DP World has signed a US$760 million Memorandum of Understanding (MoU) with the government of the Dominican Republic to expand the Port of Caucedo and its Free Trade Zone.

The agreement, signed with the Ministry of Industry, Commerce, and MSMES (MICM) of the Dominican Republic, initiates negotiations that will raise Caucedo’s container handling capacity from 2.5 million to approximately 3.1 million TEUs, while unlocking 225 hectares of development-ready land for the Free Trade Zone.

Sultan Ahmed bin Sulayem, Chairman and Group CEO of DP World, commented: “This agreement marks a major step forward in our vision — shared with our local partners and stakeholders — to enhance the country’s competitiveness and connectivity, creating greater opportunities for local communities and businesses to thrive.”

“By boosting capacity and enabling nearshoring opportunities, we will transform Caucedo into the most advanced logistics hub in the Caribbean, not only strengthening supply chain resilience across the Americas but also creating a powerful engine for economic growth and job creation in the Dominican Republic. We are proud to deepen our partnership with the government and people of this vibrant nation, building a future where trade works better for everyone.”

DP World, which has operated in the Dominican Republic for over 25 years, currently manages both the marine terminal at the Port of Caucedo and the adjacent 86-hectare Free Trade Zone Park.

Since 2003, the company has invested more than US$700 million in its development, boosting capacity from 900,000 TEUs in 2003 to 2.5 million TEUs today.

The new US$760 million investment will be split evenly:

• US$380 million for the port, including the expansion of the quay and breakwater to accommodate next-generation vessels and general cargo operations, new ship-to-shore cranes, yard equipment, advanced surveillance systems and security infrastructure, and upgrades to gates, roads and automation systems.

• US$380 million for the Free Trade Zone, including a new road network, utilities, a commercial and marketing center to attract global tenants, and pre-built storage units.

DP World estimates the combined project will add around 300,000 TEUs a year of cargo volume, attract US$3.9 billion in FDI, and drive US$4 billion in new manufacturing output to support thousands of new jobs.

Morten Johansen, Chief Operating Officer of DP World Americas, said: “This is a transformative investment, not just in infrastructure, but in the future of the Dominican economy. The expansion is expected to generate billions in foreign direct investment, create thousands of new jobs, and solidify the Dominican Republic’s position as a premier destination for nearshoring and global trade. We are proud to help unlock the country’s full potential and build a foundation for long-term prosperity.”