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L&T and Mitsubishi secure contract to build Dubai airport people mover

Larsen & Toubro and Mitsubishi Heavy Industries have won a major contract to construct the automated people mover system for Phase 1 of Dubai's Al Maktoum International Airport.

L&T and Mitsubishi secure contract to build Dubai airport people mover
L&T and Mitsubishi secure contract to build Dubai airport people mover

Engineering and construction conglomerate Larsen & Toubro Limited (L&T), operating in a consortium with Japan’s Mitsubishi Heavy Industries (MHI), has secured a high-profile contract to design and construct the Automated People Mover (APM) system for Phase 1 of Al Maktoum International Airport in Dubai, according to reporting from Timesnownews.

The monumental project will span a length of approximately 50 km and connect nine stations across the aviation hub. According to L&T's statement to the stock exchanges, the initiative forms a key component of the airport's long-term expansion program, which is structured as a multi-phase development. The overarching vision is for Al Maktoum International Airport to eventually become the world's largest airport, boasting a capacity capable of handling 260 million passengers and 12 million tonnes of freight annually once fully operational.

Media additions

Image via economictimes.indiatimes.com
Image via economictimes.indiatimes.com

Financial details regarding the agreement indicate that the consortium secured the order within a valuation range of Rs 2,500 crore to Rs 5,000 crore, as reported by Economictimes. The driverless train network is viewed as an essential circulatory backbone for the massive infrastructure undertaking.

The project is being developed by the Dubai Aviation City Corporation and implemented through Dubai Aviation Engineering Projects. For L&T, the win leverages its transportation infrastructure business vertical, combining MHI’s proven transit technology with L&T's integrated systems experience and its engineering designs centre.

Ramkumar S, Executive Vice President and Head of Transportation Infrastructure at L&T, emphasized the technical hurdles involved.

"with challenging execution milestones, advanced technologies and multiple system interfaces including guideway, power supply, state-of-the-art telecom, platform screen doors and depot equipment, this project exemplifies the scale and complexity of integrated APM Rail Systems that L&T is uniquely positioned to deliver"

Ramkumar S, Executive Vice President & Head-Transportation Infrastructure, L&T via Timesnownews

He further noted that the collaboration allows the partnership to execute the assignment with a strict focus on safety and quality standards, leveraging MHI’s proven systems alongside L&T's extensive integrated systems experience supported by its world-class engineering designs centre.

Market observers and financial analysts cited in the coverage view the contract as a clear positive for L&T. The win not only strengthens the engineering conglomerate's regional credentials but also expands its global order pipeline and deepens its foothold in West Asia's transit and railway sectors. At the same time, analysts point out that attention will remain fixed on execution, margins, and geopolitical risks present in West Asia.

The airport people mover contract arrives alongside a broader wave of strategic expansions by the Indian multinational. L&T recently reported a consolidated net profit of Rs 4,123 crore for the April-June quarter of the ongoing financial year 2027, marking nearly 14% year-on-year (YoY) rise from the Rs 3,617 crore net profit reported in the same period last year.

Project Overview at a Glance

  • Project: Automated People Mover (APM) System (Phase 1)
  • Location: Al Maktoum International Airport, Dubai
  • Contractors: Larsen & Toubro Limited (L&T) and Mitsubishi Heavy Industries (MHI) consortium
  • Developer: Dubai Aviation City Corporation via Dubai Aviation Engineering Projects
  • Scale: Approximately 50 km in length connecting nine stations
  • Contract Value: Rs 2,500 crore to Rs 5,000 crore

Industry stakeholders will continue monitoring how the joint venture manages the intricate technical interfaces—ranging from power supplies to advanced telecommunications and depot equipment—as site preparations and design phases progress. Further updates regarding milestone completions and construction timelines are expected as the multi-phase airport expansion moves forward under the direction of Dubai Aviation Engineering Projects.

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