Tesco Announces Logistics Centre at London Gateway

Tesco has announced a major investment in a new distribution centre at DP World London Gateway, which it expects to open in 2029.

This investment represents Tesco’s continued commitment to ensuring its distribution network remains fit for the future – which is critical to the business’s success and to ensuring it can continue to meet the demands of its growing store network and best serve its customers.

The new distribution centre will be a modern, energy-efficient site, equipped with the latest technology to support Tesco’s growth and is expected to achieve BREEAM Outstanding certification, demonstrating its commitment to sustainable building practices.

Tesco is collaborating with Witron, an experienced logistics partner with a strong legacy of retail partnerships, to bolster its network capacity at the site.

Andrew Woolfenden, Tesco UK Distribution & Fulfilment Director, said:

“Our distribution network is vital for ensuring customers receive products at the right place, time and condition. As demand grows across our store network, we’re excited to partner with Witron and DP World to develop a distribution centre that leverages the latest technology, enhancing our supply chain and supporting our decarbonisation goals. By locating at London Gateway, we can also take full advantage of the seaport and rail infrastructure.”

Helmut Prieschenk, CEO at Witron, said:

“It’s an honour and pleasure for us to be part of this outstanding logistics initiative, which represents the introduction of more intelligent logistics production. With the latest technology and machinery, once fully operational, this represents a large-scale project for dry grocery distribution. In terms of end-to-end integration this is a lighthouse project for Witron – which ensures premium store service, an ergonomic, safe and sustainable environment and benefits the whole value chain.”

Sultan Ahmed bin Sulayem, DP World Group Chairman and Chief Executive Officer, said:

“DP World London Gateway is helping to make Britain’s trade flow by sea, road and rail, connecting businesses across the UK with global markets and boosting the resilience of national supply chains. The significant investment announced today by Tesco, one of the world’s leading retailers, is a proud moment for DP World and a vote of confidence in the growing role London Gateway plays in the UK economy.”

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New Rail Services Launched From London Gateway

Maritime Transport has launched two new intermodal rail services connecting DP World London Gateway with its inland terminals at Hams Hall and iPort Doncaster.

Running Monday to Saturday, the new services commenced last week and are operated in partnership with GB Railfreight. Both services have been introduced in response to growing volumes at DP World London Gateway – where a £1bn expansion is set to begin this month to increase capacity at the Port – and reflect Maritime’s continued investment in expanding its rail network and infrastructure, improving inland connectivity, and driving modal shift across key UK routes.

John Bailey, Managing Director – Intermodal, Maritime Transport:

‘London Gateway is seeing strong growth in container volumes, supported by its role in the Gemini Cooperation’s Asia–Europe network and a major expansion project that will further strengthen its position as one of the UK’s leading deep-sea ports. As throughput increases, so too does the need for reliable inland connections. These new rail services provide the additional capacity needed to support that growth, enhance our national network, and enable a more meaningful shift from road to rail as part of a lower-carbon, more efficient UK supply chain.’

London Gateway Maritime Transport

Maritime plans to introduce additional services in the coming weeks, expanding connectivity between major UK ports and its network of nine strategic rail freight terminals. New routes currently in development include Felixstowe to Manchester, DP World London Gateway to the East Midlands, and Southampton to Maritime’s SRFI at SEGRO Logistics Park Northampton – the latest addition to the company’s growing rail terminal portfolio which is now fully integrated into the national rail network.

Julie Garn, Intermodal Director, GB Railfreight:

‘Rail plays a hugely important role in our national supply chains. In addition to driving our economy, moving goods by rail reduces emissions and supports the UK’s transition to more sustainable transport. Using rail freight reduces carbon emissions by c.76% compared to road. These new services are a great example of what long-term collaboration can achieve, delivering practical, lower-carbon alternatives to road that benefit the wider supply chain.’

Container Port Carbon Inset Programme Launched

DP World is trialling an innovative carbon reduction programme at its UK logistics hubs, London Gateway and Southampton, aimed at helping cargo importers cut their emissions.

Starting on 1st January 2025 for an initial six-month trial, the Carbon Inset Programme will reward importers with 50kg CO₂e of carbon credits for every loaded import container they move through DP World’s UK terminals. These independently certified credits, issued quarterly, will showcase participating companies’ efforts to reduce the indirect (Scope 3) emissions in their supply chains.

