Saudi Arabia Invests $171 Million to Expand Jeddah Islamic Port Capacity

Saudi Arabia has announced a SR641 million ($171 million) investment to expand cargo-handling capacity at Jeddah Islamic Port, a move aimed at strengthening supply chains, improving trade efficiency and reinforcing the Kingdom’s position as a global logistics hub.

The Saudi Ports Authority (Mawani) said the investment will be carried out in partnership with Red Sea Gateway Terminal and DP World as part of ongoing efforts to modernize port infrastructure under the National Transport and Logistics Strategy and Vision 2030.

The expansion is designed to increase the port’s operational capacity, improve cargo-handling efficiency and meet rising demand for logistics services, particularly for refrigerated and temperature-sensitive goods.

According to Mawani, the project includes the addition of three ship-to-shore cranes, 27 rubber-tyred gantry cranes, 91 terminal trucks and seven pieces of ground-handling equipment. Container terminal yards will also be expanded by 200,000 square meters, allowing for faster cargo movement and higher operational efficiency.

The port’s cold-chain infrastructure will receive a major upgrade. Reefer plug points used for refrigerated containers will increase from 4,800 to 9,000, while cold storage facilities will expand from eight rooms to 75, significantly boosting the port’s ability to handle perishable goods.

Abdullah Al-Munif, senior vice president of commercial business and official spokesperson at Mawani, said the investment will benefit businesses across Saudi Arabia’s logistics network.

“For importers, this means greater supply chain reliability and faster cargo movement. For exporters, particularly those handling refrigerated and temperature-sensitive cargo, it provides expanded capacity and stronger access to international markets,” Al-Munif said.

He added that the project is expected to create opportunities for warehousing, freight forwarding, distribution and cold-chain services while encouraging additional private-sector investment as cargo volumes continue to grow.

Mawani said Jeddah Islamic Port currently handles around 20,000 containers each day and can accommodate up to 14 container vessels simultaneously. With occupancy standing at about 69 percent, the port still has room to support additional shipping traffic while maintaining service standards.

Al-Munif said the authority is expanding capacity ahead of future demand rather than responding after congestion develops, helping ensure reliable logistics services as global trade patterns continue to evolve.

Located on one of the world’s busiest East-West maritime trade routes, Jeddah Islamic Port serves as Saudi Arabia’s main gateway on the Red Sea, linking shipping networks across Asia, Europe and Africa.

The latest investment follows a series of developments at the port, including the introduction of 14 new shipping services with major international shipping lines. It also builds on Mawani’s broader expansion programme across the Kingdom, including the recent award of a container terminal concession worth more than SR2 billion at Jubail Commercial Port to increase capacity, attract private investment and strengthen Saudi Arabia’s maritime connectivity.