Neweast to establish Dhs500m auto parts distribution hub in Jafza

Auto parts company Neweast General Trading has signed a landmark lease with DP World’s Jebel Ali Free Zone (Jafza), to establish the largest spare parts hub in the Middle East and Africa.

The company plans to invest approximately Dhs500m ($136.2m) to transform a 165,000 square-metre space at the free zone into a distribution hub.

With more than 500 employees and operations across seven branches in the Middle East, Neweast’s strategic hub in Jafza will support efficient order fulfillment and delivery in the region for more than 160 premium aftermarket brands.

Neweast will distribute a comprehensive range of automotive spare parts for various vehicles, including passenger cars, vans, buses, trucks, trailers, and heavy equipment.

The product offerings encompass engine components, transmission components, braking system parts, suspension system parts, air conditioning system parts, lubricants, batteries and tires.

Construction of hub in Jafza to be completed by 2024

To support this expansion, the company plans to hire additional employees, anticipating a 50 per cent increase in their current workforce. The construction of their new hub is on track, with completion expected by October 2024, enhancing their distribution capabilities.

Abdulla Al Hashmi, COO, Parks and Zones, DP World UAE said: “We are delighted to host the region’s largest spare parts distribution hub, right here in Jafza.

“This landmark agreement is a testament to the free zone’s unwavering commitment to driving growth in the automotive sector. Jafza is the perfect platform for Neweast to expand its reach and cater to the growing demand for automotive parts in the Middle East and Africa.”

Henry Shaaya, managing director, Neweast General Trading said: “Securing this land lease is a major milestone for Neweast. We are excited to establish this innovative distribution hub in Jafza and cater to the diverse needs of customers across the Middle East and Africa, while solidifying our position as a trusted market leader in aftermarket automotive parts.”