FedEx to invest $350 million for new hub in Dubai

FedEx Express (FedEx), a subsidiary of FedEx and one of the world’s largest express transportation companies, is expanding its footprint in the Middle East, Indian Subcontinent and Africa (MEISA) by establishing a state-of-the-art hub at Dubai World Central (DWC) Airport in Dubai South.

The facility was inaugurated by Sheikh Ahmed bin Saeed Al Maktoum, Chairman of Dubai Airports and Chairman and Chief Executive, Emirates Airline and Group along with Raj Subramaniam, President and CEO, FedEx, Richard W. Smith, President and CEO, Airline and International, FedEx Express and Kami Viswanathan, President, MEISA, FedEx Express, says an official release.

The regional hub marks a long-term investment of more than $350 million, focusing on infrastructure, and technological advancements. "The investment reaffirms our commitment to revolutionise its operations with cutting-edge technology and innovative practices."

Smith says: “The establishment of our new regional hub significantly enhances our presence and capabilities in the MEISA region. This investment is not just about infrastructure expansion; it will contribute to improve the region's connectivity, and play a key role in facilitating global trade and commerce. Given the role of the UAE and Dubai in global trade, our regional hub not only aims to serve the MEISA region, which accounts for approximately 45 percent of the world’s population and includes key markets like India and Saudi Arabia but is also a crucial part of our global air network that connects more than 220 countries and territories.”

Viswanathan adds: “This hub is a significant step forward towards our vision of building smarter and more sustainable supply chains for everyone. Integrating the latest physical infrastructure with digital capabilities powered by artificial intelligence, it enables us to improve efficiency and provide our customers with new capabilities to redefine competitiveness and drive business growth, ultimately contributing to a more connected and resilient global trade ecosystem."

The 57,000 sq. m facility incorporates advanced technologies that include automated sort systems to enhance the efficiency, accuracy and speed of package processing and distribution from the facility. The hub also includes two automated high-speed x-ray machines to efficiently scan goods and enhance security, the release added. A dedicated 170 sq. m cold storage area will cater to a wide range of temperature-sensitive shipments. The hub also features an all-electric ground fleet and charging stations for operational and employee vehicles - in line with FedEx's goal of carbon-neutral operations by 2040.