DP World and Hapag-Lloyd Extend Strategic Partnership
DP World, a prominent player in ports and logistics based in Dubai, has renewed its collaboration with German shipping giant Hapag-Lloyd for an additional ten years. This extension solidifies a partnership that began in 2014 at Brazil’s largest container hub, the Port of Santos. The renewed agreement ensures that Hapag-Lloyd’s vessels will continue to dock at DP World’s multipurpose terminal, enhancing trade operations well into the 2030s.
Major Expansion Plans at Port of Santos
The renewal of the partnership aligns with DP World’s ambitious $190 million terminal expansion project at the Port of Santos. This initiative aims to extend the quay length to 1,290 meters and increase the terminal’s annual handling capacity to 1.7 million twenty-foot equivalent units (TEUs) by 2026. In 2024, DP World achieved a record handling of 1.25 million TEUs at Santos, marking a 14% increase compared to the previous year. The expansion will enable the terminal to accommodate larger vessels, significantly improving turnaround times for major clients like Hapag-Lloyd.
DP World’s CEO in Brazil, Fabio Siccherino, emphasized the importance of this renewal, stating, “This renewal highlights the strength of our partnership and the key role Santos plays as a gateway for Brazilian trade.” He also noted that the upcoming expansion and new equipment will help meet the growing demand while ensuring reliability, efficiency, and sustainability in operations.
In addition to the agreement with Hapag-Lloyd, DP World recently signed a long-term contract with Maersk to enhance container services in Brazil. This move underscores DP World’s broader strategy to secure key carrier partnerships across the country, reinforcing its commitment to improving service quality and operational efficiency in the region.
Commitment to Brazilian Market
Luigi Ferrini, Hapag-Lloyd’s senior vice president for Brazil, expressed that the renewed agreement strengthens their commitment to the Brazilian market and enhances their global partnership with DP World. He highlighted that this collaboration will contribute to improved service quality for customers in the region, further solidifying the companies’ roles in facilitating trade and logistics in Brazil.
As both companies look to the future, their renewed partnership and expansion plans at the Port of Santos signal a robust commitment to enhancing trade capabilities and meeting the evolving demands of the shipping industry in Brazil.
