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CASE STUDY: Abu Dhabi Ports looks to the East for growth

by ASC Staff on Jan 4, 2018


While securing Port Khalifas growth for the rest of the decade, the deal does appear to be an example of the risk to which Dr. Naser was referring.
While securing Port Khalifas growth for the rest of the decade, the deal does appear to be an example of the risk to which Dr. Naser was referring.

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Toward the end of 2017, Abu Dhabi Ports has made two major announcements regarding its plans for giving Port Khalifa a solid growth plan going into the new year. The first was the confirmation of an agreement with COSCO for the Chinese shipping company to shift its primary hub of Middle East operations from Jebel Ali Port to Port Khalifa.

The move will be made as part of the shipping giant’s plans to develop a huge container freight terminal at the port.

Abu Dhabi Ports and COSCO Shipping Ports Limited (CSP) held a ground-breaking ceremony for the CSP Abu Dhabi Container Terminal at Port Khalifa in November, marking the start of the shipping giant’s plan to expand Port Khalifa’s annual container handling capacity by 3.5-million TEU.

A new agreement between CSP, the world’s leading ports operator, and Abu Dhabi Ports was also signed during the ceremony for development of the largest container freight station in the region.

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The new Container Freight Station will provide Abu Dhabi trade with a state of the art facility offering bonded LCL/FCL consolidation and de-consolidation services, cross stuffing, cargo weight reduction, short term warehousing for de-consolidated cargo as well as easy connectivity with the container terminals in Khalifa Port.

“Khalifa Port is one of the fastest growing ports and an important gateway port in the region, with huge potential and prospect. COSCO SHIPPING Ports is marching another step forward in the port development project with Abu Dhabi Ports,” said Ning Jizhe, deputy director of China’s National Development and Reform Commission (NDRC), which is providing a significant portion of the funding for the project.

Zhang Wei, vice chairman and managing director of COSCO Shipping Ports Limited said during the event that although the growth prospects for Port Khalifa are promising, the vast majority of container traffic for the new terminal will come from COSCO’s transhipment operations in the region.

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