Dubai-based logistics giant DP World is planning to develop a new port and container terminal on the UAE’s eastern coast in a strategic effort to reduce reliance on the Strait of Hormuz as geopolitical tensions continue to disrupt regional shipping.

The state-owned company is in discussions to build a new multipurpose port on the coast of Fujairah, along with a new container terminal at the emirate’s existing harbor, The Caspian Post reports via Financial Times.

The proposed project would provide an alternative to Jebel Ali Port, Dubai’s flagship maritime hub, assisting to diversify the UAE’s logistics infrastructure and strengthen supply chain resilience.

The report says activity at Jebel Ali has dropped by 90-95% amid the escalating conflict in the Middle East, highlighting the vulnerability of one of the world’s busiest trade routes.

Located outside the Strait of Hormuz, Fujairah offers direct access to the Gulf of Oman and the Indian Ocean, making it a strategically important gateway for global shipping and energy exports.