The project was one of the largest joint ventures announced after relations between Israel and the United Arab Emirates normalized last year.
Dubai‘s DP World has pulled out of a joint bid with an Israeli company to privatize the Israeli port of Haifa, turning down one of the biggest trading and economic ventures since the UAE normalized relations with Tel Aviv.
The state-owned logistics company did not say why it had withdrawn from the offer.
“Although we have decided not to participate further in the privatization of the port of Haifa, we remain interested in investing in Israel as a key trade hub,” he said in a statement.
The Government of Israel Companies Authority has confirmed that DP World has requested to end its participation and that Israel Shipyards Industries has requested to continue on its own initiative.
The winner of the Haifa Port tender is expected to be announced before the end of 2021.
The joint offer was announced after Israel and the United Arab Emirates agreed to establish formal relations last year, as part of a deal brokered by former US President Donald Trump.
When the partnership was announced in September 2020, the two companies said they would consider opening a direct shipping line between the countries.
Israel sells its state ports and builds new private docks to encourage competition and reduce costs.
The port of Haifa will need to be modernized to compete with a modern port built in the region by the Shanghai International Port Group in China.
Comments are closed.