The UAE and Saudi Arabia are launching a new sea-land trade corridor linking Sharjah and Dammam to bypass the Strait of Hormuz amid Iran war–driven disruptions. Coordinated by Mawani and Gulftainer, the route integrates Khorfakkan Commercial Terminal and Sajaa Dry Port. According to the report, the corridor aims to improve cargo flow efficiency and reduce transit time — though cargo types and annual volumes remain undisclosed. The Strait of Hormuz is effectively closed due to Iranian attacks, heightening reliance on alternative routes.
According to www.thenationalnews.com, the UAE and Saudi Arabia are establishing a new integrated sea-land trade corridor linking Sharjah and Dammam to accelerate cargo movement amid escalating disruptions from the Iran war. The initiative is coordinated by Saudi Ports Authority (Mawani) and Sharjah-based logistics firm Gulftainer.
New Sea-Land Corridor Structure
The corridor integrates Khorfakkan Commercial Terminal on the UAE’s east coast — which bypasses the Strait of Hormuz — with Sajaa Dry Port in Sharjah and inland logistics hubs. This forms a direct transport link between the UAE and Dammam, a key commercial hub in eastern Saudi Arabia.
Mawani stated the project aims to improve “cargo flow efficiency and reduce transit time”, while Gulftainer emphasized that the Khorfakkan Inland Corridor enables “direct, reliable transport linking the UAE to key Saudi market, Dammam”.
“By leveraging Khorfakkan Inland Corridor – Khorfakkan Commercial Terminal, Sajaa Dry Port, and integrated inland and land-sea corridors, we enable direct, reliable transport linking the UAE to key Saudi market, Dammam.” — Gulftainer, LinkedIn post
Strategic Context: Hormuz Disruption Escalates
The Strait of Hormuz remains effectively closed for shipping traffic as Iran conducts attacks on vessels transiting the waterway between Iran and Oman. On Monday, March 23, 2026, Iran threatened to lay sea mines across the Gulf if its southern coast and islands are attacked by the US and Israel — a move that could further hinder regional trade flows.
Also on that day, US President Donald Trump announced on Truth Social that military strikes on Iran’s energy infrastructure had been postponed for five days following talks with Tehran. That came hours before the expiration of a 48-hour ultimatum demanding Iran “fully open” the Strait of Hormuz — a demand Tehran vowed to retaliate against.
The Strait of Hormuz is vital for Gulf economies: most of their goods and oil exports pass through it, underpinning national economic growth. With this chokepoint compromised, the UAE-Saudi corridor serves as a critical alternative route to sustain trade continuity.
Operational and Practical Implications
While the project enhances supply chain resilience and improves market access for both nations, the source states that details on cargo types and annual volumes remain undisclosed by the project partners. No timeline for full operational launch or phased implementation milestones was provided.
For global supply chain professionals, this development signals an accelerating shift toward regionalized, geopolitically adaptive infrastructure. Unlike traditional Gulf trade routes reliant on Hormuz, this corridor leverages existing assets — including Khorfakkan’s strategic east-coast location and Sajaa’s dry port capacity — to create redundancy without requiring greenfield construction. It also reflects a broader regional trend: in recent years, UAE ports have expanded multimodal inland connectivity (e.g., rail links to inland Emirates), while Saudi Arabia has invested heavily in its National Transport and Logistics Strategy, aiming to position itself as a global logistics hub by 2030. Similar resilience-driven initiatives include Oman’s Sohar Port expansion and Bahrain’s efforts to strengthen non-Hormuz maritime links — all responding to documented volatility in Gulf maritime security since 2023.
Source: www.thenationalnews.com
Compiled from international media by the SCI.AI editorial team.
