Neweast General Trading, a significant participant in the automotive sector, has inked a landmark lease with DP World's flagship trade and logistics hub, Jebel Ali Free Zone (Jafza), to construct the biggest spare parts centre in the Middle East and Africa.

The firm intends to invest around AED 500 million (US$136.2 million) in converting a 165,000 sqm free zone site into a massive spare parts distribution centre.

Ahmed Juma Ahli, CEO of Neweast General Trading, and Abdulla Al Hashmi, COO of Parks and Zones at DP World UAE, signed the lease.

With operations spread over seven locations in the Middle East and more than 500 committed employees, Neweast's strategic centre in Jafza will facilitate effective order fulfilment and delivery in the area for more than 160 premium aftermarket brands.

A wide variety of automotive spare parts, including those for trucks, trailers, heavy machinery, vans, buses, and passenger cars, will be distributed by Neweast. The range of products includes tyres, lubricants, batteries, air conditioning system parts, brake system parts, gearbox parts, suspension system parts and engine parts.

The firm expects their present employment to grow by 50% as a result of this development, therefore they aim to hire more personnel to support it. They are on schedule to complete the building of their new hub by October 2024, which will improve their capacity for distribution.

According to Al Hashmi, "This historic agreement is proof of the Free Zone's ongoing dedication to promoting growth in the automotive sector. The Jafza is ideal platform for Neweast to extend its clientele and meet the rising demand for car components in the Middle East and Africa."

Neweast General Trading Managing Director Henry Shaaya stated, "Securing this land lease is a significant milestone for Neweast. We are pleased to build this unique distribution centre in Jafza and meet the diversified demands of clients across the Middle East and Africa while establishing our position as a trusted industry leader in aftermarket automobile components. Our objective is to develop a revolutionary venue that uses innovative technology and Jafza's seamless logistical solutions to improve the consumer experience."