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Home Supply Chain Logistics & Transport

AD Ports, CMA CGM Sign MoU for UAE Rail Cargo Network — www.logisticsmiddleeast.com

2026/05/07
in Logistics & Transport, Supply Chain
0 0
AD Ports, CMA CGM Sign MoU for UAE Rail Cargo Network — www.logisticsmiddleeast.com

According to www.logisticsmiddleeast.com, AD Ports Group and CMA CGM Group have signed a Memorandum of Understanding (MoU) with CMA Terminals Khalifa Port to develop a rail-linked cargo network across the United Arab Emirates. The agreement, announced on May 6, 2026, aims to strengthen inland connectivity and regional trade by integrating maritime operations with rail-based inland logistics infrastructure.

By Nathan Baker, Features Writer for Logistics Middle East, Aviation Business Middle East, PMV Middle East, and Retail Middle East

Rail-Linked Inland Network Expansion

The MoU centers on leveraging AD Ports Group’s existing network of rail-linked inland container depots, dry ports, and cargo facilities to extend the operational reach of CMA Terminals Khalifa Port beyond the port perimeter. This initiative targets direct linkage between seaborne container volumes and inland demand centers—including industrial zones and consumer markets—across the UAE. According to the report, the collaboration will explore opportunities to strengthen cargo flows across the Northern Emirates while extending trade corridor access toward the borders with Oman and Saudi Arabia.

Terminal Ownership and Operational Timeline

CMA Terminals Khalifa Port is a joint venture established with 70% ownership by CMA CGM Group and 30% by AD Ports Group. It was officially inaugurated in December 2024 and operates as one of three container terminals at Khalifa Port managed by global shipping lines. The terminal forms a critical node in the broader intermodal strategy, with its rail integration designed to reduce transit friction between maritime and inland segments. The source states that this integration is expected to improve asset utilisation across the logistics network while supporting more consistent inbound cargo access for industrial customers.

Strategic Alignment and Leadership Statements

The partnership aligns with the UAE’s national industrial growth agenda, which prioritises improved cargo movement efficiency and higher infrastructure utilisation rates. Mohamed Juma Al Shamisi, CEO of AD Ports Group, stated:

“This initiative creates a more connected and flexible trade gateway for the UAE and strengthens inbound cargo access while improving corridor optionality.”

He added that bringing CMA CGM into the network extends Khalifa Port’s role and supports national supply chain competitiveness.

Jesper Stenbak, representing CMA Terminals Khalifa Port, noted:

“The collaboration strengthens the terminal’s position as an inland-enabled gateway… linking maritime services directly with inland cargo flows supports more efficient routing and improves service reach for customers.”

Industry Context and Supply Chain Implications

This MoU reflects a broader regional trend toward multimodal integration. In 2025, Etihad Rail launched Phase 2 operations, connecting Abu Dhabi to Fujairah and enabling direct rail freight movement across six emirates—a foundational enabler for initiatives like this one. Meanwhile, DP World’s Jebel Ali Port has invested over $1.2 billion since 2022 in inland logistics assets, including the Dubai Inland Container Depot (DICD), which handles more than 300,000 TEUs annually. For supply chain professionals, the AD Ports–CMA CGM network offers tangible benefits: reduced road dependency (currently accounting for >85% of UAE domestic freight), shorter inland transit times (targeting under 12 hours between Khalifa Port and Ras Al Khaimah), and dual-route redundancy for export corridors via Oman and Saudi Arabia. These capabilities directly support just-in-time manufacturing requirements in UAE industrial zones such as KIZAD and TIPCO, where over 1,200 active manufacturers rely on predictable import schedules.

Source: www.logisticsmiddleeast.com

Compiled from international media by the SCI.AI editorial team.

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