Kuwait, an oil-rich country located at the northwestern end of the Persian Gulf, is actively advancing the “New Kuwait 2035” vision in an effort to reduce its single reliance on oil exports. In 2025, Kuwait’s freight and logistics market is valued at approximately US$350 million and is growing rapidly at a 9.3% compound annual growth rate (CAGR), with projections to exceed US$651 million by 2032. The rise of e-commerce and government infrastructure investment are jointly driving the transformation of the logistics industry in this small Gulf nation.
Existing Port Bottlenecks: Shuwaikh Port and Shuaiba Port

Kuwait currently has two major ports: Shuwaikh Port in Kuwait City (21 berths) and Shuaiba Port in the southern industrial area (20 berths), providing a total of 41 berths. However, both ports face issues such as aging equipment and limited handling capacity. As Kuwait’s import demand continues to grow, upgrading and modernizing the existing port infrastructure has become urgent.
Mubarak Al Kabeer Port: Reshaping the Northern Persian Gulf Landscape

Located on Boubyan Island, Mubarak Al Kabeer Port is Kuwait’s flagship project to reshape its regional logistics position. In early 2026, the Kuwait Ports Authority formally signed a Phase 1 construction contract worth up to US$4.1 billion with China Communications Construction Company (CCCC). Upon completion of Phase 1, Mubarak Al Kabeer Port’s annual throughput target will reach 2.7 million TEU, with long-term plans of up to 7 million TEU.
Regional Competition and Geopolitical Challenges
While advancing Mubarak Al Kabeer Port, Kuwait also faces intense competition from neighboring countries. Iraq is pushing forward its US$17 billion “Development Road” plan and the Al Faw Grand Port project, intensifying the rivalry between the two countries for hub status in the northern Persian Gulf. Geopolitical risks are likewise not to be overlooked; the security of port facilities is a factor that the industry must consider when assessing Middle East logistics routes.
The Future Driven by Logistics Cities and E-commerce

As Kuwait’s domestic e-commerce market expands rapidly, demand for modern warehousing and express logistics is surging. The Kuwaiti government plans to establish four major Logistics Cities to enhance third-party logistics (3PL) and last-mile delivery capabilities. At the same time, the introduction of an electronic customs declaration system aims to shorten cargo clearance times and improve overall supply chain efficiency.
HLT Logistics: Your Middle East Logistics Partner
Kuwait’s logistics market is at a critical turning point, and the construction of Mubarak Al Kabeer Port will have a far-reaching impact on regional supply chains. However, the growing pains of infrastructure upgrades, complex customs clearance procedures, and geopolitical uncertainty remain challenges that cargo owners must address with care.
With extensive Middle East logistics experience, HLT Logistics provides professional, dedicated follow-up support to help you confidently meet your logistics needs in Kuwait and across the Middle East. To learn more, please contact us via WhatsApp at +852 92285942.









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