Unlike traditional carbon offset credits, which compensate for emissions through external projects like tree planting, inset credits reflect a tangible reduction in emissions achieved directly in a company’s own supply chain. DP World’s inset credits are generated through its subsidiary, Unifeeder, which deploys incrementally lower-carbon fuels across its Northern European shipping network. These credits are verified and pooled, allowing registered importers to access independently certified carbon credits.

For businesses, this represents a transparent and measurable way to cut Scope-3 emissions – indirectly produced along the supply chain, while demonstrating sustainability commitments to customers. The inset initiative builds on DP World’s award-winning Modal Shift Programme, which reduced emissions for its partners by more than 17,000 tonnes in its first year.

John Trenchard, Vice President – Commercial & Supply Chain, DP World in the UK, said: “At DP World we are constantly exploring ways to reduce carbon emissions across our customers’ supply chains. Insetting carbon emissions is a transparent, direct and pragmatic approach with immediate measurable impact for our customers. By providing easy access to an independently certified inset programme, we aim to create better awareness and encourage the adoption of more sustainable practices. By participating in the trial, a world first, import cargo owners can actively contribute to global decarbonisation efforts while aligning with their own sustainability goals.”

If 50% of import volume participates in the trial at DP World’s UK container terminals, this could replace over 11,000 tonnes of traditional fossil fuel with lower carbon marine fuels, equivalent to the reduction of 10,000 tonnes of carbon dioxide.

Christian Hoepfner, Director Group Decarbonisation at Unifeeder Group, added: “At Unifeeder, we are committed to using alternative fuels to decarbonise our logistics solutions. We are supporting DP World in the UK in their innovative Carbon Inset Programme by contributing verified GHG reductions generated on our vessels operating in Europe.”

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London Gateway Launches New all-electric Berth

DP World is celebrating the operational launch of the world’s first all-electric berth with the arrival of its first ships, marking a significant milestone at one of the UK’s most sustainable and advanced logistics hubs.

The MSC Sena (pictured) was serviced by an innovative all-electric fleet of vehicles and equipment at London Gateway, including four of Europe’s largest quay cranes, straddle carriers, and automatic stacking cranes, establishing a new global benchmark for low-carbon shipping facilities. The new 430m berth will increase trading capacity at the container port by more than a third, strengthening customer supply chains with enhanced global connectivity, increased reliability, and quicker turnaround times.

The opening of the berth has added a further 200 permanent jobs at London Gateway, which is a part of Thames Freeport, and will play a key role in DP World’s plan for the site to have the UK’s largest container port by trading volume within five years.

Last month at the UK Government’s International Investment Summit, DP World announced a £1bn investment for the construction of its fifth and sixth berths to further enhance the container port’s handling capacity and contribution to the UK economy.

Ernst Schulze, Chief Executive Officer for Ports & Terminals at DP World in the UK, said: “The arrival of the first ship at our new all-electric fourth berth is a huge landmark for DP World’s ambitions in the UK. We have already invested more than £2bn in the building of our modern and efficient facility at London Gateway in the last decade, connecting the UK with global supply chains and export markets. This new berth, alongside our £1bn investment in the fifth and sixth berths, will further enable us to service the largest vessels in operation worldwide today, and the larger, future megaships currently under construction, while also advancing our goal to be net-zero by 2050.

“At London Gateway and across our UK operations, we are quickly building a unique array of assets and end-to-end supply chain capabilities, helping our customers stay competitive in a fast-changing trading environment, while serving the national interest.”

The new berth will operate alongside the London Gateway Logistics Park, which has 9.25 million sq. ft of warehousing capacity, half of which is already developed, and multimodal connectivity to domestic and international road and rail networks.

In addition to its hubs at Southampton and London Gateway, DP World’s offer includes logistics, forwarding and European transport capabilities, all of which are being integrated into the company’s global network.

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DP World to Expand London Gateway Port

 

DP World to Expand London Gateway Port

Global logistics giant DP World has today announced a £1bn expansion of London Gateway to make it Britain’s largest container port within five years in a boost to the volume and resilience of international trade.

DP World will increase capacity of London Gateway’s port by building two new shipping berths, taking the total to six berths able to receive the world’s largest container ships. The site will also see a second rail terminal added to handle the expected increase in containerised trade.

