HeadlinesBriefing favicon HeadlinesBriefing.com

Dubai Builds New Port to Bypass Strait of Hormuz

Financial Times Companies •
×

DP World is planning a new DP World port and container terminal on the UAE’s east coast to reduce Dubai’s reliance on the flagship Jebel Ali hub and bypass the Strait of Hormuz. The operator is negotiating a multipurpose port in Fujairah and a new terminal at the existing harbour, a move that could shift capacity outside Dubai and mark a seismic change for the emirate.

The project aligns with a UAE government initiative to bulletproof the economy against future hostilities with Iran, where the war has seen Iran fire nearly 3,000 drones or missiles. Shipping through the strait fell from about 135 vessels per day to under 40 after the Georgian‑Iranian conflict, forcing companies to rethink logistics corridors.

If approved, the new port would allow containers to enter and leave the country without passing through the strait, then be transported by truck to Dubai, Abu Dhabi and neighbouring Gulf states. DP World’s senior officer said the project could be completed within a year and a half, with initial investment in the hundreds of millions of dollars.

Jebel Ali will remain operational; the new facilities will serve as a defensive backup, ensuring trade flows even if the strait is closed again.