UAE ports plan to use US expertise to keep global lead in handling of containers. (Xinhua/Reuters Photo)

DUBAI, Aug. 16 (Xinhua) -- Global maritime port operator DP World said Tuesday it signed a memorandum of understanding (MoU) with U.S.-based Hyperloop One to explore the role of innovation in the future of world trade.

The collaboration is for feasibility studies that analyse the value of using Hyperloop systems in the United Arab Emirates (UAE).

An initial focus in phase one is planned on moving containers from ships docked at DP World's headquarters port in Dubai-Jebel Ali Port via the Hyperloop tube to a new inland container depot in Dubai.

Hyperloop is a global trademark for the high speed shuttling of passengers and cargo goods in tubes, developed by the California-based, 2002-founded firm Space Exploration Technologies Corporation.

The initial study will focus on efficient handling of containers, costs, benefits, demand and volume patterns of moving cargo using the new technology, said DP World in a statement.

"We're leading innovation in our industry once again and by testing the Hyperloop technology at Jebel Ali for cargo use, we're taking a first step in exploring new ways of enabling trade and underlining Dubai's commitment to innovation," Sultan Ahmed Bin Sulayem, Group Chairman and CEO of DP World, the third biggest container port operator in the world, said.

The potential to use these kinds of technology in emerging markets outside the UAE such as Africa and Asia with large land mass is "significant," he added.

Rob Lloyd, CEO, Hyperloop One, said that his company is pleased to extend its global footprint into the Middle East with the signing of the MoU with the UAE and DP World.

Lloyd added that the UAE has taken a leadership role in pushing global transportation solutions to the forefront and we believe that it is the perfect market for Hyperloop.

On the Nasdaq Dubai, the shares of DP World gained 0.84 percent in late Tuesday trading.

Earlier this month, the Dubai government said it launched plans to build a Hyperloop transport system that shortens the trip from Dubai, located on the Arabian Gulf coast, to the 188 kilometers away located emirate of Fujairah at the Indian Ocean coast in just 10 minutes.

A competition for the design of such a system will be launched in September, the government-controlled Dubai Future Foundation said.