Damietta, Egypt – Commercial operations commenced today at the newly constructed Damietta Alliance Container Terminal (DACT), marking a significant expansion of Egypt’s port infrastructure and a strategic boost to Mediterranean and North African trade routes. The launch was inaugurated with the arrival of the “Essen Express,” a 13,117 TEU (Twenty-foot Equivalent Unit) container vessel operated by Hapag-Lloyd, according to a press release from Hapag-Lloyd.
The opening of DACT represents a substantial investment – exceeding USD 600 million – and is poised to enhance global supply chains, improve schedule reliability, and deliver high-quality services, as noted by Dheeraj Bhatia of Hanseatic Global Terminals. The terminal’s development is particularly significant given its location, serving not only Egypt but also regional markets including the Levant and the Black Sea.
“This launch strengthens our presence in the Mediterranean and North Africa,” stated Matthieu Gasselin, CEO of Contship, the terminal operator. “We plan to expand intermodal links in Damietta and Greater Cairo to support international trade.” This expansion aims to integrate the port more effectively with inland transportation networks, facilitating smoother cargo movement across the region.
DACT is designed to handle a capacity of 3.3 million TEU in its final phase, with an anticipated cargo mix of 80% transshipment and 20% import/export. The 93-hectare facility boasts a 1,670-meter quay and an 18-meter water depth, enabling it to accommodate some of the world’s largest container ships. The terminal is equipped with 12 electric ship-to-shore cranes and 40 hybrid Rubber-Tyred Gantry (RTG) cranes, reflecting a commitment to energy efficiency, and sustainability.
Ownership and Regional Impact
The Damietta Alliance Container Terminal is a joint venture, with ownership distributed among several key players: Hapag-Lloyd Damietta GmbH (39%), EUROGATE Damietta GmbH (29.5%), Contship Damietta S.p.A. (29.5%), Ship & C.R.E.W. Egypt S.A.E. (1%), and Middle East Logistics & Consultants Group (1%). This diverse ownership structure underscores the international collaboration driving the project. Juan Pablo Richards of Hapag-Lloyd emphasized that DACT will “strengthen our East Mediterranean network and improve trade lane efficiency.”
The terminal’s focus on sustainability is evident in its use of electric and hybrid cranes, designed to reduce emissions and minimize environmental impact. This aligns with growing global efforts to decarbonize the maritime industry and promote environmentally responsible port operations. Container News reports that the terminal also prioritizes safety and engages with local communities to ensure sustainable operations.
Strategic Importance for Egypt and the Mediterranean
Egypt has been actively investing in its port infrastructure to capitalize on its strategic location along major shipping routes, including the Suez Canal. The DACT project is a key component of this strategy, aiming to attract more transshipment cargo and enhance Egypt’s role as a regional logistics hub. The terminal’s capacity to handle large volumes of cargo will alleviate congestion at other ports in the region and improve the efficiency of global supply chains.
The launch of DACT also comes at a time of increasing geopolitical and economic complexity in the Mediterranean region. The terminal’s development could contribute to greater economic stability and regional integration, fostering trade and investment opportunities. However, the region remains susceptible to disruptions from geopolitical tensions and global economic fluctuations, factors that could impact the terminal’s long-term success.
Looking ahead, the focus will be on developing intermodal connections between Damietta and Greater Cairo, creating a more integrated logistics network. Contship CEO Gasselin highlighted the vision of expanding beyond terminal operations to develop a comprehensive intermodal system serving international trade. The success of DACT will depend on its ability to attract shipping lines, efficiently handle cargo, and seamlessly connect with inland transportation networks.
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