Port Said port ranked 3rd globally and 1st regionally in World Bank-led ports performance index

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What we're tracking today

TODAY: Egypt’s ports score across WB’s leaderboard + UAE as a hotspot for trade corridors

Good morning, folks. We’re inching closer to the weekend with a brisk read. In today’s issue, we take a look at the results of the World Bank-led performance index for ports — and it appears that Egypt’s Port Said port had an excellent 2024. Marsa Maroc’s earnings for 1H are also officially out — and they’re looking good. But first, an update on the possible logistics impact of the US federal government shutdown…

THE BIG LOGISTICS STORY- Airlines are bracing for slowed operations at US airports, after the US federal government entered a shutdown starting today. Air traffic and security systems at airports “may need to slow down, reducing efficiency” if the shutdown goes ahead, Airlines for America (A4A), a trade association representing US carriers, warned hours before the shutdown began.

Aviation disruptions are expected to be limited if the shutdown is short-lived. However, a prolonged shutdown — similar to the 2018-2019 35-day shutdown, which cost the country c.USD 3 bn in lost GDP — could lead to wider disruptions as workers become wary of not getting paid. Hundreds of flights in New York and Philadelphia airports were canceled back then after air traffic controllers and security workers called in sick, in protest against not receiving their salaries.

Why a government shutdown? The US government is frequently prone to shutdowns whenever Congress fails to pass funding bills for government agencies, forcing a halt in services and paychecks for federal workers. The US has seen 18 shutdowns since 1980 — with the latest and longest one beginning in 2018 before concluding in January 2019. Currently, Republicans and Democrats are at an impasse, with Republicans demanding extending funding at its current level until 21 November, whereas Democrats are insisting on adding healthcare subsidies and reversing Medicaid cuts to accept any resolution.

The story received a lot of attention in the int’l press: Reuters | CBS | New York Times | ABC | NBC | The Guardian

HAPPENING THIS WEEK-

The Global Freight Summit is on its last day in Istanbul, Turkey. The event hosted independent freight forwarders for an open networking event. The goal is to have over 350 attendees exchange agency recommendations, learn from industry leaders, and build new networks.

The Global Rail Transport Infrastructure Exhibition and Conference kicked off yesterday and will run until Thursday, 2 October in Abu Dhabi, the UAE. The event is hosted by Etihad Rail and is set to welcome over 200 global speakers that include top executives from Dubai Airports, Korea National Railway, Keolis, DHL Global Forwarding, Parsons, Saudi Arabia Railway, and Talgo.

The Saudi Maritime and Logistics Congress is on its first day and will wrap up on Thursday, 2 October in Dammam, Saudi Arabia. The event will host over 200 registered exhibitors and some 15k attendees from over 90 countries to discuss AI-powered fleet optimization, shifts in global trade, and intelligence-driven infrastructure. Speakers include the Kingdom’s Transport Minister Saleh bin Nasser Al-Jasser, Bahri CEO Ahmed Alsubaey, and King Abdullah Port CEO Jay New.

WATCH THIS SPACE-

#1- China’s Keeta is investing big in the UAE: Keeta, the food delivery arm of Chinese consumer service tech giant Meituan, will invest hundreds of mns of USD in the UAE over the next 3-5 years as part of its regional expansion, under an MoU with the Investment Ministry, state news agency Wam reports. The agreement will see Keeta establish its UAE headquarters and roll out advanced last-mile logistics solutions, including drones and autonomous vehicles.

REMEMBER- Keeta has been on a regional expansion, launching operations in Saudi and Kuwait in just one year.

Keeta is coming into a crowded market: Talabat, Deliveroo, and Noon already have a tight grip on the food delivery sector in UAE, but Keeta’s entry could shake up market shares as it enters with aggressive promotions and success in markets like Saudi Arabia and Kuwait.

#2- Dutch vessel attacked in Gulf of Aden: A Dutch-flagged and operated cargo ship — called Minervagracht — was attacked by an explosive device in the Gulf of Aden, leading to the evacuation of its 19 crew members, Reuters reports, citing the EU’s Red Sea naval mission Aspides and the ship’s operator Spliethoff. Minervagracht was reportedly in international waters and about 128 nautical miles southeast of Yemen’s port of Aden. The vessel was previously attacked last week while en route to Djibouti, British security firm Ambrey said.

