A new day, a new setback for Saudi Crown Prince MBS’ over-ambitious Neom project. Forget getting started; a crucial $10 billion transport venture, which was to provide logistics for Neom, has not even received the mandatory regulatory approvals from the Saudi authorities.

Crown Prince MBS of Saudi Arabia, the force behind the $1.5 trillion Neom City, is dealing with another setback. The latest roadblock is transport-related: a $10 billion joint venture with the Danish transport company DSV is facing delays over regulatory approvals. The delay has shifted developments from the second quarter of this year and has affected the multi-billion-dollar deal, which has been pushed back.

Via Facebook / @DSV – Global Transport and Logistics

Despite the regulatory delays, DSV remains optimistic about its role in the extensive Neom project. As Business Insider reports, the company sees these delays as a natural part of the process for a project of this magnitude, and is hopeful for the future.The Neom-DSV joint venture was established to provide comprehensive logistics services for the gigaproject. This includes end-to-end supply chain management, development and investments in transport and logistics assets and infrastructure, and the transport and delivery of goods. Neom holds a majority stake of 51% in the joint venture, with DSV holding the remaining 49%.

Also read -  As ambitious as he is, Saudi Crown Prince MBS is developing a port as big as the country of Monaco. Once completed, the AI-powered ‘Port of Neom’ will handle even more cargo than the mighty Port of Los Angeles.

Neom official promoting the project at a local real estate event. Via Facebook / @NEOM

Along with new announcements, the mega project has been facing its own set of challenges. First, we heard rumors of scaling back ‘The Line’; then there was news of a $1.5 billion desalination plant being canceled. However, Neom officials do not budge and continue to showcase Neom City’s progress in video series in their endeavor to attract the foreign investment needed for the expensive plans. Neom and DSV announced the $10 billion exclusive logistics joint venture in December 2023.

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With over 15 years of experience in luxury journalism, Neha Tandon Sharma is a notable senior writer at Luxurylaunches. Her expertise spans luxury yachts, high-end fashion, and celebrity culture. Beyond writing, her passion for fantasy series is evident. Beginning with articles on women-centric gadgets, she's now a leading voice in luxury, with a fondness for opulent superyachts. To date, her portfolio boasts more than 2 million words, often penned alongside a cappuccino.