Partnership for DP World & Malaysia’s Sabah Ports

Container terminal operator DP World has teamed up with Malaysia's Sabah Ports to manage and enhance the Sapangar Bay Container Port, aiming to significantly boost its capacity.

Sapangar Bay port serves as a key regional trading hub within the Brunei Darussalam-Indonesia-Malaysia-Philippines East growth area of the Association of Southeast Asian Nations.

Under this new partnership, DP World will assist in the ongoing efforts to expand the port's container handling capacity from the current 500,000 twenty-foot equivalent units (teu) to 1.25 million teu by the year 2025. The collaboration will also focus on optimizing terminal operations, enhancing digitalization to improve operational efficiency, and boosting the port’s connectivity.

This initiative builds on the longstanding cooperation between DP World and Sabah Ports, which began in 2019 when the two parties signed an agreement to jointly develop strategies aimed at boosting Sapangar Bay’s competitive edge and fostering cargo growth in the surrounding regions of Sabah. The partnership's long-term goal is to enhance both landside and seaside connectivity.

“In partnership with Sabah Ports, we will apply industry-leading practices to elevate the port into a hub for [the markets in the growth area], supported by an ever-growing network of inland container depots, industrial parks, logistics parks, and free zones across Sabah,” stated Ahmed bin Sulayem, the group chairman and CEO of DP World.

“The synergy with DP World can potentially address the challenges of high logistics cost faced in Sabah, through the establishment of a strong shipping network and expansion of cargo base. The venture is expected to not only impact Sabah’s shipping and logistics industry. It will also lead to economic growth because of market confidence, thus attracting economic investments and infrastructural upgrades in transport, logistics, and along the supply chain,” added Ng Kiat Min, managing director of Sabah Ports.