Red Sea Gateway and CMA CGM Sign SAR1.7 Billion Agreement to Boost Jeddah Port

Riyadh: The Saudi Ports Authority (Mawani) announced the signing of a joint agreement between Red Sea Gateway Terminal (RSGT), the Kingdom's leading national container terminal operator, and the French CMA CGM Group, one of the world's largest shipping companies, to develop and operate the fourth container terminal at Jeddah Islamic Port. According to Saudi Press Agency, the SAR1.7 billion agreement was announced during the ninth annual Future Investment Initiative (FII9) in Riyadh. The new terminal will have a handling capacity of 2.6 million twenty-foot equivalent units (TEUs), further strengthening Jeddah Islamic Port's position as a major logistics and trade hub on the Red Sea. The agreement was signed by Chairman and CEO of CMA CGM Rodolphe Saadé and Chairman of the Board of Directors of RSGT Aamer Abdullah Alireza, in the presence of Minister of Transport and Logistic Services Saleh Al-Jasser and President of the Saudi Ports Authority (Mawani) Eng. Suliman bin Khalid Al-Mazroua. Al-Mazroua highlighte d that the strategic partnership reflects the Kingdom's commitment to realizing the objectives of Saudi Vision 2030, particularly in transforming Saudi ports into world-class logistics hubs. He added that Mawani is proud to support initiatives that enhance capacity, connectivity, and innovation across its port network, reinforcing the Kingdom's role as a global gateway for trade and a driver of sustainable economic growth. The new terminal forms part of RSGT's broader expansion strategy at Jeddah Islamic Port under its existing long-term concession with Mawani, originally executed in 2020. The SAR1.7 billion investment will focus on building advanced infrastructure, deploying modern cargo-handling equipment, and integrating next-generation digital and sustainable technologies to enhance operational efficiency and reliability. Once completed, the project will increase RSGT's total annual handling capacity to about 8.8 million TEUs. It will also strengthen Jeddah Islamic Port's competitiveness by improving se rvice quality and connectivity through CMA CGM's global network and RSGT's operational expertise - supporting national efforts to boost handling volumes, expand transshipment operations and reinforce the Red Sea's role on the Europe-Asia-Africa maritime corridor. Jeddah Islamic Port, the largest port on the Red Sea, plays a pivotal regional and international role due to its strategic location and 62 multipurpose berths, further cementing the Kingdom's leadership in the global maritime and logistics sectors.