly.
Implications for shippers and freight forwarders
A new port in Fujairah may offer shippers more options, but it does not automatically simplify logistics. Cargo arriving via Fujairah often still needs to be transported overland to economic centres in the Emirates. This requires additional planning, capacity and coordination with local service providers.
Documentation and customs clearance may also change when the port of call shifts. Companies must take into account different terminals, different cut-off times, altered transport routes and possible additional costs for onward transport.
TOP is closely monitoring developments relating to DP World, Fujairah, Jebel Ali and the Strait of Hormuz. For customers, it remains important to take route options, surcharges and alternatives into account when sending shipments to the Gulf region. Further practical information can be found on the pages about exports, imports and requesting rates.
New port fits into broader risk strategy
DP World’s plans demonstrate how geopolitical uncertainty is accelerating investment in ports and transport corridors. Whereas capacity, scale and costs used to be the main considerations, security, accessibility and resilience now play a greater role.
As a result, Fujairah could develop into a more important logistics hub on the east coast of the Emirates. At the same time, Jebel Ali remains the central hub for Dubai. The key question is how both ports will be utilised together should the region face further disruptions.
For international trade, the message is clear: alternative routes are no longer a luxury, but an integral part of strategic planning. This is particularly true in regions where geopolitical risks have a direct impact on sea freight, energy and port operations.
…Fujairah is situated on the Gulf of Oman and is therefore accessible without passing through the Strait of Hormuz? This makes the port strategically attractive for cargo flows seeking to bypass the Persian Gulf.
