The rapid development of large-scale data centers dedicated to artificial intelligence is becoming a significant driver for growth in the logistics sector within the Gulf region. The construction of these facilities relies heavily on a continuous influx of substantial energy systems, high-value graphics processing servers, and precision cooling units.
This type of cargo necessitates specialized handling and strict delivery schedules based on the “just-in-time” supply principle. Consequently, this sector has transformed for regional logistics companies from a mere future opportunity to a fundamental and structural freight market in the present, as reported by Logistics Middle East.
According to the Gulf Data Centers Association, the installed capacity in Gulf Cooperation Council (GCC) countries reached 648 megawatts in 2024, with the majority located in the UAE. It is expected to approach 1 gigawatt by 2025 as new sites become operational.
PricewaterhouseCoopers has noted that the Middle East is rapidly emerging as a global force in the data center industry, predicting that the capacity will triple over the next five years to approximately 3.3 gigawatts. This growth secures a long-term demand for logistics services related to large and sensitive equipment, which generate high profit margins.
This massive influx of capital is reshaping supply chain networks in the region. Emirates NBD estimates that the UAE will increase its capacity in this field by 165%, reaching 950 megawatts by 2028, aided by ongoing projects worth over $46 billion.
In response to this expansion, ports, free zones, and airports are experiencing a growing influx of engineering, procurement, and construction equipment, cooling units, electrical transformers, and server clusters, with a surge occurring every three months. The new AI complexes are now comparable to major energy facilities in terms of investment and size.
To accommodate this momentum, key logistics sites in the Gulf are adapting their infrastructure to support these projects. In Abu Dhabi, areas like Kizad and Khalifa Port enable the direct transfer of large units from ships to job sites, while Jebel Ali Free Zone and Dubai South offer advanced climate-controlled storage facilities.
Global energy demand for these centers is projected to jump by 130% by 2030, with the UAE expected to see its consumption double to account for 6% of the national energy use by 2028.
With the cost of building these centers reaching approximately $8.80 per watt in the UAE, logistics that ensure zero delays have emerged as a crucial value driver for these projects.