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Logistics

DHL invests US$348mn to expand Africa footprint

DHL ramping up Africa services. (Image source: DHL)

DHL Group has announced a €300mn (approx. US$348mn)-plus investment in sub-Saharan Africa to expand infrastructure, enhance service capabilities and unlock opportunities in areas such as e-commerce, perishables, energy, life sciences and healthcare

“Africa is at a pivotal moment in its trade journey,” said John Pearson, CEO of DHL Express.

According to the latest update of the DHL Global Connectedness Tracker, sub-Saharan Africa led all world regions in the first half of 2025 with a 10% year-on-year increase in trade value (in current US dollars), ahead of North America at 7% and South & Central America, Caribbean at 5%.

Current forecasts as of September 2025 indicate the region’s trade volume will grow by an average of 4.3% per year over 2025 to 2029, the second-fastest globally behind South & Central Asia.

“Despite global volatility, the continent continues to show resilience and momentum,” said Pearson.

“Our investment reflects confidence in Africa’s trajectory and DHL’s commitment to enabling the trade flows that drive inclusive growth. By strengthening our network and capabilities, we aim to make it easier for African businesses, from small and medium enterprises (SMEs) to large corporates, to compete on the world stage.”

The company highlighted the impact of the African Continental Free Trade Area (AfCFTA) and its potential to deepen intra-African commerce and open new corridors with the rest of the world.

While progress depends on continued improvements in infrastructure and trade facilitation, it noted that cross-border flows have remained resilient and African enterprises are increasingly connecting to global value chains.

Across DHL Express, the new investment will include upgrading gateways, adding aviation uplift and extending time-definite coverage into second cities that are emerging as demand centres under AfCFTA.

The intention is to link these cities more tightly to Africa–Europe and Africa–Asia lanes, building on recent growth in Ethiopia and Nigeria.

“Our focus is to be closer to customers and make cross-border shipping simpler and more reliable,”said Hennie Heymans, CEO, DHL Express sub-Saharan Africa.

“As trade expands, businesses are asking for predictable transit times, consistent delivery performance and support that understands local conditions. By raising the bar on service and proximity, we will help more African companies trade efficiently and compete on a bigger stage.”

DHL Global Forwarding is expanding its capabilities in energy and industrial projects, supporting Africa’s role in the global energy transition; enhancing cold-chain and perishables logistics for agriculture and horticulture exporters; and scaling its expertise in life sciences and healthcare with specialised temperature-controlled transport.

DHL Supply Chain will add capacity and transport-led solutions with a focus on the transporter sector and life sciences and healthcare, including additional temperature-sensitive capability to support critical healthcare flows and fast-moving fulfilment as supply chains mature, particularly as demand for third party logistics services continues to grow in the core South African market.

“DHL Supply Chain is expanding in South Africa as the economy gains momentum and supply chains become more sophisticated,” said Orkun Saruhanoglu, CEO, DHL Supply Chain Middle East & Africa.

“We are seeing growing demand for specialised, outsourced logistics, particularly in life sciences and healthcare and across the transporter sector. By adding capacity, strengthening transport-led solutions and applying our contract logistics expertise, we will help customers improve service quality, manage risk and scale with confidence.”

The company said that it is also investing in programmes that extend participation in trade and support sustainable growth — for example, its GoTrade initiative provides SMEs with training and customs expertise to access international markets.

In addition, the business is piloting renewable energy and alternative fuel projects across its sub-Saharan African facilities and advancing digitalisation through AI-enabled monitoring, route optimisation, and digital customs tools to reduce friction in cross-border trade.

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First CTG Locomotives arrive for Simandou Project

Locomotives power Guinea’s progress. (Image source: SimFer)

SimFer, the joint venture between the Government of the Republic of Guinea, Rio Tinto, and the Chinalco-led CIOH consortium, has achieved another significant milestone with the safe arrival of the first four CTG locomotives at the Port of Morébaya

These units mark the initial batch of a total of 78 locomotives ordered by Rio Tinto SimFer in July 2024 on behalf of La Compagnie du TransGuinéen (CTG), the organisation established to own and manage the rail and port infrastructure connected to the Simandou mines.

Purpose-built to support Africa's largest integrated mining and infrastructure project, these locomotives will play a vital role in transporting high-grade iron ore from the Simandou mines to the newly developed Morebaya port facilities in Forécariah. The 670 kmTrans-Guinean Railway will link Guinea from east to west for the first time, unlocking new opportunities for trade, agriculture, and passenger transport. The arrival of these locomotives highlights the crucial role of rail infrastructure in advancing the Simandou project.

Chris Aitchison, CEO of Rio Tinto SimFer, said,“This is a historic moment for the Simandou project and for Guinea. These locomotives are a visible sign of the progress made and the future benefits that the Trans-Guinean Railway will bring by connecting communities, facilitating trade and supporting sustainable development across the country.”