While Yemen’s Houthi militants have not claimed responsibility for the attack, they have been targeting Israeli-linked vessels in the Red Sea. Their latest salvo involved a close-miss ballistic missile attack on a Liberian-flagged, Israeli-owned tanker near Saudi Arabia's Yanbu earlier this month. Earlier this year, the group released a set of frequently asked questions to help shippers navigate their ‘sanctions policies,’ ostensibly promising safe passage through Yemeni waters for any vessel not on their list of “sanctioned” entities.

#3- We may have more details about Iraq’s Development Road Project soon: The Iraqi government is set to present the techno-economic study for its Development Road project to Gulf investors and Turkey at a ministerial meeting next month, Zawya reports, citing comments by Iraqi Transport Minister Razzaq Muhaibas Al Saadawi. The report was prepared by US consulting firm Oliver Wyman, which signed up to provide consulting services for the project last year.

About the project: The 1.2k km Development Road project aims to connect Iraq’s southern Grand Faw Port — slated to become a major commodities port — to Turkey's border via rail and road networks, and is backed by the UAE, Turkey, and Qatar.

#4- Boeing’s 737 Max successor in the works: US planemaker Boeing is reportedly working on a new narrowbody aircraft that may replace the 737 Max, Bloomberg reports. Boeing CEO Kelly Ortberg reportedly met with Rolls-Royce executives earlier this year to discuss engine specifications for the upcoming model, which is still in its early stages of development.

Remember safety issues with the 737 Max? Boeing’s 737 Max reputation has been under scrutiny amid ongoing safety concerns for years, following two major fatal crashes on Lion Air and Ethiopian Airlines in 2018 and 2019, respectively, as well as a mid-flight incident on an Alaska Air flight in 2024.

Regional airlines awaiting 737 MAX orders: Several regional carriers currently have orders for 737 Max jets. Budget carrier flydubai is expecting five 737 Max 8s by year-end, and EgyptAir is set to receive a Boeing 737 Max in January 2026 — the first of an 18-jet order secured back in 2023.

MARKET WATCH-

#1- Oil prices went up this morning as buyers continued to weigh the impact of a possible Opec+ production surge and US government shutdown on market outlook, Reuters reports. Brent crude futures for November rose by USD 0.28 to USD 66.31 / bbl as of 05.00 GMT, while US West Texas Intermediate (WTI) surged by USD 0.26 to trade at USD 62.63 / bbl. Today’s surge is a reversal from two successive days of rate declines.

#2- Baltic index continues downward spiral: The Baltic Exchange’s dry bulk sea freight index — which tracks rates for the capesize, panamax, and supramax vessel segments — eased 86 points to 2,134 on Tuesday, driven by decline across vessel segments. The capesize dropped 219 points to 3,305 points, while the panamax index fell 42 points to 1,776. The smaller supramax index shed 5 points to 1,473.

DATA POINTS-

#1-Global air cargo demand inches upwards: Global demand for air cargo — measured in cargo ton kilometers — rose 4.1% y-o-y last month, driven, in part, by a shift of players away from maritime shipping, according to the International Air Transport Association. Meanwhile, global cargo capacity surged 3.7% y-o-y.

#2- The Suez Canal’s topline fell 47.7% to USD 3.8 bn during FY 2024-2025, as geopolitical tensions in the region continued to impact maritime trade. Meanwhile, the contraction of the global waterway eased to just 5.5% in 4Q FY 2024-2025, compared to a sharp contraction of 68.2% in the same period a year earlier.

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CIRCLE YOUR CALENDAR-

The UK will host the Marine Environment Protection Committee Extraordinary Session from Tuesday, 14 October until Friday, 17 October at the International Maritime Organization’s (IMO) HQ in London. The session is set to see the intergovernmental body formally adopt its Net-Zero Framework — rolling out new fuel standards for ships and a global pricing mechanism for emissions.

