Mawani Boosts Saudi Arabia’s Global Logistics Hub Status in 2024

The Saudi Ports Authority (Mawani) has reported a year of significant achievements in 2024, reinforcing the Kingdom’s standing as a global logistics hub through improved international rankings, major infrastructure investments, and strategic partnerships. According to official information released via the Saudi Press Agency (SPA), these accomplishments align with the objectives of the National Transport and Logistics Strategy, a key pillar of Saudi Vision 2030. The year saw Saudi Arabia’s ports climb in global container handling rankings, the launch of private-sector logistics zones valued at billions of riyals, and expanded shipping connectivity that positions the Kingdom as a vital link between East and West.

These developments were not isolated successes but part of a deliberate, multi-year effort to transform Saudi Arabia’s transport and logistics sector into a world-class network. Under the leadership of the Saudi Ports Authority, the Kingdom has pursued a comprehensive strategy to modernize port infrastructure, attract foreign investment, and integrate digital solutions across its maritime gateways. The results in 2024 reflect the steady execution of that vision, with tangible outcomes that benefit both the national economy and international trade partners. How did these achievements come together, and what do they mean for the future of global logistics? The following sections examine the key milestones and their broader implications.

Context and Background

Saudi Arabia’s geographical position at the crossroads of three continents has long made it a natural trade hub. However, realizing that potential required modern infrastructure, efficient operations, and a supportive regulatory environment. The National Transport and Logistics Strategy, launched in 2021, set ambitious targets to elevate the Kingdom’s ranking in the Logistics Performance Index and increase the sector’s contribution to the national economy. The Saudi Ports Authority (Mawani) was tasked with a central role in this transformation, overseeing the development and management of the Kingdom’s ports.

In 2024, the fruits of these efforts became increasingly visible. According to Lloyd’s List, Saudi Arabia improved its global ranking in container handling, moving to 15th place worldwide. Three Saudi ports—Jeddah Islamic Port, King Abdullah Port, and King Abdulaziz Port in Dammam—were listed among the world’s top 100 ports. Jeddah Islamic Port notably climbed from 41st to 32nd place, while King Abdulaziz Port advanced from 90th to 82nd. These rankings underscore the growing competitiveness of Saudi ports on the international stage. What does it take to compete among the world’s busiest and most efficient ports? For Saudi Arabia, the answer lies in continuous investment and strategic collaboration.

Key Details

A cornerstone of Mawani’s 2024 achievements was the expansion of logistics zones and terminals through private-sector partnerships. The authority signed agreements, broke ground, and inaugurated projects to establish eight logistics zones and centers at Jeddah Islamic Port and King Abdulaziz Port in Dammam. These investments, totaling approximately SAR 2.9 billion, are part of a broader plan involving SAR 10 billion for 18 logistics zones across the Kingdom. A standout project was the inauguration of Maersk’s largest global logistics investment, valued at SAR 1.3 billion and spanning 225,000 square meters at Jeddah Islamic Port. Such commitments from global logistics leaders signal strong confidence in Saudi Arabia’s market and its strategic direction.

Additionally, 2024 witnessed the completion of the northern expansion of Jeddah Islamic Port in collaboration with the Red Sea Gateway Terminal Company. This SAR 1 billion project expanded the terminal’s area from 700,000 square meters to 1.5 million square meters, increasing its capacity from 2.5 million twenty-foot equivalent units (TEUs) to 6.2 million TEUs. This substantial capacity boost is critical for handling growing trade volumes and reducing congestion. To further improve Saudi Arabia’s ranking in the Maritime Connectivity Index and boost the flow of national exports and imports, 34 new shipping services were introduced, connecting Saudi ports with key ports in the East and West. These services enhance the Kingdom’s role as a bridge for global commerce.

Mawani also signed multiple agreements with international ports and national entities, including the Ministry of Transport and Logistics Services, the Zakat, Tax, and Customs Authority, Saudi Arabia Railways (SAR), the Saudi Logistics Academy, Lloyd’s Register, Pacific International Lines, the Port of Hamburg, Hamburg Port Consulting, Reviva, and the Port of Marseille Fos. These partnerships aim to develop human capital and enhance operational efficiency. In support of Saudi Arabia’s prominence on the global logistics map, Mawani launched the Port Community System, providing over 250 e-services across its ports. The Kingdom also announced its successful bid to host the UNCTAD Global Supply Chain Forum in 2026, and Jeddah Islamic Port was listed on the London Metal Exchange (LME). Mawani concluded 2024 with notable international recognition, earning eight local, regional, and global awards from prestigious organizations specializing in logistics and port operations.

