DP World Moves 1M TEU Around Hormuz Closure via Land Corridors

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DP World says it has moved more than 1 million TEU through alternative land corridors since early March, as the company works to keep trade flowing during the continued closure of the Strait of Hormuz. The group's GCC chief executive, Ahmad Yousef Al-Hassan, detailed the scale of the effort and what comes next at a media roundtable in Dubai.

Building a Land Bridge From Scratch

DP World set up a bonded corridor linking ports on the UAE's east coast with its flagship Jebel Ali terminal, building a managed truck fleet from zero to roughly 3,000 vehicles. Al-Hassan said the company has moved over 1 million TEU by road and rail between the east coast and the UAE since the first week of March, up from the 500,000 TEU figure reported in August. The effort has required close coordination with other port operators, government bodies and customs agencies. DP World has also developed routes through Oman's Sohar and Duqm ports, giving customers additional entry points into the UAE and broader Gulf markets.

Jebel Ali Stays Open, but Volumes Collapse

Jebel Ali itself has kept operating through the conflict, closing for only six hours since the war began, according to Al-Hassan. However, container volumes have taken a severe hit: DP World's second-quarter 2026 results showed volumes at Jebel Ali down 90.1% year on year as maritime access to the port was disrupted.

Rising Costs for Shippers

The rerouting has not been cheap. Al-Hassan said container freight rates from China to Dubai rose from around $2,000 before the disruption to $10,000–$12,000 currently. Longer trucking distances, port congestion and higher diesel prices have added further cost to logistics operations. DP World has absorbed some transportation expenses itself and worked with shipping lines on cost-reduction measures, including moving empty containers from alternative ports.

Recovery Timeline and Longer-Term Plans

DP World expects a strong rebound at Jebel Ali once safe passage through the Strait resumes, with shipping lines suggesting services could return within one to three months, depending on how quickly carriers reposition their networks. Al-Hassan said recent meetings with nine shipping lines in Asia reinforced his confidence that Jebel Ali will remain a regular port of call, citing the port's established connections and the surrounding Jebel Ali Free Zone, which has kept occupancy above 90% during the disruption.

Separately, DP World is pressing ahead with a AED2bn–AED3bn investment in two new terminals in Fujairah, outside the Strait, targeting initial operations within 18–24 months. This includes a 2.5 million TEU container terminal near Fujairah airport and a general cargo terminal at Dibba. Al-Hassan stressed the Fujairah project predates the current crisis and is meant to complement Jebel Ali as part of one integrated UAE port system, rather than replace it. He pointed to East African transshipment cargo and cargo destined for the Northern Emirates as likely long-term demand sources for the new terminal.

What This Means for Shippers

For shippers and freight forwarders moving cargo through the region, the Hormuz closure continues to mean higher costs and longer, more complex routings via road and rail rather than direct sea access to Jebel Ali. Freight rates from China to Dubai have risen several times over, and congestion plus higher fuel costs are adding to landed cost calculations. Businesses relying on Jebel Ali should expect continued volume volatility and should track carrier announcements closely, since a return to normal service could take one to three months after any reopening of the Strait. In the meantime, alternative gateways through Sohar, Duqm and eventually Fujairah may offer more reliable options for some cargo flows, particularly transshipment traffic that does not need to pass through the Strait at all. Shippers should factor in extended transit times and build flexibility into bookings until shipping lines confirm firm schedules back into Jebel Ali.

Sources: seatrade-maritime.com