DP World wins another ruling in battle over Djibouti port
Dubai-based shipping giant DP World says it has won another ruling in a longstanding legal battle over the operation of a strategic port in the African nation of Djibouti
Your support helps us to tell the story
From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.
At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.
The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.
Your support makes all the difference.Dubai-based shipping giant DP World said Tuesday it has won another ruling in a longstanding legal battle over the operation of a strategic port in the African nation of Djibouti.
Dubai-based DP World said an appeals court in Hong Kong agreed with its request to keep its lawsuit against China Merchants Port Holdings in Hong Kong courts, where that company is based, rather than transfer it to Djibouti.
DP World accuses China Merchants of successfully pressuring Djibouti's government to expel DP World from the country and hand over the Doraleh Container Terminal to the Hong Kong-based firm. It also accuses China Merchants of operating other ports and free zones in violation of DP World's exclusivity rights.
China Merchants did not immediately respond to a request for comment.
DP World is seeking billions of dollars in damages. International courts and tribunals have already awarded it some $686.5 million in damages, and the 2006 concession to operate the port remains in force, the company said.
The Doraleh Container Terminal is the largest employer and biggest source of revenue in Djibouti, and has operated at a profit every year since it opened, according to DP World.
Djibouti seized the container terminal after DP World created another corridor for imports to landlocked Ethiopia in Somaliland, endangering Djibouti’s near-monopoly on Ethiopia’s imports.
Djibouti’s port alone accounts for 95% of Ethiopia’s imports. With a population of 110 million people, Ethiopia is the largest economy in the Horn of Africa.
DP World, which is majority-owned by the Dubai government in the United Arab Emirates, operates nearly 80 marine and inland terminals around the world.
Subscribe to Independent Premium to bookmark this article
Want to bookmark your favourite articles and stories to read or reference later? Start your Independent Premium subscription today.