By the end of the decade, the full quayside stretching more than 2.5km in length will be able to simultaneously receive six vessels, each more than 400 metres long, and boast Europe’s tallest quay cranes at the height of the Big Ben.

The expansion will create a further 400 permanent new jobs, in addition to the 1,200 currently employed at the site, and is the culmination of a rapid growth plan for the Thames Estuary hub which opened in 2013 and has been a catalyst for economic regeneration in south Essex.

The expansion will take the total invested by DP World at London Gateway to more than £3bn, converting the site of a former oil refinery into one of the UK’s largest and most important logistics hubs. The site has most recently seen the addition of a £350m fourth berth, the first to be powered entirely by electricity, and which will soon accept its first ship.

DP World has established Europe’s largest logistics park, employing 1,500 workers, as a counterweight to the Midlands-based ‘golden triangle’ of UK logistics. Tenants at the park benefit from storage, warehousing and distribution services linked to excellent rail freight and motorway connections, and quick access to the important consumer market of London and the South East. Fast-track planning consent enables businesses to erect new facilities in response to demand.

Sultan Ahmed bin Sulayem, Group Chairman & Chief Executive Officer at DP World said: “DP World London Gateway will help make Britain’s trade flow in the future by connecting domestic exporters with global markets and delivering vital supply chain resilience for the whole economy. I am proud of this major investment which underlines DP World’s long-term commitment to the UK.”

Ernst Schulze, Chief Executive Officer for Ports & Terminals at DP World UK, said: “As this commitment demonstrates, London Gateway’s location and transport infrastructure are ideally placed for expansion. With extra capacity comes the reliability and supply chain resilience so important to our customers and consumers, especially in uncertain times such as the pandemic and disruption due to geopolitical events.”

Subject to planning approval and regulatory requirements, the expansion is expected to significantly increase the volume of trade at the port which currently handles approximately nearly 2 million TEU annually.

DP World plays an increasing role in the UK economy, employing 5,500 workers across a wide portfolio of logistics services. As well as owning London Gateway and operating Southampton’s container terminal, it is also a major logistics provider, offering customers bespoke services in warehousing, transport and port-centric logistics across a wide variety of sectors, such as automotive and perishables. Three quarters of imported containerised perishable goods are handled at London Gateway and its sister port in Southampton.

In addition to its hubs at Southampton and London Gateway, DP World’s offer includes logistics, forwarding and European transport capabilities, all of which are being integrated into the company’s global network.

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OFFICIAL OPENING OF THE DP WORLD LONDON GATEWAY LOGISTICS CENTRE

 

London Super-Hub Fully Operational

Ziegler UK are delighted to announce the successful transition into its new super-hub at DP World’s London Gateway Logistics Park. With a sprawling 365,000 square feet of cutting-edge warehouse space, plus state-of-the-art office space and a strategic location, the move marks a significant milestone in Ziegler’s journey to reshape the landscape of multimodal freight logistics, offering a holistic and technologically advanced environment for optimal operations.

Building on strong relations with the Port and DP World, Ziegler‘s proximity to key transportation hubs enhances ability to coordinate road, air, and ocean freight movements with unprecedented efficiency, further solidifying our status as a dominant force in the industry. The expansion ensures swift and efficient transportation of goods throughout the country, overcoming any logistical challenges faced at the previous London Gateway premises.

An advanced inventory management system provides real-time visibility into inventory levels, empowering clients to optimise their operations, eliminate disruptions, and ensure a seamless flow of goods. With 55,000 pallet racking spaces, an optimised loading dock, and 37 docking bays, the landmark move heralds a new era for the company and raises the bar for efficiency in freight and logistics.

At the heart of Ziegler’s operations is a dedicated team of experienced professionals committed to delivering exceptional customer service. Focused on customer satisfaction and peace of mind, Ziegler ensures clients receive unwavering support throughout their shipments’ journey, whether by road, air, or ocean.

This expansion also ignites a recruitment drive that promises to enrich the local community. As Ziegler expands its footprint in freight transportation and logistics, a variety of job opportunities across different areas of the business will be created, empowering the local workforce and bolstering the community’s economic landscape. Whether it’s providing training for warehouse operations or fostering professional growth in administrative roles, Ziegler aims to create a workplace where employees can thrive and build fulfilling careers.

