Deutsche Post DHL Group’s air and sea freight specialist DHL Global Forwarding division and Etihad Rail (developer and operator of the UAE’s national rail network) have signed a strategic partnership at Middle East Rail, located in Abu Dhabi National Exhibition Center (ADNEC). The agreement provides for the establishment of a joint venture that will allow DHL Global Forwarding to use Etihad Rail’s network to conduct core operations within the UAE.
Under the terms of the agreement, DHL Global Forwarding will use the rail network, which connects major industrial hubs, as one of its primary means of transportation to distribute goods throughout the UAE. The new joint venture, operating through Etihad Rail’s network, will further strengthen the sustainable freight offering in the UAE. The agreement is expected to significantly reduce pressures on road transport and boost trade, commerce and logistics, while playing a key role in helping the UAE meet its environmental responsibility commitments.
The ambitious 20-year partnership between DHL and Etihad Rail will deliver significant benefits to companies, optimizing the use of time and resources, reducing costs and making asset management more efficient. It will also strengthen end-to-end logistics and supply chain services for customers in the region. DHL’s robust rail freight products offer safe and reliable transport, and are an environmentally friendly alternative to road or air freight transport.
As rail is regarded as one of the most sustainable modes of transport, Etihad Rail is committed to contributing to the UAE’s strategic Net Zero by 2050 initiative. Through this initiative, the UAE’s national rail network will help reduce carbon emissions in the road transport sector by 21% by 2050, and each train journey will cause up to 300 fewer trucks to travel on the road. The agreement between Etihad Rail and DHL Global Forwarding is one of the largest collaborations in the transport sector and demonstrates the respective organizations’ commitment to the UAE’s sustainability agenda.