The owners of the multimodal port facility at London Gateway have wasted no time in moving ahead with expansion. After DP World was granted approval just a few weeks ago, the self-styled global logistics giant is pressing ahead with their £1bn project. They say it will help establish London Gateway as the UK’s biggest container port.
Construction work to expand London Gateway is to begin within a month. The new logistics park will take four years to complete say DP World. The port, which sits within the Thames Freeport footprint, has been rapidly expanding. It recently began receiving ships on the routes of the Hapag-Lloyd and Maersk Gemini Collaboration.
Second rail terminal
The rapidly expanding London Gateway is on course to overtake Felixstowe as the UK’s busiest container terminal. The Gemini Collaboration partners had already announced that they were switching some port calls to London Gateway, which precipitated a shakeup of inland services at Felixstowe, including rail freight consignments. Felixstowe itself is involved in the global sale of Hutchison Ports properties, as reported in depth in the current magazine edition of WorldCargo News.
The expansion of logistics handling at London Gateway will also include additional rail freight facilities. However, the facilities will not be on stream immediately. According to DP World, it will take four years to complete the expansion, adding two further 400m-long all-electric berths and a second rail terminal “in a major infrastructure project that boosts the UK’s trading capability”.
Supporting national economic growth
DP World says it has worked at pace to gain regulatory approval for the investment, which was first announced by CEO and Group Chairman Sultan Ahmed bin Sulayem at the UK Government’s International Investment Summit in October 2024. Relations between the company and the UK government appear to be more cordial after that event. Public criticism of DP World over controversial employment practices at their subsidiary company P&O Ferries, made by a since resigned minister had Jeopardised the investment.
The expanded container port, part of the Thames Freeport, will be able to accommodate six of the world’s largest container ships, which will be served by Europe’s tallest quay cranes, said DP World. “This investment enhances London Gateway’s position at the heart of British trade, creating new capacity and new connections between the UK and the global economy,” said Sultan Ahmed bin Sulayem, CEO and Group Chairman. “DP World has invested more than £5bn in its UK operations, providing more than 5,500 jobs, and is proud to be supporting national economic growth by enabling businesses to thrive and increasing resilience in the supply chain.”
Collaboration with local authorities
Last week, the chairman hosted UK Minister of State for Investment, Baroness Poppy Gustafsson, at London Gateway to discuss the investment, growth plans, and the 400 new permanent jobs that DP World expect to be created at the logistics hub. “The UK is open for business and DP World’s major investment is the latest vote of confidence in our economy, delivering economic growth,” said Baroness Gustafsson. “DP World’s expansion in London Gateway will turbocharge the UK’s logistics sector and help deliver the long-term, stable growth that supports skilled jobs and raises living standards across the UK.”
Over 1,000 construction jobs will be created during the £1bn expansion. Approvals for DP World’s project were secured following close collaboration with the local administration at Thurrock Council and the UK Government’s Marine Management Organisation. The start of construction follows the agreement between DP World and the Maersk and Hapag-Lloyd Gemini Cooperation for their Asia-Europe and Middle East-Europe services to call at London Gateway. The first ship arrived earlier this month. In the UK, DP World also operates a busy container terminal at Southampton, where an incentive scheme encourages shippers to move inbound containers by rail.
