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RSGT and CMA CGM Commit $434 Million to Develop Jeddah Islamic Port Terminal 4
By MGN Editorial•August 25, 2026 at 12:00 PM
Red Sea Gateway Terminal and CMA CGM Group have signed definitive agreements to jointly develop and operate Terminal 4 at Jeddah Islamic Port, committing an initial investment of approximately $434 million in a landmark deal for Saudi Arabia's port sector.
## RSGT and CMA CGM Commit $434 Million to Develop Jeddah Islamic Port Terminal 4
Red Sea Gateway Terminal (RSGT) and CMA CGM Group have agreed to jointly develop and operate Terminal 4 at Jeddah Islamic Port, with an initial investment of approximately SAR 1.6 billion ($434 million), according to Port Technology International.
The definitive agreements were signed in Paris on 25 August, in conjunction with the French-Saudi Business Council, underscoring the strategic diplomatic and commercial dimensions of the partnership. The deal brings together one of the Red Sea's leading terminal operators and the world's third-largest container shipping group in a significant expansion of port capacity at one of the Middle East's most strategically important gateways.
### Strategic Significance
Jeddah Islamic Port serves as a critical hub for cargo transiting between Asia, Europe, and Africa, and is a cornerstone of Saudi Arabia's Vision 2030 ambitions to diversify its economy and develop world-class logistics infrastructure. The addition of Terminal 4 is expected to substantially increase the port's throughput capacity, reinforcing Jeddah's position as a premier transhipment and gateway hub on the Red Sea.
For CMA CGM, the investment represents a continued strategy of deepening vertical integration by acquiring stakes in port and terminal assets along its key trade lanes. The French shipping giant has been actively expanding its terminal portfolio globally, and the Jeddah commitment aligns with its broader ambition to control more of the end-to-end logistics chain.
RSGT, which already operates Terminal 1 at Jeddah Islamic Port, brings established operational expertise to the venture, positioning the partnership to deliver efficiencies from the outset.
### Investment Context
The scale of the commitment — $434 million at the initial phase — signals strong confidence in the long-term growth trajectory of Red Sea trade volumes, even as the region has faced elevated geopolitical risk in recent periods. Industry analysts have noted that sustained investment in Red Sea port infrastructure reflects expectations that the corridor will remain a vital artery for global container trade.
Further details regarding the terminal's planned capacity, construction timeline, and phased investment schedule are anticipated as the project progresses through regulatory and development stages.
*Source: Port Technology International*
#Jeddah Islamic Port#CMA CGM#RSGT#Red Sea Gateway Terminal#terminal development#port investment#container terminals#Red Sea#Saudi Arabia#Vision 2030
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