Dubai plans new Fujairah port to bypass Strait of Hormuz

Dubai is planning a new port and container terminal on the eastern coast of the United Arab Emirates in Fujairah. The move aims to lessen the emirate's dependence on its existing Jebel Ali port and bypass the Strait of Hormuz, a critical shipping lane that has faced disruptions.

The project, reported by the Financial Times, is part of the UAE's strategy to bolster its logistics network's resilience. Tensions between the United States and Iran have previously led to temporary closures of the Strait of Hormuz, severely impacting maritime traffic.

According to the report, the new infrastructure would allow containers to enter and exit the country via the Gulf of Oman. From Fujairah, goods could then be transported by road to Dubai, Abu Dhabi, and other Persian Gulf territories. This strategic shift would move some port capacity away from Dubai, which has historically relied heavily on Jebel Ali for its development as a global trade and re-export hub.

Activity at Jebel Ali, the Middle East's largest container port, reportedly fell by 90% to 95% when Iran closed the Strait of Hormuz. DP World, the port operator controlled by the Dubai government, is reportedly in discussions with officials to develop a new multipurpose port and terminal in Fujairah. While talks are preliminary and project details are undefined, a company official suggested the new facilities could be ready in about a year and a half. DP World confirmed to the Financial Times that it is working on plans to diversify its operations against future maritime trade disruptions.

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approximately a year and a half