Belgium will host the AntwerpXL on Tuesday, 14 October until Thursday, 16 October in Antwerp. The expo will host 3.8k project cargo, break bulk, RoRo, heavy lift, and industry experts to expand collaborations. It will co-locate with the Transport and Logistics conference and exhibition.

Morocco will host the International Forum and Expo on Mobility, Transport, and Logistics (Logiterre) on Thursday, 16 October until Saturday, 18 October in Casablanca. Logiterre will host main operators within the industry from West and Central Africa.

The UAE will host the Adipec Maritime and Logistics Exhibition and Conference on Monday, 3 November until Thursday, 6 November in Abu Dhabi. The conference will host over 250k attendees working in government entities, finance, and tech.

The UAE will host the Air Cargo Forum on Tuesday, 4 November until Thursday, 6 November in Abu Dhabi. The forum — hosted by Etihad Cargo — will bring together air freight industry leaders, policymakers, innovators, and stakeholders to discuss industry solutions, tech, strategies, and collaborative initiatives for global air logistics.

Check out our full calendar at the bottom of this email for a comprehensive listing of upcoming news events and news triggers.

Egyptian ports top the global performance leaderboard in FY 2024

It’s a new dawn for Egypt’s ports in the World Bank’s port performance index. Five of Egypt’s ports — including Port Said, Damietta, Alexandria, Dekheila, and Ain Sokhna — made it to the World Bank and S&P Global’s annual Container Port Performance Index (CPPI) 2024 (pdf).

But first, how does the index work? The index takes into account time spent in port and the efficiency with which port hours are spent, deploying operational time stamps to track movement across ports and metrics like crane productivity to approximate the efficiency of hours spent at port. The index includes 403 of the 529 ports for which S&P Global has data, excluding all ports with less than 24 valid port calls within a calendar year.

Port Said Port now ranks third globally and first in the region, jumping 13 spots from last year’s 16th place — driven largely by strategic investments and reforms, as well as eased pressure on its services due to Red Sea tensions, the report states. The port at the northern end of the Suez Canal is behind only China’s Yangshan Port and Fuzhou Port.

In total, four ports in the region made the top 20, with Port Said joined by Morocco’s Tanger-Med Port in fifth place, Qatar’s Hamad Port in 11th place, and Oman’s Salalah Port in 15th place, after falling from being ranked in second place globally last year.

New expansions at the port allowed it to continue operating smoothly even as Suez Canal traffic dropped due to tensions in the Red Sea, a source told us back in May. The port managed to double trips to and from Saudi Arabia as an alternative route amid disruptions that pushed ships away from the Bab El Mandeb Strait.

The port’s performance was boosted by recent expansion projects, a senior official from the port told EnterpriseAM. More expansions are also lined up, with East Port Said undergoing a major expansion in its Suez Canal Container Terminal — backed by a loan from the International Finance Corporation. The project will increase the capacity of the port’s existing 2.4 km container berth by 2.1 mn TEUs to allow an annual capacity of 6.6 mn TEUs. Recent expansion work added 6.3 km to the port’s length, which helped increase its overall handling capacity to 9-10 mn containers last year.

Infrastructure development for the new expansions has cost some USD 500 mn, according to our source. Several projects under construction are set to launch this half of the year, including a general cargo terminal, a dry bulk terminal, and a ro-ro terminal.

Global shipping alliances have been tapping the port, signaling confidence in its operations, the source told us. For example, East Port Said’s container terminal is already operated by AP-Moller and Maersk Line — under their joint Gemini Alliance, and acts as a key transshipment point at the port.

An alliance led by Hapag-Lloyd is working on an agreement for a new terminal in Port Said — expected to be finalized by either the end of this year or early 2026, the source added.

Transit trade continues to grow at Port Said, with business operating normally at the port despite regional disruptions through the Bab El Mandeb Strait, a senior port official told EnterpriseAM. Container traffic increased at the port, which accounts for nearly 80% of the country’s transit trade, the source said. Handling rates also rose, with faster loading and unloading operations.

Three logistics zones — spanning some 24 sq km — are nestled in the port’s vicinity. The opening of a new ro-ro terminal at the port is driving up investment activity and encouraging automotive and electronic manufacturers to invest in the country, said the source.