International and Regional Impact

The improvements in Saudi Arabia’s port infrastructure and connectivity have significant implications for regional and international trade. By enhancing capacity and efficiency, Saudi ports are better positioned to serve as transshipment hubs for goods moving between Asia, Europe, and Africa. The introduction of new shipping services linking Saudi ports with key global destinations strengthens the Kingdom’s integration into global supply chains. This is particularly important as global trade patterns evolve and businesses seek reliable, efficient routes. Saudi Arabia’s strategic location, combined with its modernizing logistics sector, offers a compelling value proposition for shippers and logistics providers.

Moreover, the partnerships with international ports and organizations, such as the Port of Hamburg and the Port of Marseille Fos, facilitate knowledge exchange and best practices. These collaborations can lead to improved operational standards and innovation. The hosting of the UNCTAD Global Supply Chain Forum in 2026 will further spotlight Saudi Arabia’s role in global logistics, attracting attention from policymakers, industry leaders, and investors. Regionally, the advancements support the broader economic diversification goals of the Gulf Cooperation Council (GCC) countries, positioning Saudi Arabia as a leader in logistics within the Middle East. How will these developments influence trade flows in the region? They are likely to enhance the Kingdom’s attractiveness as a gateway for foreign direct investment and trade.

Economic and Strategic Significance

The economic significance of these port developments extends beyond the maritime sector. Improved logistics infrastructure reduces the cost of trade, making Saudi exports more competitive and facilitating the import of goods essential for economic growth. The logistics zones and centers are expected to create jobs, stimulate local industries, and attract further private investment. The SAR 10 billion plan for 18 logistics zones across the Kingdom represents a substantial commitment to building a diversified economy, a core objective of Vision 2030. By integrating logistics with industrial and commercial activities, Saudi Arabia aims to capture more value from its trade flows and reduce reliance on oil revenues.

Strategically, the enhancements bolster Saudi Arabia’s position as a pivotal player in global supply chains. The Kingdom’s ability to handle larger container volumes and offer a wide range of e-services through the Port Community System improves its competitiveness. The listing of Jeddah Islamic Port on the London Metal Exchange (LME) is a testament to the port’s credibility and opens new opportunities for metal trading and storage. These factors collectively contribute to a more resilient and diversified economy, capable of withstanding global economic shifts. What does this mean for businesses looking to invest in the region? It signals a stable, forward-looking environment with world-class infrastructure.

Vision 2030 Alignment

The achievements of Mawani in 2024 are in direct alignment with Saudi Vision 2030, which seeks to transform the Kingdom into a global investment powerhouse and a hub connecting three continents. The National Transport and Logistics Strategy is a key enabler of this vision, aiming to improve the Kingdom’s ranking in the Logistics Performance Index to 10th globally by 2030 and increase the logistics sector’s contribution to GDP. The strides made in 2024—from higher container handling rankings to the expansion of logistics zones—are measurable steps toward these targets. They demonstrate the effectiveness of the strategy and the commitment of Saudi leadership to economic diversification.

Looking ahead, the momentum gained in 2024 sets the stage for further advancements. The successful bid to host the UNCTAD Global Supply Chain Forum in 2026 and the ongoing development of logistics zones will continue to elevate Saudi Arabia’s profile. As the Kingdom prepares for the future, its ports will play a vital role in facilitating trade, driving innovation, and supporting the goals of Vision 2030. The progress made by Mawani is not just about infrastructure; it is about building a sustainable, knowledge-based economy that benefits all Saudis and contributes to global prosperity. How will Saudi Arabia build on this success? Through sustained investment, strategic partnerships, and a clear vision for the future.

20 Questions

Q1. What did the Saudi Ports Authority (Mawani) achieve in 2024?

A1. In 2024, Mawani improved Saudi Arabia’s global container handling ranking to 15th, launched major logistics projects, expanded port capacity, introduced new shipping services, and earned international awards, all aligning with the National Transport and Logistics Strategy.

Q2. How did Saudi Arabia’s ports rank globally in 2024 according to Lloyd’s List?

A2. Saudi Arabia ranked 15th globally in container handling. Jeddah Islamic Port rose to 32nd, King Abdullah Port to 70th, and King Abdulaziz Port in Dammam to 82nd, with three ports in the world’s top 100.

Q3. What is the significance of the logistics zones established at Jeddah Islamic Port and King Abdulaziz Port?

