DHL Group has committed over EUR 500 mn for an investment push in the region between 2024 and 2030 with a focus on the UAE and Saudi, according to a press release (pdf). The investment will span the company’s four divisions: DHL Express, DHL Global Forwarding, DHL Supply Chain, and DHL eCommerce.
What they said: "Our investment reflects the region's increasing strategic importance in connecting Asia, Europe, and Africa, and our commitment to supporting its transformation into a catalyst for regional and global trade,” John Pearson, CEO of DHL Express said.
Breakdown by division:
- DHL Express: Upgrades to hub and gateway infrastructure, paired with enhanced air fleet capacity, aim to drive greater service efficiency and faster deliveries;
- DHL Global Forwarding: Plans include fleet expansion (including electric trucks) and partnerships to boost connectivity such as the recent partnership with Etihad Rail to boost connectivity;
- DHL Supply Chain: The division will scale up warehousing capacity in the UAE and Saudi, modernize equipment, and deploy advanced technologies to boost efficiency.
Sectors to watch: DHL Group sees rising opportunities across energy (including renewables), life sciences, healthcare, and e-commerce. Saudi Arabia’s B2C market is seeing strong inbound activity, particularly in premium goods, as tourism initiatives and major events boost demand.
DHL is also investing in sustainable logistics—backing electric vehicles, alternative fuels for air, road, and sea transport, and clean energy sources such as solar power for facilities.
The logistics giant ?UAE and Saudi: DHL Supply Chain scaled its UAE operations in October, while DHL Global Forwarding acquired Danzas AEI Emirates, gaining 1,100 employees and 20 logistics facilities. In Saudi Arabia, DHL Supply Chain and Aramco formed a JV (ASMO), securing SAR 300 mn in agreements to develop the kingdom’s supply chain sector. DHL Global Forwarding also partnered with Hyperview Saudi to pilot hydrogen-powered trucks in Jubail.