Red Sea Gateway Terminal and CMA CGM are partnering to invest $427 million into expanding Jeddah Islamic Port. The project will expand container capacity and upgrade terminal infrastructure over the next two years. Local officials expect the modernized hub to streamline trade routes across the region. The deal marks one of the largest maritime logistics investments in Saudi Arabia this year.
Red Sea Gateway Terminal and CMA CGM have moved ahead with plans for a fourth container terminal at Jeddah Islamic Port. This comes after the two sides signed a SAR1.6bn ($427m) development and operating agreement.
Moreover, the Saudi Ports Authority Mawani revealed that the deal was signed in Paris on Monday on the sidelines of the Saudi-French Investment Roundtable.
Capacity
Terminal 4 will add around 2.6m teu of annual capacity at the Red Sea gateway and will be developed under RSGT’s existing long-term concession with Mawani.
Furthermore, the agreement takes the project beyond the term-sheet stage reached last October, when RSGT and CMA CGM outlined a potential joint venture and put planned investment at SAR1.7bn ($450m).
That earlier plan called for new terminal infrastructure and cargo-handling equipment. Also, it called for digital systems, with the additional capacity set to lift RSGT’s Jeddah handling capability to around 8.8m teu per year.
RSGT completed a major expansion of its existing northern container terminal in 2024, lifting capacity there from 2.5m teu to 6.2m teu.
No construction or start-up timetable for Terminal 4 was disclosed in the latest announcement.
This terminal project reflects Saudi’s efforts to develop maritime infrastructure in bid to become a leading maritime logistics hub in the region.
Project Factsheet: Jeddah Islamic Port Terminal 4 Development
Project Name: Terminal 4 (T4) Development and Operation
Location: Jeddah Islamic Port, Red Sea Coast, Saudi Arabia
Key Partners: Red Sea Gateway Terminal (RSGT) & CMA CGM Group (via CMA Terminals)
Governing Authority: Saudi Ports Authority (Mawani)
Investment Value: SAR 1.6 Billion (~$427 Million – $434 Million)
Capacity Increase: +2.6 Million TEU (Twenty-foot Equivalent Unit)
Target Total Capacity: 8.8 Million TEU per year across RSGT Jeddah operations
Concession Model: Sub-concession under RSGT’s existing long-term agreement with Mawani
Key Infrastructure and Gear: New deep-water berths, 10 Ship-to-Shore (STS) cranes, advanced digital handling systems
Strategic Goals: Expand transshipment along Europe–Asia–Africa trade corridors; align with Saudi Vision 2030.
Project Team
Core Operating & Investment Partners
Red Sea Gateway Terminal (RSGT): Lead terminal operator and primary concession holder. RSGT is a Saudi-based independent terminal operator.
CMA CGM Group: Global shipping and logistics company co-developing and operating the terminal. Executed through its dedicated port infrastructure subsidiary, CMA Terminals.
Government & Regulating Authorities
Saudi Ports Authority (Mawani): The government body overseeing national port operations and issuing the underlying concession framework.
Ministry of Transport and Logistics Services: Government body guiding the Kingdom’s National Transport and Logistics Strategy under Vision 2030.
Financial and Advisory Partners
J.P. Morgan: Served as the financial adviser for the transaction and joint venture structuring.
RSGT Shareholders (Indirect Entities Involved)
Public Investment Fund (PIF): Saudi Arabia’s sovereign wealth fund (holds a 20% equity stake in RSGT).
COSCO SHIPPING Ports Limited (CSPL): Global port operator (holds a 20% equity stake in RSGT).
SISCO Holding (Saudi Industrial Services Co.): Major founding shareholder in RSGT.
Xenel Industries & MMC Corporation Berhad: Founding strategic investor group.
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