Dubai to relocate airport to $35B facility in 10 years

Dubai International Airport, currently the busiest airport globally for international travel, is set to shift its operations to a larger facility, Al Maktoum International Airport at Dubai World Central, within the next decade. This move involves a substantial investment of nearly $35 billion, as announced by Sheikh Mohammed bin Rashid Al Maktoum on Sunday.

This strategic relocation aligns with the resurgence of Emirates, Dubai’s long-haul carrier, which has been rebounding post-COVID-19 pandemic. The transfer had been under consideration for some time but faced delays due to the economic downturn in 2009.

Sheikh Mohammed emphasized the significance of this development for future generations, positioning Dubai as a major global hub for aviation and urban development. The plans feature a state-of-the-art terminal design inspired by traditional Bedouin tents, equipped with five parallel runways and the capacity to accommodate 400 aircraft at its gates. In contrast, the current facility has two runways.

The financial performance of Emirates is closely watched as an indicator of the health of the global aviation sector and Dubai’s economic status. Following a robust recovery from the pandemic—marked by aggressive tourism promotion—Dubai International Airport handled 86.9 million passengers last year, surpassing its pre-pandemic volume.

With these rising passenger numbers, the existing facilities at DXB have been under strain, bounded by residential areas and major highways. Al Maktoum International Airport, located about 45 kilometers (28 miles) from DXB, opened in 2010 primarily as a cargo and private flight hub and for parking Emirates’ fleet during the pandemic. It is also the venue for the Dubai Air Show and has ample space for future expansion.

Sheikh Mohammed’s vision extends beyond the airport, with plans to develop a new city in Dubai South that would accommodate a million residents and attract major companies in logistics and air transport.

However, previous plans for moving the airport were stalled by financial challenges, notably during Dubai’s 2009 financial crisis, which required a $20 billion bailout from Abu Dhabi.

Moreover, Dubai is recovering from unprecedented rainfall that recently disrupted flights and commerce, adding another layer of urgency to the city-state’s infrastructure and development plans.