Global port operator and logistics giant DP World has entered into a major agreement with the Dominican Republic’s Ministry of Industry, Commerce, and MSMEs (MICM) to invest $760 million in enhancing the Port of Caucedo and its surrounding free trade zone.
The funding will be evenly distributed between expanding the port’s container capacity and developing the free trade zone infrastructure. This initiative is designed to significantly strengthen the country’s logistics ecosystem and reinforce its role in international trade.
The port’s throughput capacity will rise from 2.5 million to about 3.1 million TEUs, thanks to the construction of new quay and breakwater structures, installation of modern cranes, improved yard handling equipment, and upgrades to automated systems and infrastructure.
Free trade zone
Simultaneously, the free trade zone will grow across 225 hectares, with plans to develop a comprehensive road network, utility services, commercial and marketing centers, and ready-to-use storage facilities to attract global businesses and manufacturers.
DP World, which has been active in the Dominican Republic for over 25 years, has already invested more than $700 million into the Port of Caucedo. This new investment aligns with the company’s vision to make Caucedo the leading logistics hub in the Caribbean region.
The project is projected to generate up to $3.9 billion in foreign direct investment, create thousands of new employment opportunities, and improve the Dominican Republic’s standing as a destination for nearshoring and regional trade. This strategic move highlights both the Dominican Republic’s commitment to infrastructure-led economic growth and the Caribbean’s rising importance in global supply chain networks.