AD Ports Group and China’s Shandong Port Group (SPG) have inked several collaborative agreements to establish a strong partnership and enhance cooperation. The announcement, made in December 2021, solidifies the ties between the two port and logistics companies.
According to the agreement, Shandong Port will handle the transportation of passenger vehicles from its Chinese ports to Autoterminal Khalifa Port. These vehicles will then be stored and showcased within the facilities located in KEZAD.
The primary goal of this new partnership is to bolster Abu Dhabi’s position as a preferred destination for the Chinese Automotive Industry. It encompasses all aspects of operations, display, and services, aiming to foster a fruitful relationship between the entities involved.
“As an integrated hub for trade, logistics and Industry, KEZAD Group continues to support the development of the diversified economy of Abu Dhabi and the UAE in line with the vision of our wise leadership,” said Abdullah Al Hameli, CEO of Economic Cities & Free Zones, AD Ports Group.
Al Hameli expressed that AD Ports Group will persist in collaborating with similar conglomerates like Shandong Port. He further mentioned that both entities actively participate in the implementation of China’s Belt and Road Initiative, aiming to enhance trade cooperation and accelerate growth between the UAE and China.
Saif Al Mazrouei, CEO of Ports Cluster, AD Ports Group said, “Our agreements with Shandong Ports Group underscore our commitment to fostering global connections and serving as a catalyst for economic growth. As we embark on this journey together, we are poised to redefine logistics and port operations, setting new benchmarks for the industry at large, whilst driving prosperity and further strengthening our position globally.”
As AD Ports seeks to transform into a more diverse and integrated logistics company, it has been actively engaging in a series of agreements and deals. Among them, the company signed a 50-year concession agreement with Karachi Port Trust in June, allowing them to operate and develop the Karachi Gateway Terminal, encompassing berths 6 to 9.
Additionally, AD Ports secured a 30-year concession agreement worth $200M for the development, management, and operation of the Egyptian multi-purpose terminal in Safaga, located in the Red Sea port.
The terminal, expected to be operational in Q2 2025, will span an approximate area of 810,000 square meters and will feature a quay wall measuring up to 1,000 meters.
With an impressive capacity, the terminal will handle 5 million tonnes of dry bulk and general cargo, one million tonnes of liquid bulk, 450K TEUs of containerized cargo, and 50K CEUs of RORO (roll-on/roll-off) cargo.
In July, AD Ports successfully concluded the acquisition of Noatum, a logistics services provider based in Spain, in a significant deal valued at $722M (AED 2.65B).
As a state investor-controlled entity by ADQ, AD Ports is known for operating Khalifa Port, a deepwater port in Abu Dhabi, and several other ports and logistics parks within the city and the Indian Ocean Fujairah port.
Over the past five years, the UAE has solidified its position in the global maritime industry, establishing itself as a crucial logistics hub in the Gulf region.
