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DHL opens next-gen Innovation Center and €120m contract logistics hub in Dubai South

DHL Supply Chain also agrees a long-term agreement with Dubai South to build a 55,000m² multi-user warehouse

DHL Group has marked another major milestone in its regional growth strategy with the official opening of its newly expanded Middle East & Africa (MEA) Innovation Center in Dubai, alongside committing €120 million to develop a next-generation, multi-user contract logistics warehouse in Dubai South.

The developments significantly strengthen DHL’s operational footprint in the UAE, creating an integrated hub where innovation, technology, and large-scale logistics operations meet. They also follow recent announcements in Saudi Arabia and Bahrain, illustrating DHL’s accelerating investment across key Middle Eastern markets.

The new DHL MEA Innovation Center spans 1,700m² and is now one of only four DHL Innovation Centers worldwide. The Dubai facility provides a permanent base for co-creating scalable solutions with customers, partners, startups, and academic institutions.

Built to host up to 120 attendees, the centre includes dedicated collaboration and workshop spaces that enable stakeholders to test emerging technologies, pilot new concepts, and explore innovations tailored to the MEA region’s logistics challenges.

“The Middle East and Africa is one of our most vibrant regions, and DHL was among the first logistics companies to establish a strong presence here,” said Katja Busch, Chief Commercial Officer DHL and Head of DHL Customer Solutions & Innovation. “The new Innovation Center is now a permanent hub, showcasing our commitment to MEA and the UAE. It helps customers navigate the region’s dynamic logistics landscape through collaboration and cutting-edge innovation.”

The facility houses DHL’s regional Customer Solutions & Innovation team, enabling deeper thought leadership and cross-regional knowledge exchange with DHL’s innovation centres in Cologne, Singapore, and Chicago.

“The Innovation Center in Dubai stands as a flagship example of these investments in action,” said Irina Albanese, Head of Innovation, Middle East & Africa. “By working closely with customers and partners, we combine diverse expertise to tackle complex challenges and turn emerging trends into practical solutions. This approach ensures supply chains are not only stronger today but ready for the demands of tomorrow.”

€120 million warehouse to power global supply chains

In parallel, DHL Supply Chain has signed a long-term agreement with Dubai South to build a 55,000m² multi-user warehouse, complete with additional office space, on a 96,000m² plot located near the upcoming Al Maktoum International Airport—set to become the largest airport in the world when fully operational.

The total investment, including lease commitments, stands at €120 million over a 38-year term.

Construction is scheduled to begin in Q1 2026, with completion expected by summer 2027. The warehouse will operate as a carbon-neutral facility in line with DHL’s commitment to net-zero supply chain operations. With a focus on high-value goods and stringent security requirements, the site will serve customers across multiple sectors while supporting shorter lead times and enhanced operational resilience.

“Our new multi-user warehouse in Dubai South’s free zone strengthens our regional presence by bringing innovation and operations even closer together,” said Orkun Saruhanoglu, CEO at DHL Supply Chain Middle East & Africa. “This state-of-the-art facility will act as a vital bridge between East and West. Our customers will benefit from integrated solutions and innovation that drive efficiency, sustainability, and growth across their entire supply chains.”

Dubai South welcomed the move as further proof of the district’s role as a global logistics hub.

“Our collaboration with DHL underscores Dubai South’s commitment to building a connected ecosystem that accelerates progress in logistics,” said Mohsen Ahmad, CEO of the Logistics District at Dubai South. “By combining global expertise and local innovation, we are strengthening Dubai’s position as a leading hub for logistics and innovation.”

Part of a broader regional expansion

The new Dubai developments form part of a substantial investment programme across DHL’s Middle East & Africa markets.

Recent initiatives include:

  • A new DHL Supply Chain multi-user facility within Riyadh’s Special Integrated Logistics Zone (SILZ), designed to streamline customs processes and speed up cross-border trade.

  • DHL Express’ first regional aircraft maintenance hangar at Bahrain International Airport, a major upgrade set to improve fleet availability and operational reliability.

Together, these projects support DHL’s multi-year investment agenda, which allocates €500 million for the Middle East and €300 million for Sub-Saharan Africa. The plan aims to raise the standard for connectivity, customer service, and logistics excellence across the region.

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Stephen Whitehttps://truckandfleetme.com/
Stephen White created Truck and Fleet Middle East over a decade ago, and is one of the Middle East's foremost writers on mobility and capital assets. He is also mostly powered by coffee.
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