JD.com's infrastructure investment arm plans to establish a major logistics hub in Abu Dhabi’s Kezad economic zone, with the 150,000-square-metre complex expected to create about 1,000 direct jobs, as China's online retailer expands its UAE footprint.
Jingdong Property, the infrastructure investment and asset-management arm of one of China’s largest e-commerce companies, has signed an agreement with Khalifa Economic Zones Abu Dhabi Group to establish the warehousing complex at Kezad Al Ma’mourah, the companies said on Monday. The value of the project was not disclosed.
The project is expected to be completed in 2028 and will include automated warehousing systems and digital operations technology, according to a statement. It will provide logistics infrastructure for domestic and international companies and offer customised development services to customers.
Once operational, it is expected to create about 1,000 direct jobs in logistics, distribution and administrative functions, as well as additional employment in manufacturing, retail, transport and support services.
“Our agreement with Jingdong Property will enhance Kezad's logistics capabilities, further cementing its position as a gateway for regional and global trade, while advancing economic diversification, industrial expansion and sustainable development,” said Mohamed Al Khadar Al Ahmed, chief executive of Kezad Group.
Feng Guo, chief executive of JD.com Middle East, said the development represented an important step in Jingdong Property’s UAE expansion strategy and would support “fast-moving supply chains”.
Jingdong Property, also known as JD Property, invests in and manages logistics parks, business parks and data centres. The company manages more than 300 infrastructure assets globally, covering more than 28 million sq m of gross floor area, with more than $16 billion of assets under management.
The latest investment comes as Abu Dhabi seeks to draw more manufacturing, logistics and supply-chain activity into its industrial zones under its broader economic diversification strategy.
Kezad, a subsidiary of AD Ports Group, operates 12 economic zones across Abu Dhabi, Al Ain and Al Dhafra, as well as an industrial and logistics zone in East Port Said, Egypt. Its economic-zone network serves more than 2,300 investors across 17 industrial sectors.
The new complex will also support the goals of the Abu Dhabi Industrial Strategy and the UAE’s Operation 300bn programme, Kezad said.
Chinese companies expanding in UAE
The move is in line with Chinese companies increasingly expanding their footprint in the UAE.
Dubai International Financial Centre said separately on Monday that Beijing-based China Securities, a publicly listed securities firm and a leading Chinese investment bank, has received a licence from the DIFC Authority to establish its regional presence in the emirate's financial centre.
The new office will provide China Securities with a strategic base from which to support the group’s engagement with clients, investors and financial institutions across the Middle East region as well as strengthen connectivity between Chinese, UAE and international capital markets, DIFC said. It added that China’s five largest banks collectively account for more than 30 per cent of total assets in DIFC’s banking and capital markets sector.
Other Chinese companies with a strong presence in Dubai include BYD, Baidu, Tencent Cloud, Huawei Cloud, iMile Delivery, YTO International, Yalla Group, Aridge, China International Capital Corporation and China Merchants Capital.