Largest Music and Video Warehouse Opens

DP World, a leading provider of global end-to-end supply chain solutions, will this month open the UK’s largest distribution warehouse for physical music and video. Located in Bicester, Oxfordshire, the facility is being launched in partnership with Utopia Distribution Services, who entered into a £100 million deal with DP World to provide warehousing and logistics for physical music goods in the UK earlier this year.

The 25,000 sq. metre site will now become the de-facto centre for music and home entertainment distribution in the UK, handling 70% of physical music and 35% of home entertainment products sold in the UK annually – approximately 30 million units, including vinyl records, DVDs and CDs. It will service retailers across the UK, including Amazon, HMV, industry wholesalers and over 400 independent record stores.

The warehouse will have a daily handling capacity of over 100,000 units, increasing to over 250,000 during peak periods, driven by 80+ state of the art pick robots designed by US manufacturer Locus Robotics. The warehouse will employ 240 workers, and will significantly expand DP World’s unit handling capacity across its UK operations – facilitating new growth opportunities in the warehousing sector.

The warehouse opening follows ongoing demand for physical music and video in the UK, with 17.3m physical albums sold in 2022, with CDs comprising the majority of purchases (55.2%). Selling more than 5.5m units last year, vinyl also continues its rise and currently remains on track for a 16th consecutive year of growth. The video physical retail market also boasted a £209m value in 2022, with sales of formats like Blu-ray and 4k UHD rising by 7% to £91.7m YOY.

Jonathan Himsworth, Vice President Sales at DP World Logistics, said: “DP World brings together an unparalleled combination of assets and expertise to build creative solutions to the hardest problems in logistics, and this is why so many of the world’s largest and most recognisable brands trust us to deliver on their supply chain needs. To this end, we are very excited about working with Utopia Music to support the renaissance of physical music in the UK.”

Drew Hill, MD Utopia Distribution Services and VP Distribution Services, Utopia Music, added: “We’re pleased to be working closely with DP World on a smooth transition to our brand new state-of-the-art facility. With UDS distributing for over 50% of the UK’s combined music and video market, our investment in this infrastructure marks a bright and exciting future for physical entertainment.”

In addition to its UK hubs at London Gateway and Southampton, DP World’s offer includes the P&O Ferries and P&O Ferrymasters subsidiaries, and contract logistics businesses respectively, all of which are being integrated into the company’s global network. Operating in 78 countries, DP World now handles 10 per cent of world trade.

5% Growth for London Gateway and Southampton

DP World saw a 5% rise in the volume of trade handled by its two hubs in the UK last year, London Gateway and Southampton Port, as the leading provider of smart logistics solutions continued to extend its reach further into the supply chain.

London Gateway alone reported a 14% rise in volumes to 2,053,000 TEU – the first time it has ever exceeded two million units in a year, consolidating its position as Britain’s second biggest container terminal. Together with Southampton, the two terminals handled a record 3,850,000 TEU compared with 3,675,000 in 2021.

Ernst Schulze, UK Chief Executive of DP World, said: “We help trade flow across the globe and this outstanding performance shows our ability to deliver on our commitment to boost growth, support businesses, create jobs and improve living standards in the UK.”

“Within a decade, London Gateway is likely to be handling up to 30% of the country’s containerised trade. Its port-centric logistics park will be one of the largest in Europe, employing 12,000 people and underpinned by investment in a second rail terminal and a new fourth berth.”

“At Southampton, we are investing to future-proof the port by improving its infrastructure and introducing warehousing facilities for our customers. We are committed to expanding its capacity as well as making it one of Britain’s most sustainable ports.”

London Gateway volumes rose

Last month, DP World recently partnered with Economist Impact to launch the latest edition of Trade in Transition, a global trade barometer. The research showed that companies in the UK experienced strong growth in 2022, with expansion of up to 50% in the value of exports reported by 62% of those surveyed. 53% reported a similar rise in the value of imports.

Record 3,850,000 TEU

With a global network spanning more than 300 business units in 76 countries DP World is continuing to extend its capabilities across the UK supply chain, with the latest step the launch of a new intermodal train service in November connecting London Gateway and Southampton.

Over the last 10 years DP World has invested £2 billion in the UK, supporting thousands of jobs. Over the next 10 years the logistics provider has earmarked a further £1 billion of investment, with a £350m new fourth berth at London Gateway now well under construction.

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