Andrew Hoad, Chief Commercial Officer, Gulftainer
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Andrew Hoad, Chief Commercial Officer, Gulftainer

The global supply chain industry has been facing pressing challenges that has led shippers to look for their path to resilience in uncertain times, focusing on cutting costs and creating an efficient supply chain that can withstand crises. And this is what we have started to see with our industry — shifting from globalization to regionalization to manage risk efficiently, aiming to redefine future value chains. 

Amid shifts in global trade dynamics, “tactical nearshoring” has emerged as a viable solution – which allows shippers to produce the goods where they have traditionally been produced but then moved to and stored at tactical hubs that are near to the consumption areas, especially in the automotive sector, where cars in containers being the norm as the roll-on/roll-off (ro/ro) sector capacity crunch continues.

For instance, China as a major vehicle exporter is witnessing a growing influx of manufacturers venturing into shipping, which will put further strain on container services. Gulftainer is currently engaging with the electric vehicle (EV) industry from China as we see a wave of opportunity for our strategically located trade hub in the Northern Emirates, Khorfakkan Container Terminal. 

It can help cut the time, distance and cost while adding to the resilience of the supply chain. It also has the potential to almost act as a storage and last-mile distribution hub across geographies, and it’s only two to five steaming days away from major ports in India, Saudi Arabia, Iraq and countries in East Africa, with a wider reach covering the Commonwealth of Independent States countries. We look forward to the real value that future rail link potential project can bring to Khorfakkan and the trade landscape in the region.