Mamoudou Nagnalen Barry, president of the Compagnie du TransGuinéen, stressed: “The TransGuinéen is gradually becoming a tangible reality, and we are proud to work hand in hand with our industrial partners to ensure the full operationalisation of the CTG. We are committed to making the TransGuinéen corridor an important vector of development for local businesses and a catalyst for economic growth and prosperity for communities in Guinea, in line with the Simandou 2040 vision.”

The Compagnie du TransGuinéen (CTG) will oversee the operation of the railway and port, ensuring long-term sustainability under Guinean leadership. CTG is a joint venture between Rio Tinto SimFer and Winning Consortium Simandou (WCS), each holding a 42.5% share, while the Government of Guinea retains a 15% free stake. Following a 35-year operational period, ownership of the entire infrastructure will be transferred to the Government of Guinea, marking it as a transformative national asset.

With the arrival of the first four locomotives and additional deliveries expected in the coming months, the project continues to advance steadily. This milestone reflects continued progress towards the full realisation of the Simandou project, generating opportunities for the Guinean people and positioning the nation as a global leader in high-grade iron ore production.

JGC to expand sustainable aviation fuel in Africa

Jet refuelling operations on the tarmac (Image source: Adobe Stock)

JGC Corporation has signed an agreement with the African Development Bank (AfDB) to explore cooperation in the roll-out of sustainable aviation fuel (SAF) in Africa

SAF is a term for any jet fuel made from renewable sources – like plant oils, waste materials, and even captured carbon – designed to reduce the environmental impact of air travel.

The two parties signed a Letter of Intent at a recent business event in Yokohama to expand collaboration in an area still in its infancy across Africa.

It establishes a framework for cooperation to jointly promote development, information and knowledge sharing, and to explore co-financing opportunities for SAF and other green aviation solutions in Africa.

JGC Corporation will conduct demand studies for SAF in African markets, perform technical feasibility assessments, evaluate deployment opportunities tailored to local resources and infrastructure, and harness and facilitate Japanese technology adoption to Africa in this regard.

The Japanese engineering giant is already a leading player in what is expected to be a fast-evolving strand in the air transport industry in the coming years.

“By leveraging our experience in plant engineering and sustainable energy, we aim to contribute to Africa’s decarbonisation efforts while fostering local economic growth and innovation,” said Shoji Yamada, JGC Corporation’s president.

The production and adoption of SAF in Africa is consistent with the AfDB’s sustainable transport and mobility and energy transition strategy, said Solomon Quaynor, the bank’s vice-president for private sector, infrastructure and industrialisation.

On its side the AfDB will facilitate coordination and dialogue with public sector aviation stakeholders, identify potential project pipelines, and explore possible financing options, including feasibility study support and promoting global partnerships around the concept in Africa, as well as debt and equity financing.

“Adopting sustainable aviation fuel in Africa is a crucial component of the journey to cutting the continent’s carbon dioxide emissions,” said Quaynor.

“Moreover, it should boost the competitiveness of the sector over time. This partnership with JGC will help unlock new opportunities for green aviation and position Africa as a pacesetter in the sector.”

Since the 1980s, the JGC Group has accumulated a wealth of project experience in Africa, providing engineering services including EPC (engineering, procurement, and construction) for numerous refineries, among other facilities.

It has also been a key player in the development of some the continent’s major liquefied natural gas (LNG) export projects, successfully completing onshore LNG plants in Nigeria and Egypt, as well as an offshore LNG plant in Mozambique.

In addition, it is currently providing basic design services for the Rovuma LNG project in Mozambique and conducting early work for another undisclosed offshore LNG plant in Africa.

In a statement, the company added, “JGC Group will continue to contribute to the realisation of a decarbonised society through aviation fuel, in line with its long-term management vision, ‘Vision 2040’ and its medium-term management plan, ‘BSP2025’ in cooperation with the AfDB.”

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Huawei unveils SMART Logistics & Warehousing Solution

Mr. Guo Shuangqing, assistant chief marketing officer of SF Technology. (Image source: Huawei)

Huawei unveiled its SMART Logistics & Warehousing Solution, which integrates leading digital and intelligent technologies to enhance service quality, reduce costs, and increase efficiency across logistics and supply chain operations

HUAWEI CONNECT 2025 recently hosted a transportation summit titled "Creating a Digital & Intelligent Foundation for Comprehensive Transportation and Logistics," bringing together global leaders, key customers, and partners from the transportation and logistics sectors. The event served as a platform to discuss emerging trends in intelligent transformation and exchange innovative practices.

Rapid digitalisation, intelligentisation, and decarbonisation are reshaping transportation, supply chains, and logistics worldwide. Advanced technologies are improving the efficiency and security of critical infrastructure, including ports, airports, railways, and road networks. Multimodal transport and cross-industry integration are also driving substantial growth in the sector.

