Saudi Arabian terminal operator Red Sea Gateway Terminal (RSGT) and France's CMA CGM Group said on Tuesday they had signed an agreement to jointly develop and operate a terminal at Jeddah Islamic Port.
The investment, in collaboration with the Saudi Ports Authority (Mawani) and aimed at developing terminal four of the port, is expected to be about SAR1.6 billion ($434 million).
The investment will bolster Saudi Arabia's "Vision 2030" plans, which aim to reduce the kingdom's economic dependence on hydrocarbon revenue by investing in sectors such as tourism.
"As the global trade landscape continues to evolve and infrastructures need to expand and modernise, terminals are becoming increasingly strategic assets," Rodolphe Saade, CEO of CMA CGM Group, said in a statement.
The investment in Jeddah port, a key trade route to Saudi Arabia in the Red Sea, comes amid rising uncertainty over trade access in the Middle East due to the US-Iran war.
In late 2025, RSGT and CMA CGM signed an agreement to develop and operate a container terminal at the Jeddah port.
J.P. Morgan acted as the financial adviser to the agreement.
(Reporting by Siddarth S in Dubai. Editing by Mark Potter)