Sky Logistics and Reliance Logistics are also working on a multipurpose terminal — which is expected to be operational by the end of the year. A pilot phase has already handled six mn tons of cargo, drawing fully integrated supply chains to the area.

Other Egyptian ports also saw major improvements over the previous year, with Dekheila Port seeing the largest improvement — jumping up 151 spots to settle at 190th place on the worldwide ranking. Similarly, Damietta Port climbed up 142 spots to land at 245th place overall. The growth comes after two consecutive years of significant drops at both ports, indicating improved operational health.

But other Egyptian ports recorded significant dips in their comparative performance, including Alexandria Port, which fell some 75 spots to rank in 247th place, while Sokhna Port dropped some 97 spots to 217th place.

UAE stands out as a top trade corridor of interest, Standard Chartered survey finds

The UAE was ranked among six booming trade hotspots for sourcing, manufacturing, and exporting in the medium term, according to a Standard Chartered report (pdf). The UAE was the only Middle Eastern country to feature on the list, ranking alongside India, China, Malaysia, Indonesia, and the US.

The ranking was based on a survey of 1.2k corporate leaders from 17 markets across four sectors: including consumer and retail; energy and power; technology; and telecommunications.

Corporations looking to diversify their global supply chains are increasingly turning to the UAE. Around 20% of respondents indicated that the Emirates stands out as a market of interest for sourcing, manufacturing, and exporting when looking to shift their existing supply chains. This was increasingly important to respondents — with 56% of them looking towards realigning supply chains geographically to build resilience against trade disruptions.

The UAE remains a key global connector to China and ASEAN markets — indicated by increasing engagement and trade, the report finds. This was particularly evident for Vietnam, Thailand and Malaysia.

ICYMI- The UAE has trade agreements in place with Vietnam, Malaysia, India, Indonesia, and Turkey, and is looking to finalize an agreement with Thailand and the Philippines sometime this year. On the other hand, the UAE signed a comprehensive economic partnership agreement (CEPA) with Malaysia in January.

Other key attractions: The country also has one of the world’s busiest container ports — Jebel Ali — and is solidifying its position as a hub for financial services, AI, and digital infrastructure, the report said.

Who’s eyeing the UAE? The UAE is getting a lot of interest from Saudi Arabia, India, and Egypt in particular, with 50% of corporate respondents from KSA, Egypt and India indicating a strong interest in the Emirates, highlighting a strong potential to further intra-regional trade and further investments along the Middle East-India trade corridor.

REMEMBER- Projects like the India-Middle East-Europe Economic Corridor (IMEC) project are set to give cross-border trade between India, the Middle East, and Europe a further boost. The project kicked off in June of last year, with a focus on establishing the first leg between India and the UAE via sea and rail links. Efforts are currently underway to streamline procedures across the Indian ports of Mundra, Kandla and Nhava Sheva as well as the UAE ports of Jebel Ali and Fujairah.

The caveat: Realigning supply chains geographically “does not come cheap,” Standard Chartered Global Head of Transaction Banking Corporate Sales Mark Troutman said. Over three in five respondents expect the overall costs of goods to rise by between 5% and 14% in the medium term.

Marsa Maroc’s 1H 2025 results see topline + bottomline gains

Marsa Maroc sees topline, bottomline surge in 1H 2025: Morocco’s leading port operator Marsa Maroc saw its consolidated net income increase by around 22% y-o-y — according to our calculations — to around MAD 893 mn for 1H 2025, according to an earnings release (pdf). Its consolidated revenues rose by 14.5%y-o-y reaching MAD 2.8 bn for the same period.

Improved cargo traffic: Marsa Maroc's handled traffic increased by 8% y-o-y to 33.6 mn tons, supported by growth across all traffic categories. Handled automobiles saw a significant surge, rising 51% y-o-y to reach 72.7 mn vehicles. The firm also handled 1.5 mn containers, a 6% y-o-y increase, and processed some 11.4 mn tons of dry bulk cargo, a 5% y-o-y rise.