Delivering the opening address, Ma Yue, vice-president of Huawei and CEO of Huawei's Smart Transportation BU, highlighted Huawei’s commitment to technological innovation. “As a leading global provider of ICT infrastructure and smart devices, Huawei remains committed to technological innovation. By fitting the right technologies to increasingly diversified scenarios, the company helps optimise the flow of passengers, freight, businesses, revenue, and information, laying a robust foundation for industry transformation.” He emphasised the importance of open collaboration in addressing the complexities of upgrading transportation systems and noted Huawei’s work with global partners in supporting over 100 ports, more than 200 logistics enterprises, and Intelligent Transportation Systems across 70 cities.

Guo Shuangqing, assistant chief marketing officer of SF Technology, shared that his company has developed an air logistics digital twin platform based at China’s first cargo airport. “This platform allows for TB-level data processing with millisecond-fast response time. It fosters smooth collaboration among millions of elements and has successfully managed a cargo throughput of 1.9 million metric tons without any switching errors. SF Technology and Huawei will maximise respective strengths to expand capabilities in coordinating multiple airports, thus leading to a substantial efficiency increase across the entire air logistics sector.”

Dr Rachad Nassar, Huawei's global business & strategic partners director, added, “Huawei is enabling a smarter, safer, and more efficient future for transportation and logistics. With its comprehensive ICT intelligent foundation and its innovative technologies, such as intelligent sensing, broadband connectivity, cloud-based digital platforms, and AI, Huawei is turning concepts like Mobility as a Service and Logistics as a Service into reality—unlocking the full potential of digital intelligence.”

Qiu Shikui, vice-president of Huawei's smart logistics and warehousing BU, explained, “The logistics industry is currently grappling with key challenges such as high OPEX, low efficiency, complex data coordination, and underutilised AI. To address these common needs, Huawei, alongside its customers and partners, has launched the innovative SMART Logistics & Warehousing Solution. Built on the '1+N' architecture, it combines a smart operations cloud with intelligent coordination across logistics parks and yards to provide end-to-end digital and intelligent services. It focuses on platform-based services, digitalized operations management, intelligent allocation, automated relocation, and unattended transportation, enabling secure data collaboration, AI-based planning, and automated logistics yard operations.”

To date, Huawei has supported a massive infrastructure network worldwide, including over 100 ports, more than 200 logistics and warehousing enterprises, 300 urban rail lines in 70+ cities, over 180,000 km of railways, road networks exceeding 200,000 km, over 300 urban transportation cities, and more than 210 airlines and air traffic management bureaus. Huawei continues to collaborate with customers and partners to advance the logistics and supply chain sector globally.

Nigeria's Air Peace to build West Africa's largest air maintenance hub

Gearing up for London take-off (Image source: Air Peace)

Nigeria’s Air Peace, which is set to commence direct flights to the UK from Abuja in October, has begun work on what will be West Africa’s biggest aircraft maintenance facility

The privately-owned airline officially broke ground on its state-of-the-art Maintenance, Repair and Overhaul (MRO) hub on 17 September, which it described as “a landmark project” set “to revolutionise Nigeria’s aviation sector, curb capital flight and position the nation as a continental hub for aircraft maintenance.”

The aircraft facility is located on 34,000 sq m of land at Murtala Muhammed International Airport in Lagos.

Air Peace chairman and CEO, Dr Allen Onyema, outlined the economic significance of the project, noting that Nigerian airlines spent over US$180bn last year on overseas maintenance and spare parts.

“This MRO will change that narrative,” he said.

“It will not only service Air Peace aircraft but also those of other Nigerian and international airlines. In the next 24 months, Nigeria will begin attracting direct foreign investment, as airlines from Africa, Europe, and the Americas bring their aircraft here.”

With the capacity to accommodate a Boeing 777 and five other aircraft simultaneously, the MRO will be the largest facility of its kind in Africa, reducing Nigeria’s reliance on similar infrastructure in South Africa and Ethiopia.

According to Morgan Omonitan & Abe, the project contractors, the facility will include a 6,200 sqm hangar, warehousing, a workshop, office buildings, plus a 10,000 sqm apron for aircraft parking.

Additional infrastructure will include a car park, equipment shade, security housing, utility and transformer buildings, and landscaped grounds.

The airline hopes the project will generate around 50,000 direct and indirect jobs, as well as train a new generation of Nigerian engineers and technicians, with technical support provided by Embraer of Brazil.

Onyema also thanked president Bola Ahmed Tinubu and minister of aviation Festus Keyamo for helping the company to overcome procedural and administrative hurdles in launching the project.

“In less than one year, they made it possible for us to stand here today. This is the first time Nigerian airlines are receiving massive support, and we at Air Peace are proud to be part of this history.”

Air Peace is set to launch flights from Abuja to London airports, Heathrow and Gatwick, on 26 and 28 October respectively.

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