In a landmark development for Syria’s maritime sector, the General Authority for Ports and Customs signed a strategic agreement with the Turkish company KUZEY STAR to introduce shipbuilding of all sizes to Syria in line with international standards. The deal marks the first initiative of its kind in the country and represents a qualitative shift in industrial and economic infrastructure, laying the groundwork for a modern national maritime industry.
Parties to the Agreement and Implementation Framework
The agreement was signed by the General Authority for Ports and Customs, represented by its Chairman Qutaiba Ahmad Badawi, and the Turkish joint-stock company KUZEY STAR. It will be implemented under a Build-Operate-Transfer (BOT) model, under which the investor will establish, equip, and operate a fully integrated shipyard at the Port of Tartous.
Under the contract, the company is authorized to carry out shipbuilding, construction, repair, and maintenance operations using advanced technologies and internationally recognized standards, with ownership ultimately reverting to the Syrian state at the end of the investment period.
Investment Scale and Technical Scope
The project spans 30 years, with the Turkish side committing to invest no less than $190 million over the first five years. The investment will cover the construction of docks, procurement of specialized equipment, and establishment of operational and support facilities. Importantly, the agreement places no financial obligations on the General Authority for Ports and Customs.
To strengthen the national maritime fleet, the contract includes preferential terms for the Syrian government, granting discounts of up to 20% on shipbuilding, repair, and maintenance services. This provision is expected to reduce operational costs and enhance fleet efficiency.
Economic and Social Impact
Beyond its technical significance, the project carries major economic and social benefits. The investing company has committed to creating approximately 1,700 direct and 3,500 indirect job opportunities, with Syrian workers constituting at least ninety-five percent of the workforce.
A central pillar of the agreement is knowledge transfer. The project includes structured training programs and skills development for Syrian engineers and technicians, ensuring the transfer of technical expertise across all stages of the maritime industry and contributing to the formation of specialized national competencies.
A Strategic Boost for Ports and the National Economy
The shipyard project is a cornerstone of broader plans to develop Syrian ports and reposition Syria on the regional maritime industries map. With its completion, the Port of Tartous is expected to evolve into an integrated maritime industrial hub serving both domestic and neighboring markets.
By opening new investment horizons, supporting industrial diversification, and generating high-value employment, the project is set to play a meaningful role in strengthening the national economy and advancing comprehensive, sustainable development.
