Saudi Arabia is expanding logistics capacity on its Red Sea coast with a new integrated logistics centre at Yanbu Commercial Port. The project is part of broader efforts to boost the Kingdom’s role as a global trade and transport hub.
The Saudi Ports Authority (Mawani) has signed an agreement with Q Saudi Trading Company to develop and operate the facility at Yanbu. The investment exceeds 29 million riyals and will span roughly 120,490 square metres, according to the Saudi Ports Authority (Mawani).
The centre is planned to support storage, consolidation, and redistribution of cargo for both domestic and international shipping and transport firms that use Yanbu as a key maritime gateway. One of the country’s oldest ports, Yanbu Commercial Port serves commercial trade in the Red Sea and acts as Saudi Arabia’s second main entry point for pilgrims.
The port currently operates 12 berths and can handle more than 13.5 million tonnes of cargo annually, according to the Saudi Ports Authority (Mawani). Its infrastructure includes a passenger terminal for up to 2,000 travellers at once, a general cargo terminal, and two bulk storage silos with total capacity of 40,000 tonnes.
Strategic role and complementary investments
This new agreement supports the National Transport and Logistics Strategy, which aims to strengthen logistics networks and improve economic resilience. Upgrading ports on the west coast is seen as vital to industrial growth, export performance, and the development of tourism, particularly as large-scale projects advance in areas such as Madinah and the Red Sea.
Mawani is channelling targeted investment into increasing capacity, modernising port infrastructure, and encouraging greater private sector involvement across its network. Partnerships like the Yanbu project illustrate the authority’s approach to working closely with logistics operators to raise service standards and accelerate the transformation of maritime gateways.
The Yanbu deal was announced just one day after Mawani concluded a separate 200 million riyal investment agreement with Arabian Agricultural Services Company for a new logistics hub at King Abdulaziz Port in Dammam, according to the Saudi Ports Authority (Mawani). That east coast facility will include extensive storage and dedicated bulk grain handling infrastructure to support national food security.
Taken together, the two agreements signal strong momentum in the build-out of Saudi Arabia’s logistics infrastructure on both coasts. By expanding capacity and attracting investment, the Kingdom is reinforcing its ports as competitive, high-capacity gateways serving regional and global trade flows.
