At the Future Investment Initiative (FII9) in Riyadh, Red Sea Gateway Terminal (RSGT), Saudi Arabia’s leading terminal operator, and global logistics group CMA CGM announced that they have signed a term sheet, through CMA CGM’s fully owned subsidiary CMA Terminals, outlining plans to form a joint venture to build and operate Terminal 4 at Jeddah Islamic Port.
The proposed agreement, which would be structured as a sub-concession under RSGT’s existing long-term concession with the Saudi Ports Authority (Mawani), paves the way for the development of a new, cutting-edge 2.6 million TEU container terminal adjacent to RSGT’s current facilities. The move aligns with RSGT’s option to expand Jeddah Islamic Port’s capacity as part of its 2020 concession agreement.
The joint investment, valued at SAR 1.7 billion (US$450 million), will deliver state-of-the-art port infrastructure equipped with advanced handling systems, as well as digital and sustainability-focused technologies. Both partners emphasised that the initiative represents a shared commitment to innovation, operational excellence, and customer-focused service at one of the most strategically located ports on the Red Sea.
Through this collaboration, RSGT aims to support Saudi Arabia’s Vision 2030 objectives by increasing its total handling capacity to 8.8 million TEUs annually and enhancing Jeddah’s position as a key regional logistics hub. The project further reflects Mawani’s ongoing role in enabling private-sector investment and improving the competitiveness of Saudi ports.
“This term sheet reflects a shared intent to bring additional capacity, reliability, and technology to Jeddah Islamic Port. By structuring a sub-concession under our existing framework with Mawani and bringing CMA CGM to consolidate their volumes on T4, we can accelerate upgrades and service enhancements while maintaining continuity and high standards across the terminal.”
– Jens O. Floe, Group CEO of RSGT.
“This partnership exemplifies the Kingdom’s commitment to achieving Vision 2030 by transforming Saudi ports into world-class logistics hubs. Mawani is honoured to facilitate strategic collaborations that enhance capacity, connectivity, and innovation within our network. We remain committed to strengthening the Kingdom’s role as a global gateway for trade, fostering economic growth, and contributing to a more competitive and sustainable future.”
– H.E. Eng. Suliman Almazroua, President of Mawani.
“I am pleased to announce this partnership with RSGT, which represents a new step in the development of Jeddah Islamic Port and supports Saudi Arabia’s Vision 2030. By combining CMA CGM’s global expertise with RSGT’s local strength, we will contribute to making Jeddah a key logistics gateway on the Red Sea. This investment reflects our confidence in the Kingdom’s long-term ambitions and our commitment to supporting its economic transformation.”
– Rodolphe Saadé, Chairman and CEO of the CMA CGM Group.
Once operational, Terminal 4 will be capable of accommodating the world’s largest containerships, further enhancing the efficiency and service quality at Jeddah Islamic Port. The collaboration seeks to strengthen network connectivity for Saudi importers and exporters, bolster Jeddah’s role as a transshipment hub, and reinforce the Red Sea’s importance along the Europe–Asia–Africa trade corridor by combining CMA CGM’s global reach with RSGT’s proven operational expertise.
Red Sea Gateway Terminal (RSGT) stands as Saudi Arabia’s national champion in port operations, managing six terminals domestically and abroad. Headquartered in Jeddah, the company oversees more than 18 kilometres of quay and handles a capacity exceeding 9.5 million TEUs and 30 million tonnes of general cargo. Its flagship Jeddah terminal is the largest and most technologically advanced on the Red Sea, accounting for nearly 40% of the nation’s container throughput. Operational excellence, innovation, and a strong focus on sustainability continue to drive RSGT’s growth.
The CMA CGM Group, a global leader in sea, land, air, and logistics solutions, operates across 177 countries with a workforce of 160,000 people, including nearly 6,000 at its Marseille headquarters. The world’s third-largest shipping company, CMA CGM, serves more than 420 ports on five continents with a fleet exceeding 650 vessels. Through its logistics arm, CEVA Logistics, and air freight division, CMA CGM AIR CARGO, the Group manages extensive transport and warehousing operations worldwide. Beyond commerce, the CMA CGM Foundation plays an active humanitarian role, delivering aid to crisis zones and promoting education and equal opportunity across the globe.
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