Mubasher: DHL Group, the world's leading logistics provider, plans to invest more than EUR 500 million in the Middle East, mainly focusing on Saudi Arabia and the UAE, according to a press release.
The group aims to inject the investment between 2024 and 2030 within the framework of its strategy 2030, prioritizes regional growth and geographic tailwinds generated by shifts in global trade.
The investment spans the company’s divisions: DHL Express, DHL Global Forwarding, DHL Supply Chain, and DHL e-commerce.
DHL aims to empower businesses operating across and with the Middle East to leverage growth opportunities from trade, providing customers with resilience as they navigate evolving market demands.
The four divisions offer a wide portfolio of logistics and transportation services, including express parcel delivery, air, ocean and overland freight, warehousing, fulfilment and distribution.
This also includes customs brokerage and specialized operations for sectors such as life sciences, healthcare, e-commerce, and battery logistics.
DHL Express is set to invest in hub and gateway facilities, as well as bolstering aviation capacity to enhance service efficiency and delivery speed.
John Pearson, CEO of DHL Express, commented: “The region of the GCC is rapidly emerging as a global logistics and innovation hub. Our investment reflects the region’s increasing strategic importance in connecting Asia, Europe, and Africa, and our commitment to supporting its transformation into a catalyst for regional and global trade.”
“DHL Express is seeing dynamic growth and export potential in the region’s e-commerce sector, for example, which is providing opportunities for entrepreneurs and smaller businesses to expand their offering to global markets,” Pearson added.
DHL Supply Chain will expand its contract logistics offering in the UAE and Saudi Arabia, raising warehousing capacity, upgrading equipment, and integrating advanced technology to enhance operations.
Hendrik Venter, CEO of DHL Supply Chain, Europe, Middle East & Africa, added: “DHL Supply Chain has actively expanded in Saudi Arabia and UAE in recent years, recognizing the positive economic development, the increasing maturity and sophistication of supply chain operations in the region and the growing demand for specialized, outsourced logistics support.”
“With a strong focus on the energy sector, life sciences, healthcare, and technology, we are poised to take advantage of our contract logistics expertise to meet the unique needs of our customers and drive innovation in these critical areas,” Venter highlighted.
DHL Global Forwarding aims to scale up its regional presence by investing in its fleet, including electric trucks, while pursuing joint venture (JVV) initiatives, such as the recent one with Etihad Rail to enhance connectivity and logistics capabilities.
Amadou Diallo, CEO of DHL Global Forwarding, Middle East & Africa, noted: “We also consistently aim to find entrepreneurial freight forwarding solutions that build supply chain resilience, keep their goods flowing and help them to uncover growth opportunities in a world that is characterized by uncertainty and volatility.”
Meanwhile, the acquisition of the delivery provider AJEX in Saudi Arabia will foster DHL's e-commerce capabilities, facilitating better last-mile delivery services in a rapidly growing market.