A3. These zones attract private investment, enhance logistics capabilities, create jobs, and support economic diversification. They are part of a SAR 10 billion plan for 18 logistics zones across the Kingdom, boosting trade and competitiveness.

Q4. What was Maersk’s investment at Jeddah Islamic Port?

A4. Maersk inaugurated its largest global logistics investment, valued at SAR 1.3 billion and spanning 225,000 square meters, at Jeddah Islamic Port. This reflects strong international confidence in Saudi Arabia’s logistics sector.

Q5. How did the northern expansion of Jeddah Islamic Port improve capacity?

A5. The SAR 1 billion project, in collaboration with Red Sea Gateway Terminal Company, expanded the terminal from 700,000 to 1.5 million square meters and increased capacity from 2.5 million to 6.2 million TEUs.

Q6. What are the new shipping services introduced in 2024?

A6. Mawani introduced 34 new shipping services connecting Saudi ports with key ports in the East and West, improving maritime connectivity, boosting import and export flows, and strengthening Saudi Arabia’s role in global trade.

Q7. Which entities signed agreements with Mawani in 2024?

A7. Mawani signed agreements with the Ministry of Transport and Logistics Services, Zakat, Tax, and Customs Authority, Saudi Arabia Railways, Saudi Logistics Academy, Lloyd’s Register, Pacific International Lines, Port of Hamburg, Hamburg Port Consulting, Reviva, and Port of Marseille Fos.

Q8. What is the Port Community System launched by Mawani?

A8. The Port Community System is a digital platform providing over 250 e-services across Saudi ports, streamlining operations, enhancing efficiency, and improving the experience for port users and stakeholders.

Q9. What recognition did Mawani receive in 2024?

A9. Mawani earned eight local, regional, and global awards from prestigious logistics and port operations organizations, recognizing its achievements in port management, infrastructure development, and operational excellence.

Q10. How does hosting the UNCTAD Global Supply Chain Forum in 2026 benefit Saudi Arabia?

A10. Hosting the forum will showcase Saudi Arabia’s logistics capabilities, attract global attention, facilitate knowledge exchange, and reinforce the Kingdom’s position as a leading global logistics hub.

Q11. What is the significance of Jeddah Islamic Port being listed on the London Metal Exchange?

A11. The listing enhances the port’s credibility in metal trading, opens new business opportunities, and positions Jeddah as a key location for storage and trading of metals, supporting economic diversification.

Q12. How do these achievements align with Vision 2030?

A12. They directly support Vision 2030 by enhancing logistics infrastructure, boosting economic diversification, increasing non-oil GDP, and positioning Saudi Arabia as a global investment and logistics hub connecting three continents.

Q13. What is the National Transport and Logistics Strategy?

A13. It is a comprehensive strategy launched in 2021 to modernize Saudi Arabia’s transport and logistics sector, improve global rankings, increase sector contribution to GDP, and support Vision 2030 goals.

Q14. How does improved maritime connectivity benefit Saudi exports?

A14. Improved connectivity reduces shipping times and costs, making Saudi exports more competitive globally, facilitating access to new markets, and boosting the flow of goods, which supports economic growth.

Q15. What role do private-sector investments play in Saudi port development?

A15. Private investments bring capital, expertise, and innovation, accelerating infrastructure development, creating jobs, and enhancing operational efficiency, as seen in the logistics zones and Maersk’s investment.

Q16. How does the expansion of Jeddah Islamic Port impact regional trade?

A16. The expanded capacity allows the port to handle larger volumes, reducing congestion, serving as a transshipment hub, and facilitating trade between Asia, Europe, and Africa, boosting regional economic integration.

Q17. What are the expected economic benefits of the logistics zones?

A17. They are expected to attract investment, create employment, stimulate local industries, increase trade volumes, and contribute to the diversification of the Saudi economy away from oil dependence.

Q18. How does Mawani’s success contribute to Saudi Arabia’s global image?

A18. It showcases the Kingdom’s commitment to modernization, efficiency, and international cooperation, enhancing its reputation as a reliable and attractive destination for business and investment.

Q19. What future developments can be expected from Mawani?

A19. Mawani will continue implementing the National Transport and Logistics Strategy, expanding logistics zones, enhancing digital services, forging international partnerships, and preparing to host the UNCTAD Global Supply Chain Forum in 2026.

Q20. How can international businesses benefit from Saudi Arabia’s logistics advancements?

A20. International businesses can leverage improved port infrastructure, new shipping routes, and logistics zones to optimize supply chains, reduce costs, access Middle Eastern markets, and partner with Saudi entities for mutual growth.

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