DP World Boosts Bet on Romania’s Nearshoring Future

DP World is boosting its bet on Romania’s future as one of Europe’s nearshoring winners, particularly in automotive supply chains.
The Dubai-based port operator and logistics company in June announced €130 million ($141 million) in investments aimed at boosting cargo volumes by 2 million metric tons a year and linking Romania with the rest of Europe via seaborne and overground trade.

The company, which has operated in Romania for 20 years, said its latest investments include:

• A 12-acre terminal in Constanta for heavy and large freight and a new vehicles terminal there with peak capacity of 80,000 vehicles a year
• A €21 million logistics hub connecting rail and trucks on 20 acres in the industrial interior near Aiud in Transylvania
• Another €50 million expected for a new multi-transport platform in Constanta set to open next year.

“Automotive firms are also increasingly investing in neighboring Hungary and Poland and nearby Turkey, making robust supply chains and logistics infrastructure such as the ro-ro terminal increasingly essential not just for Romania, but for the surrounding region,” DP World said in a statement.
Romania has had one of the fastest economic growth rates in the European Union in the past two years, but sluggish demand from western European partners is taking a toll. GDP advanced by only 0.1% on annual terms in the first quarter.
The nation is also the biggest facilitator for Ukraine's grain exports, securing the transit of more than 60% of exports from the war-torn nation.
The government has boosted investments in the Constanta port as it seeks to increase its capacity and become a regional trade hub after being partly admitted into the visa-free Schengen air with its maritime and air borders.