AD Ports deepens inland logistics reach

AD Ports Group has signed a memorandum of understanding with CMA Terminals Khalifa Port and CMA CGM Group to extend container logistics beyond Khalifa Port into inland markets across the UAE and the wider region, sharpening Abu Dhabi’s bid to become a more integrated trade and distribution hub.

The agreement, signed on Tuesday, brings together AD Ports Group’s consolidated inland intermodal network with the maritime scale of CMA CGM and the terminal operations of CMA Terminals Khalifa Port. The partners plan to develop intermodal solutions linking gateway ports with rail-connected inland container depots, dry ports and cargo facilities serving industrial, consumer and regional markets.

A central objective is to move cargo more efficiently from Khalifa Port to demand centres across the UAE, including the Northern Emirates, while creating routing options towards the borders with Oman and Saudi Arabia. The plan is designed to give shippers greater flexibility at a time when supply chains are being reshaped by geopolitical disruption, Red Sea diversions, higher insurance costs and demand for shorter, more resilient cargo routes.

Captain Mohamed Juma Al Shamisi, Managing Director and Group Chief Executive Officer of AD Ports Group, said the MoU was an “important step” in consolidating the UAE’s inland intermodal logistics backbone under one platform. He said bringing CMA CGM into the network as its first global shipping line partner would extend CMA Terminals Khalifa Port beyond its traditional quay-side role and create a more connected trade gateway for the UAE and the region.

CMA Terminals Khalifa Port is a joint venture owned 70 per cent by CMA CGM Group and 30 per cent by AD Ports Group. It was inaugurated in December 2024 and has become one of three container terminals at Khalifa Port operated by major international shipping lines. Its positioning gives Abu Dhabi a direct link to one of the world’s largest container shipping and logistics groups, with operations spanning sea, land, air and contract logistics.

Jesper Stenbak, Regional Director for the Middle East Gulf, Subcontinent and Indian Ocean at CMA CGM Group, said the collaboration would strengthen the terminal’s role as an inland-enabled gateway by connecting maritime services more directly with inland cargo flows. He said the partnership would support better routing, stronger supply-chain resilience and wider service reach for customers.

The MoU follows a major expansion agreement between AD Ports Group and CMA CGM in November 2025 to increase capacity at CMA Terminals Khalifa Port from 1.8 million TEUs to 2.7 million TEUs by early 2028. That project, valued at AED420 million, will raise Khalifa Port’s total container handling capacity to 10.5 million TEUs annually and add nearly one million TEUs to the joint terminal’s capacity.

The expansion includes extending the terminal’s quay wall from 800 metres to 1,200 metres and increasing yard area from 464,000 square metres to 667,000 square metres. The facility already has two deep-water berths, an 18.5-metre draft, next-generation ship-to-shore cranes, electric rubber-tyred gantry cranes and connectivity to the Etihad Rail network.

AD Ports Group’s wider performance gives the inland push added significance. The group reported record 2025 revenue of AED20.77 billion and total net profit of AED2.07 billion. Its ports cluster handled 7.7 million TEUs during the year, up 23 per cent, while general cargo volumes rose to almost 60 million tonnes. CMA Terminals Khalifa Port handled more than 1.3 million TEUs in its first year of commercial operations, reflecting strong utilisation for a new facility.

For manufacturers and exporters, the agreement could improve access to multiple corridors and reduce reliance on single-route logistics planning. Faster inland cargo flows would be particularly important for industrial zones, free zones, automotive supply chains, food distribution, construction materials, petrochemicals and consumer goods businesses operating across Abu Dhabi and the Northern Emirates.