REMEMBER- The Moroccan major made big moves in 2025: Marsa Maroc is investing EUR 280 mn in developing Nador West Med’s Western Terminal, after securing a 25-year concession for the project earlier this year. It also inked an agreement earlier this year with MSC subsidiary Terminal Investment Limited (TIL) to split ownership of the Eastern Container Terminal at Nador West Med, expanding its portfolio to three container transshipment terminals and increasing container traffic handling capacity to 9 mn TEUs.

The plans ahead: The firm is planning to invest MAD 4 bn to modernize infrastructure and upgrade the equipment fleets of the ports of Casablanca and Jorf Lasfar over the next five years.

Our strategic outlook on maritime expansion

For AK-Ships, the Suez Canal is the launchpad for a new era of global trade — that’s why we’re pioneering new trading lines, strategically linking Egypt with the world via the Suez Canal Economic Zone.

This plan requires forging new cooperation with key partners, particularly our Chinese clients. We are mapping out dedicated routes from Sukhna to India and the Gulf, meticulously analyzing commercial demands to select the right vessels and capacities. This ambitious expansion, however, is not without its challenges.

The primary hurdles are logistical and operational, requiring careful planning to manage new trading lines, select suitable vessel types and capacities, and successfully engage with key partners, such as our Chinese clients. It's a complex endeavor that demands a robust, adaptable strategy to meet the diverse requirements of this critical commercial hub.

In an industry as steeped in tradition as maritime shipping, a modern and competitive edge is built on a foundation of human capital. We believe that investing in our workforce is key. This starts with providing effective technical training for all crew members, especially our main staff, to ensure they have the skills to handle the complexities of modern vessels.

Crucially, our technical and marine management teams provide hands-on, on-board support to solve problems swiftly. Equally important is fostering a cooperative work environment through regular meetings and social gatherings outside of work, which builds strong bonds and mutual respect among our employees, both ashore and on our vessels.

To maintain a competitive advantage, our technical capabilities and operational standards must evolve in lockstep with our expansion. We’re meticulous about ensuring all staff possess the right knowledge and qualifications, using tailored questionnaires in our interviews to accurately evaluate potential crew members.

This commitment to continuous professional development is strengthened through specific training courses, both online and physical, to ensure our staff are always improving and ready for the demands of a dynamic global market.

Mohamed Rehab

Technical Board Committee Member, AK-Ships

Updates on trade, aviation, and trucking from KSA and Oman

TRADE-

Saudi boosts trade ties with Oman: Saudi Arabia inked a certificate of origin (CO) with Oman to streamline the mutual flow of goods and hike up commercial and industrial exports between the two Kingdoms, ONA reports.

SOUND SMART- A CO confirms the origin of a product — serving as a declaration to adhere to customs or trade requirements, according to the International Chamber of Commerce. They are required for customs clearance services to clarify duties or legitimacy of imports.

Background: The contract was initiated under the second phase of the pair’s plan to support the bilateral integration and trade of industrial goods, launched back in June. This includes creating a fast track for customs transactions, joint industrial investments, integrating industrial supply chains, easing procedures for registering industrial goods, and equal treatment of companies in their respective government tenders.

AVIATION-

The Kingdom inked agreements with 17 countries and regional organizations at the ICAO General Assembly in Montreal, covering air transport regulations, air safety standards, connectivity, and technical cooperation, according to a statement from the General Authority of Civil Aviation.

The breakdown: Bilateral air transport service agreements were signed with Antigua and Barbuda, South Africa, Finland, Latvia, and Saint Lucia. MoUs for technical and operational cooperation were established with the African Civil Aviation Commission, Brazil, Algeria, Belarus, Guinea, Sao Tome and Principe, Liberia, Georgia, Comoros, Seychelles, Lithuania, and China. Additionally, an MoU for technical cooperation was formalized between the Arab Civil Aviation Organization and the African Civil Aviation Commission.

TRUCKING-

DeepWay expands in the Middle East: Chinese tech firm DeepWay has inked a distribution agreement with Omani firm Top Autos to deploy its electric, heavy-duty BEV Truck in Oman, according to a statement. The move aims to support Oman’s decarbonization and sustainable freight goals through trucks that will be used for most round-trip routes, traveling over 400 km per charge.

