Marseille-based container shipping line CMA CGM signed through its fully owned subsidiary CMA Terminals a term sheet with Saudi Arabia’s Red Sea Gateway Terminal (RSGT), the national terminal operator, for a potential joint venture to build and operate Terminal 4 at Jeddah Islamic Port.
The planned Terminal $450m investment will deliver a 2.6 million TEU new infrastructure, advanced handling equipment, and next-generation digital and sustainability capabilities.
The potential sub-concession would be structured under RSGT’s existing long-term concession with Saudi Ports Authority (Mawani) and forms part of RSGT’s option to expand Jeddah Islamic Port’s capacity on the allocated Terminal 4 area, as stipulated in the 2020 concession agreement.
The joint venture will operate as a separate 2.6 million TEU container terminal adjacent to the existing RSGT terminals.
CMA CGM said the new Terminal 4 will be capable of berthing and operating mega containerships with maximum efficiency, and supports the Kingdom’s broader logistics strategy to increase gateway throughput, expand transshipment, and reinforce the Red Sea’s pivotal role along the Europe-Asia-Africa corridor.
Rodolphe Saadé, chairman and chief executive officer of CMA CGM Group, stated: “I am pleased to announce this partnership with RSGT, which represents a new step in the development of Jeddah Islamic Port and supports Saudi Arabia’s Vision 2030.”
He added: “By combining CMA CGM’s global expertise with RSGT’s local strength, we will contribute to making Jeddah a key logistics gateway on the Red Sea. This investment reflects our confidence in the Kingdom’s long-term ambitions and our commitment to supporting its economic transformation.”
Once completed, the project will increase Red Sea Gateway Terminal’s annual handling capacity up to 8.8 million TEUs.
