December 07, 2023
TOKYO-Mitsui O.S.K. Lines, Ltd. (MOL; President & CEO: Takeshi Hashimoto) and DP World (DPW; Group Chairman and CEO Sultan Ahmed bin Sulayem) today announced the signing of a memorandum of understanding (MoU) to explore opportunities to enhance auto logistics capabilities at Jebel Ali Port and reduce carbon emissions in port and maritime applications in the UAE and beyond.
A signing ceremony took place at Al Majilis meeting room – Jafza 15 coinciding with COP 28 between MOL Group Managing Executive Officer in charge of the group's business in the Indian sub-continent and Middle East, Mr. Ajay Singh and Mr. Abdulla bin Damithan, CEO DP World GCC.
As part of this agreement, the companies will conduct feasibility studies for business opportunities related to stocking, enhancing, and strategically redistributing fully assembled cars through Jebel Ali Port. The decarbonization component of the new cooperation will center on developing the regional market for clean fuels for maritime and port-based applications, and other related decarbonization business areas.
Mr. Abdullah bin Damithan, DPW said: "DP World and MOL have a shared vision for sustainability and excellence in global maritime logistics and we look forward to strengthening our partnership through this MoU. With this agreement, we will combine our expertise to explore ways of enhancing the automotive supply chain and supporting decarbonization efforts for the sector in the UAE and the wider Middle East."
Mr. Ajay Singh, MOL said: "MOL is honored to strengthen our relationship with DPW. MOL is already a major operator at Jebel Ali, and the new initiative aims at investing in facilities to further widen the scope of our operation there. It will contribute to the development of our auto logistics business in the Indian Ocean region, within which Jebel Ali is a highly efficient and modern gateway. The maritime decarbonization project fits in well with our environmental roadmap, and through it we aim to transition several hundreds of vessels calling in the region to clean fuels in coming years, and to grow clean marine fuel supply chains in the GCC and beyond"
MOL has positioned its environmental strategy as one of the key strategies in its "BLUE ACTION 2035" management plan, and has set the goal of achieving net zero greenhouse gas (GHG) emissions by 2050 in the "MOL Group Environmental Vision 2.2." Through this alliance with DPW, it will pursue GHG reduction of the ports and vessels around UAE and GCC and contribute to the realization of a low-carbon and decarbonized society.
MOL, headquartered in Japan, is a leading shipping company, operating on a global scale with about 800 vessels in service. The company develops various social infrastructure businesses centered on ocean shipping, as well as technologies and services to meet ever-changing social needs including environmental protection. The MOL fleet includes dry cargo ships, liquefied natural gas (LNG) carriers, car carriers, and tankers. In addition to the traditional shipping businesses, MOL also offers wellbeing & lifestyle businesses such as real property, terminal operation, and ferry service, as well as social infrastructure businesses such as logistics and offshore wind power. With one of the largest merchant fleets and about 140 years of history, experience, and technology, MOL will make a leap forward to become a global social infrastructure company, support people's daily lives from the blue ocean, open the way to a prosperous future, and deliver new value to all stakeholders.
DP World operates Jebel Ali Port and the Jebel Ali Free Zone, known as Jafza, which is the Middle East's biggest automotive trading hub and largest used car market with over 1.53 million sqm of combined facilities. The company's facilities include a RoRo terminal at Jebel Ali Port, capable of handling one million car equivalent units (CEUs) per year, and up to 27,000 CEUs within its quaysides, including the region's largest multi-story facility.
MOL Group 5 Sustainability Issues
MOL Group identifies "Sustainability Issues" (Materiality) as our key issues for sustainable growth with society through realization of the Group Vision.
We anticipate this initiative to contribute especially to the realization of "Environment – Conservation for Marine and global environment" and "Innovation – Innovation for development in marine technology".