About DeepWay: The firm has been working on zero-carbon and smart logistics since 2020, producing electric heavy-duty trucks and smart freight solutions, according to its website.

Aware Super + Goodman buy into Amazon-tenanted property portfolio

Aussie pension fund Aware Super invests in US-based warehouse portfolio: Australian pension fund Aware Super has partnered up with property investor Goodman Group to acquire a 49% stake in an industrial property portfolio that includes Amazon warehouses, Bloomberg reports. The investment comprises a USD 1.3 bn portfolio of building area, spanning three Los Angeles properties of roughly 2.8 mn square feet.

PG&E to invest in grid upgrades to prep for data centers’ electricity surge: US natural gas and electric services firm Pacific Gas and Electric Company (PG&E) plans to invest USD 73 bn in grid upgrades by 2030 to prepare for the surge in electricity load from the even-expanding data centers, Reuters reports. The firm is also planning on delivering 10 GW of electricity to data centers over the next decade.

Calendar

OCTOBER

1-2 October (Wednesday-Thursday): Saudi Maritime and Logistics Congress, Dammam, Saudi Arabia.

4 October (Saturday): Syria Recovery and Investment Forum, Abu Dhabi, UAE.

6-8 October (Monday-Wednesday): Maritime Cyprus Conference, Limassol, Cyprus.

7-8 October (Tuesday-Wednesday): Global EV and Mobility Technology (Gemtech) Forum, Riyadh.

8-9 October (Wednesday-Thursday): Quantum Maritime Conference 2025, Abu Dhabi, UAE.

7-9 October (Wednesday-Thursday): World Aviation Festival, Lisbon, Portugal.

13-17 October (Monday-Friday): The Marine Environment Protection Committee’s second extraordinary session, London, UK.

14-15 October (Tuesday-Wednesday): Investing in Africa Conference and Expo, London, UK.

14-16 October (Tuesday-Thursday): AntwerpXL, Antwerp, Belgium.

15 October (Wednesday): Global Trade Review, Cairo, Egypt.

16-18 October (Thursday-Saturday): International Forum and Expo on Mobility, Transport and Logistics (Logiterre), Casablanca, Morocco.

28-30 October (Tuesday-Thursday): Borneo International Maritime Week, Sarawak, Malaysia.

NOVEMBER

3-6 November (Monday-Thursday): Adipec Maritime and Logistics Exhibition and Conference, Abu Dhabi, UAE.

4-6 November (Tuesday-Thursday): Air Cargo Forum, Abu Dhabi, UAE.

9-11 November (Sunday-Tuesday): TransMea Expo, Cairo, Egypt.

11-13 November (Tuesday-Thursday): Freightcamp, Bangkok, Thailand.

17-21 November (Monday-Friday): Dubai Airshow, Dubai, UAE.

18 November (Tuesday): ShipTek International Conference and Awards, Al Khobar, Saudi Arabia.

24-26 November (Monday-Wednesday): World Advanced Manufacturing Logistics Summit and Expo, Riyadh, Saudi Arabia.

DECEMBER

6 December (Saturday): International Procurement Supply Chain Conference, Cairo, Egypt.

9-10 December (Tuesday-Wednesday): Rail Industry Summit, El Jadida, Morocco.

16-17 December (Tuesday-Wednesday): Saudi Airport Exhibition, Riyadh, Saudi Arabia.

JANUARY 2026

19-23 January (Monday-Friday): World Economic Forum Annual Meeting, Davos, Switzerland.

27-28 January (Tuesday-Wednesday): SkyMove Air Cargo MENA, Riyadh, Saudi Arabia.

27-28 January (Tuesday-Wednesday): Middle East ProcureTech Summit, Dubai, UAE.

FEBRUARY 2026

4-5 February (Wednesday-Thursday): Breakbulk Middle East, Dubai, UAE.

4-5 February (Wednesday-Thursday): MRO Middle East, Dubai, UAE.

25-27 February (Wednesday-Friday): Air Cargo Africa, Nairobi, Kenya.

MARCH 2026

10-12 March (Tuesday-Thursday): World Cargo Symposium, Lima, Peru.

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