DP World, a Dubai-based multinational logistics company, has announced a $415 million investment in a new fourth berth at its London Gateway logistics hub to improve supply chain resilience and capacity.
The UAE-backed Thames Freeport, which links DP World’s London Gateway and Forth Ports’ Port of Tilbury into a Freeport Zone with Ford’s Dagenham automotive engine plant, is one of eight new freeports that allows companies to trade with the UK under simplified customs, tax and planning rules.
Bringing ports and businesses together to invest in their regions is crucial to the Freeports success story and by investing to support Thames Freeport, DP World is creating new opportunities, boosting growth and supporting local jobs.
Work on the fourth berth at London Gateway logistics hub will begin next month, increasing supply chain resilience and providing greater capacity for the world’s largest vessels. The $415 million adds to the $2.7 billion which DP World has invested in the United Kingdom over the last decade, according to the global ports operator.
“The company’s latest major investment in the UK will give London Gateway more capacity to handle the world’s largest vessels than any other port in the country. As a central pillar of Thames Freeport, London Gateway’s new fourth berth will allow even more customers to benefit from world-class ports and logistics, with unrivaled global connectivity, on the doorstep of Europe’s largest consumer market.”
London Gateway saw a record flow of 888,000 Twenty-foot Equivalent Units (TEU), in the first six months of 2021, up to more than 23 percent from its last best performance. The upcoming fourth berth will increase capacity by a third, and its completion will create a new wave of 24,000 TEU vessels between Asia and Europe from 2023 to 2024, according to the company.
Mr. Alan Shaoul, Chief Financial Officer at DP World in the UK, said that Thames Freeport offered outstanding financial incentives including no stamp duty on land purchases, savings on employer national insurance contributions, a five-year business rates holiday and extensive capital allowances on investment. The flexibility within the freeport’s customs zone will also help in the management of non-tariff barriers, supporting business trade with the EU and the rest of the world.