🔶 Expansion of Fujairah; the UAE’s new plan to bypass the Strait of Hormuz

DP World, a port company based in Dubai, is pursuing plans to build a new port and container terminal on the eastern coast of the UAE, in Fujairah. The move is intended to achieve “zero dependency on the Strait of Hormuz.”

According to a report by the Financial Times, the project is part of a broader UAE strategy to secure its supply chain, as the Strait of Hormuz remains the focal point of rising tensions between the United States and Iran.

Per the report, the plan includes items such as constructing a multi-purpose port in Fujairah’s coastal area and creating a new container terminal at the existing port of Fujairah.

The aim of this expansion is to create a strategic alternative to the Jebel Ali port in Dubai—a port located inside the Persian Gulf and therefore exposed to disruption if a crisis escalates or the Strait of Hormuz is blocked.

The project, which could be completed within 18 months, will in the first stage require investment of hundreds of millions of dollars, and if capacity is expanded, additional financing is expected to be available.

Fujairah is bounded to the east by the Sea of Oman and to the west by other emirates of the UAE.

The strategic importance of Fujairah is that it lies outside the Strait of Hormuz and outside the Persian Gulf. As a result, ships can enter the port of Fujairah in the Sea of Oman directly without passing through the Strait of Hormuz. This position has turned Fujairah into one of the region’s most important hubs for fuel storage, refueling of ships, and oil exports.

The UAE’s latest move aligns with the country’s broader plans to develop its domestic infrastructure. The government is also pursuing the West–East pipeline project at a faster pace to double the capacity for exporting crude oil via the port of Fujairah by 2027.

Once this project is completed, the UAE’s oil could be exported directly through the Sea of Oman and would no longer need to pass through the Strait of Hormuz—an issue that will significantly reduce the UAE’s dependence on this strategic passage.

Hashtags: ["UAE","Fujairah","Strait of Hormuz","DP World","supply chain"]