{"id":82158,"date":"2024-01-23T00:00:00","date_gmt":"2024-01-23T00:00:00","guid":{"rendered":"https:\/\/enterpriseam.com\/ksa\/2024\/01\/23\/dammam-port-becomes-critical-node-for-shipping-as-red-sea-tensions-escalate\/"},"modified":"2024-01-23T00:00:00","modified_gmt":"2024-01-23T00:00:00","slug":"dammam-port-becomes-critical-node-for-shipping-as-red-sea-tensions-escalate","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/ksa\/2024\/01\/23\/dammam-port-becomes-critical-node-for-shipping-as-red-sea-tensions-escalate\/","title":{"rendered":"Dammam Port becomes critical node for shipping as Red Sea tensions escalate"},"content":{"rendered":"

Shippers are relying more on Dammam Port, Saudi Arabia\u2019s second-biggest port, as <\/strong>tensions in the Red Sea drive up sea freight costs to Jeddah Port<\/strong>, Gulf News<\/a> reports. UAE-based shippers are also relying on overland routes to get goods to Saudi Arabia instead of their regular seaborne routes. Shipments are then sent out to other countries from Dammam. <\/p>\n

\u201cDammam has become the single most important option for shippers<\/strong> \u2014 not just to keep costs down, but ensure they can deliver the orders from Saudi Arabia on time,\u201d an undisclosed trader in FMCG goods told Gulf News. The route from Jebel Ali to Dammam fares AED 5k, inclusive of Saudi border charges.<\/p>\n

As demand jumps, Mawani is upping the port\u2019s capacity to hedge against the risk of Red <\/strong>Sea tensions escalating further<\/strong>, Mawani President Omar Hariri told Al Eqtisadiah<\/a>. While information about the extent or scope of the upgrade wasn\u2019t disclosed, the Dammam Port currently boasts a capacity of 105 mn tons. The impact of the tensions has been limited to transit shipments, while imports and exports haven\u2019t been affected, Hariri added.<\/p>\n

Exporters all around are looking for alternative routes:<\/strong> Container shipping costs from Europe to the Gulf have increased by USD 1k per TEU in recent weeks. Global air cargo tonnages have increased 24% from the previous week, with cargo owners increasingly eyeing air transport due to longer ocean voyages, Transport & Logistics Middle East<\/a> reports, citing WorldACD Market Data.<\/p>\n

Decoding industry speak:<\/strong> A TEU is the standard unit<\/a> for a shipping container \u2014 the corrugated metal things you\u2019ve seen being hauled on highways, stacked in ports, and carried on the deck of vessels. It stands for a twenty-foot equivalent unit.<\/p>\n","protected":false},"excerpt":{"rendered":"

Mawani is raising the port\u2019s capacity to keep up with increased demand<\/p>\n","protected":false},"author":1,"featured_media":82159,"comment_status":"","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"newspack_ads_suppress_ads":false,"newspack_popups_has_disabled_popups":false,"newspack_sponsor_sponsorship_scope":"","newspack_sponsor_native_byline_display":"inherit","newspack_sponsor_native_category_display":"inherit","newspack_sponsor_underwriter_style":"inherit","newspack_sponsor_underwriter_placement":"inherit","ep_exclude_from_search":false,"_primary_brand":0,"newspack_featured_image_position":"","newspack_post_subtitle":"","newspack_article_summary_title":"Overview:","newspack_article_summary":"","newspack_hide_updated_date":false,"newspack_show_updated_date":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[2640],"tags":[308,10,238,2639,309],"brand":[],"newspack_spnsrs_tax":[],"class_list":["post-82158","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-logistics","tag-dammam-port","tag-enterpriseam-ksa","tag-logistics","tag-ports","tag-trade","wpautop","entry"],"acf":{"mongo_id":"c2399f4a-661f-4a89-ac74-cb241b8ed6bb","is_powered_by":false,"story_type":"1","photo_url":"https:\/\/ent.news\/2024\/1\/1937.jpg","photo_position":"above","homepage_title":"","full_issue_title":"","related_issue":[82147],"teaser":"Mawani is raising the port\u2019s capacity to keep up with increased demand","voice_url":"https:\/\/s3.us-east-1.amazonaws.com\/ent.news\/audio\/2024\/1\/.de6fbf2c-b19a-4d00-b2c1-f249fdd14b67.mp3"},"yoast_head":"\nDammam Port becomes critical node for shipping as Red Sea tensions escalate - 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